· Dealer network growth slows down asset lightweighting into a new trend

On the 2nd, China Automobile Dealers Association released the development of dealer network in 2014: In 2014, the number of dealer networks nationwide continued to grow, with a growth rate of about 6.5%; the growth rate slowed down, which was lower than the growth rate of passenger car sales. The drawbacks of the 4S model that is highly dependent on high resource investment are gradually highlighted. Therefore, the lightweighting of channel assets is becoming an innovative thinking under the new situation.
According to reports, as of the end of 2014, the number of joint venture brand manufacturers has the highest number, reaching 12,252, accounting for 46.5% of the national dealer network; the minimum number of imported car brand networks is 2,483, accounting for 9.4%; the number of independent brand networks is 11,632 Home, accounting for 44.1%. If we exclude some unconventional increases such as Baojun and Jianghuai that use existing resources to rapidly expand the passenger car network, the number of independent brand networks is 8,392.
In 2014, domestic automobile consumption continued to grow, with passenger car sales increasing by 9.9% and the market size approaching 20 million. But for car dealers, the situation is not optimistic. High inventory and price inversion have become a common phenomenon in the industry.
In the past March, the dealer inventory warning index was 67.5%, up 16.6% from the previous month, and still above the warning level. In fact, in recent months, this index has basically not fallen below the warning line. Even in February, which was affected by the Spring Festival holiday, it did not break.
Since the second half of last year, the "contradictions" between dealers and car companies have suddenly escalated. A number of auto brands have been asked by distributors for joint subsidies, as well as requests for changes to business policies. A number of industry associations also stood up and shouted.
At present, the cost of building various brands is high, and the land resources for building stores are increasingly scarce. The capital efficiency is low, and the dealer recycling cost period is long, generally 3-5 years. At the same time, with the continuous development of Internet technology, e-commerce and other companies are also squeezing the living space of traditional dealers.
Traditional channels are facing challenges from all sides. The excessive investment has caused the asset pressure to increase, which has hindered the development of some brand channels, and the lightweighting of channel assets is becoming an innovative thinking under the new situation.
For example, in terms of liquid assets, it is possible to solve the inventory capital occupation by rationally controlling the inventory; rational use of financial instruments to achieve light assetization. In terms of fixed assets, it is possible to diversify channel models, optimize network costs, rationally control network scale, and establish more exhibition halls and experience centers to achieve lightweight

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