How to break the future of second-hand car electric dealer?

11. The 28 Global auto Market Conference held in Shanghai International Sourcing Center, Zhi Jun as an intelligent driving reporter, gladly accepted the invitation of Autolab as the organizer, at the venue we intercepted some very inspiring guest to share, to let the second-hand car electric dealer followers know what you want. The following is Mr. Dai Kun, Chairman of Uniqlo.

I want to set my main share in three sections

The first is to share the changes in the second-hand car industry.

2nd in the context of this change, we will see in the next phase what is going to happen to the real industry.

The last aspect I am talking about the combination of electric business and traditional industry, what is the change for the development of this industry.

Now used cars are not the hottest, but also the hottest area

I think that the heat of the investment market today is greater than the market maturity of this is a real situation. is because the entire used car industry has a feature that the future is very certain.

So what is the size of the entire used-car market, which we said was the size of the volume. So we have the opportunity to grow, in fact, in my 2005 since the British study, no hesitation to jump into the second-hand industry, at that time to believe that the blowout will certainly come, but has not come. The market for used cars has not changed, we have not changed through the Internet, why is it because we in the past analysis of second-hand cars, overlooked a very important factor, that is, we call the average age of quantity, what is this concept? Today, we have 140 million units in China's car, there are 80 million units in the past sold out, so the vehicle's reuse life when not reached a certain level, in fact, the entire market does not flow, the vehicle is actually in the original owner above.

Today we have 11.4 years of this car in China, the United States is 6.7 years, so this is not only from the question of the amount of possession of the age of the problem, the two parameters have the advantage that the age of retention must be the president, as we retain the amount of this age increases, then the overall market size will increase. I want to say is two core factor, is to drive the second-hand car market in the future will have a huge scale market machine, therefore everybody is willing to make the layout and the investment in advance.

In fact, there is a watershed in the second-hand car electric dealer, so I think this is the December 23 in 2010, Beijing has a restriction on the purchase of the policy, then this restriction on the purchase of the policy is to say that the whole is to limit the level of the market, all consumers must go to the lottery to obtain the license to buy vehicles, The first thing we see is limiting the volume of new cars, but in fact, it also limits the volume of used cars, because whether you buy a new car or a second-hand vehicle needs an indicator, then the policy also agreed that to participate in the lottery must be the name of the consumer without vehicles, So most of them are the first car to buy this vehicle.

So consumers in the purchase is not clear, will choose a more secure and mature new car, so in the case of Beijing restricted purchase, the whole market because of policy reasons for the huge distortion, from Beijing's market from oversupply into less than demand. So where does the car come from? Replacement, consumers to buy a new car, where the car sold to, by 2011, a huge change, the local consumers can not buy the return of the market 350,000 units of this vehicle, then the vehicle has a large area of the other market relocation. Then gradually increased in Guangzhou, Hangzhou, Tianjin and other more and more restricted cities, then gradually the national second-hand market becomes oversupply.

Then, in the condition of oversupply, we are taking quota. In order to be less than the market, I can not receive so many cars, I have 50% of the money into the inventory, 50% of this money in their own pockets, then in such a market considerations I pursue the core interests of the problem is to obtain this vehicle source. So the change of the whole market, from supply less than to become oversupply is what I see is the root cause of this industry.

So here's the second reason.

When we know the opportunity is coming, the whole industrial structure changes, then we think that the first thing is the whole market will begin to fine division of labor, when the market exceeds supply, there will be a typical problem, is I just an example, I have 1 million of this advanced, when oversupply of time , I will find that 1 million of the cash can be turned into inventory, so the problem with oversupply is that one can still be accepted, then my 1 million of the money is facing 20 acquisition opportunities, then the choice is coming.

In fact, in this process, from their own distribution inventory structure, from the entire industry positioning, we began to make the choice of differentiation, so in our identification in the era of fine division of labor, from the industrial structure, dealers can be divided into buyers and retailers, then of course, sometimes they will be a person, But will face two 5 different faces, I from the retailer, if in the past I can build 10 inventory, I put 5 units, but in excess of the situation I will enter this car, I think I will not. This is a normalized inventory structure for me, so in this structure, the retailer starts to make inventory choices, and the acquirer needs to exchange the purchased vehicle, which is why we are doing the wholesale market today, first helping the retailer to find an opportunity that does not need to be sold, and the opportunity to help retailers buy these vehicles.

Used car industry profits will be the atmosphere of the acquisition of profits and retail profits, when I overcharging I want to lower than this price to collect, then I want to sell the time can be higher than the price to sell.

What does this e-commerce bring to the second-hand car?

In fact, I think the most important thing is transparency, consumer online has decided to buy this is very important, there are two reasons for this, one is the consumer environment, Jingdong has this case can give everyone, the second is when we pass the way of the electric business, no longer just to provide a message to the goods, But when the commodity is electronic, we can usher in the consumer's opportunity to make decision online. The most important thing to do electronic goods is transparent, we can bring this efficiency through transparency, I have done in these three links to share, then the buyers and sellers, good service, buy a house with sincerity, you can quickly complete the transaction.

We are in the middle of this environment, B2O brought us this problem is what it is, the condition is transparent, I took out the report, everyone is very transparent. Then the future pricing will be more simple, the transaction will become more efficient, then finally in the retail link, then we also hope that today in fact, dealers have a lot of pain point, there are 75% of vehicles in fact there is no accident, but we consumers think that every second-hand car has an accident, why, as long as you have two, As long as you don't really tell me, as long as you do not protect, I will question all of you this product, so this gives the consumer to bring the pain point, then really is in the safeguard above to do the propaganda, the on-line provides the more choice opportunity, then in the market transparent mechanism, will also be the fittest, will eventually bring this environment the change.