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The popularity of national brands in different countries is largely due to their price.
According to statistics, national automakers are sales leaders in almost every country with its own auto industry. This is largely due to the history of the local auto industry in each country, as well as the number of large national manufacturers compared to market capacity. Furthermore, state support measures and the efforts of the manufacturers themselves to promote their brands have a major influence on the market positions of national cars, writes rg.ru.
As for consumer loyalty to local brands, it is often enhanced by the convenience of buying and providing additional service to such cars, because car manufacturers have the most developed dealer network in their own countries. Although, for example, in China, the development of the dealer network does not play a special role in choosing a car brand: the abundance of private workshops minimizes this factor.
So Japan turned out to be the most patriotic automotive powerhouse, where, according to the Japan Automobile Manufacturers Association (JAMA), national brands occupy more than 95% of the local car market. The hegemony of the local auto industry in the Land of the Rising Sun is explained, first of all, by the variety of national brands, of which there are more than a dozen. Only Toyota represents more than 30% of all sales, approximately 15% of the market is in the hands of Honda and 13% in Suzuki.
It is worth noting that in Japan so-called key cars are very popular: small cars with engines up to 660 cc. see. And besides local producers, no one else produces them on a similar scale. In addition, tax incentives apply to buyers of such automobiles. But as for the cars of the premium segment, here the Japanese still prefer foreign brands (mainly German), as this is considered more prestigious.
Not without barriers to import
In Korea, Hyundai-Kia and SsangYong “captured” about 90% of the local car market, according to the Korean Association of Car Manufacturers (KAMA). In the United States, the Detroit troika accounts for 45% of sales, and the leaders are General Motors and Ford, according to statistics from the focus2move project.
In Europe, the most patriotic motorists live in Germany and France, where every second car sold is from a national brand (share: 50-55%). It is worth noting that the French PSA Peugeot Citroen and Renault occupy half of the internal market, mainly due to the production of predominantly massive cars led by the Peugeot 208 and Renault Clio. In Germany, after the holder of the absolute record of Volkswagen, which represents 18.5% of all sales, there are premium brands Mercedes-Benz (9.5%) and Audi (7.5%), according to the German Federal Transport Agency (KBA) .
In the Czech Republic and Romania, the national brands Skoda and Dacia control more than a third of the market, in Italy, the national auto industry represents approximately 25% of all sales. But in the UK car market, if the Vauxhall brand, under which the Opel models are sold, is not taken into account, the share of local brands is less than 10%, according to statistics from the British Manufacturers Society and Automobile Dealers (SMMT). The fact is that historically the automotive industry in this country has been represented by numerous premium and luxury car manufacturers: Jaguar, Land Rover, Mini, Aston Martin, Bentley …
According to a consultant from Simon-Kucher & Partners Ivan KondratenkoThe popularity of national brands is largely due to their price: local brands tend to be cheaper than imported competitors due to the presence of protection rights, excise duties, taxes, etc. The countries of the EU, EE. These tools are actively being used by the USA, Japan, China, and others, resulting in higher prices for imported cars, sometimes by tens or even hundreds of percent (for example, in Turkey, car taxes may exceed 100% depending on motor size and base cost)
“Pride in its auto industry and, of course, patriotism also play a role, especially when there is something to be proud of. Patriotism and government support for domestic manufacturers, for example, contribute to the state of the American auto industry and French, which lost its position in the national markets some time ago. ” but restored it. However, there was something to restore: the American Ford, Chevrolet, Jeep or the French Renault, Peugeot and Citroen have a long and glorious history of ups and downs, “said the Finam Group analyst. Alexey Kalachev.
In China, where the number of domestic automakers is measured in dozens, foreign brands still dominate: These are primarily cars assembled in a joint venture with global concerns led by Volkswagen and General Motors. And the share of real Chinese brands is less than 40%, according to the China Association of Automobile Manufacturers (CAAM). At the same time, support measures at the provincial level are quite common in the Celestial Empire, as a result of which locally produced cars predominate in a particular area.
“As a general rule, local brands have a long presence in their home markets, and China is an exception to the rule among large car markets. The history of its auto industry began with organizing the joint production of local companies. and global car concerns, and this resulted in foreign brands being the top sales in China. But it is worth noting that although global brands are more popular in the Middle Kingdom, most of these cars are produced locally “says Ivan Kondratenko.
All Chinese cars are relatively new brands, which have yet to try to compete for popularity with well-known brands as they had to gain market share in South Korea’s Hyundai and Kia, Aleksey Kalachev adds.
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