Subscribe free to our newsletters via your
. Military Space News .




CAR TECH
Automakers in China eager to sell - and resell
by Staff Writers
Beijing (AFP) April 21, 2014


China's car market is just gearing up as the world's largest, yet automakers are already eyeing the next big thing -- the market for reselling them.

Their eagerness to attract buyers in the world's largest car market is on full display at the Beijing International Automotive Exhibition, which opened to the public on Monday with more than 1,000 vehicles on show.

Motor enthusiasts crowded around the displays with their spouses and children in a festive atmosphere to seek inspiration from the new models, while executives representing brands from across the globe also made appearances at the show, China's biggest.

China has become a vital market for foreign brands as business in other regions flags.

Yet the boom in sales -- which last year rose 14 percent to 22 million vehicles -- only took off a decade ago.

And the nation only overtook the United States in 2009 to become the world's biggest auto market.

With such a brief period for new cars to hit the market and for China's still-expanding middle class to make the costly purchases, the second-hand market has yet to develop.

Also lacking is the necessary infrastructure such as dealerships and, in particular, guarantees of quality.

But by setting up the systems to provide such assurances, automakers hope to win over second-hand buyers and sellers who have otherwise largely resorted to doing informal deals among themselves.

"This is a massive new car market in China, which creates a bywave of a pre-owned car market as well, so all our retailers should be ready for this," said Andy Goss, director of group sales operations for Jaguar Land Rover.

The second-hand market is "a fundamental part of our footprint", he added.

Jaguar Land Rover is setting up the systems needed to support such a market, including insurance, vehicle checks, presentation standards and marketing, Goss told AFP.

- Used-car sales lag behind -

At present used-car sales in China lag far behind new ones, although estimates are rough because of the large informal market.

Only about 35 used cars were sold in China for every 100 new ones, compared with a far higher ratio of 270 old for every 100 new in the United States, said Dominique Boesch, head of the Audi sales division at FAW-Volkswagen.

The key is to convince buyers that a second-hand car offers as much reliability as a new one, said Frederic Banzet, director general of Citroen, adding that the French automaker planned to provide such assurances.

"We explain to them that these vehicles have been checked," Banzet said.

Volvo CEO Haakan Samuelsson told AFP that the company aims to bolster its maintenance and inspection systems to give confidence both to second-hand buyers and sellers.

"It's a key factor for the customer: how much do I get back when I sell it?" Samuelsson said.

The company wanted to make a two-year-old Volvo more attractive than a brand-new but cheaper alternative brand, he said.

"This is a very interesting alternative for our customers."

.


Related Links
Car Technology at SpaceMart.com






Comment on this article via your Facebook, Yahoo, AOL, Hotmail login.

Share this article via these popular social media networks
del.icio.usdel.icio.us DiggDigg RedditReddit GoogleGoogle




Memory Foam Mattress Review
Newsletters :: SpaceDaily :: SpaceWar :: TerraDaily :: Energy Daily
XML Feeds :: Space News :: Earth News :: War News :: Solar Energy News





CAR TECH
Chinese dream trumps environment as cars sales boom
Shanghai (AFP) April 18, 2014
When accountant Ariel Wang bought a new car a few weeks ago, environmental protection was far from her mind even though smog has reached crisis levels in China's commercial hub Shanghai. She settled on a sturdy sport utility vehicle, the Audi Q5, as the ideal family car for her husband's daily commute to work and transport for her young daughter at the weekends. "We didn't really think ... read more


CAR TECH
Russia warns Ukraine against missile technologies proliferation

Japan orders to shoot down any new N Korea ballistic missile launches

US to send two more missile defence ships to Japan: Hagel

Russia's new S-500 system to destroy any target at any altitude

CAR TECH
Software update for Common Missile Warning System completes CDR

French test fire new cruise missile

South Korea seeking Sidewinder missiles from U.S.

US, UK parts in North Korea rocket

CAR TECH
S. Korea spurns North's call for joint drone probe

Google buys solar-powered drone maker Titan Aerospace

N. Korea denies link to drones recovered by South

S. Korea says drones were from N. Korea

CAR TECH
NGC Ships Payload Module For 4th Advanced EHF Protected ComSat

Harris, Exelis win Army radio contract

Fourth AEHF Protected Communications Satellite Begins Integration Months Ahead of Schedule

Intelsat and L-3 Test Protected Air Force Tactical Technology on Ku-band

CAR TECH
US actor Michael Douglas fronts disarmament initiative

Comtech continues Blue Force Tracking support

Croatia now operates former U.S. military vehicles

Britain taps BAE Systems for illumination artillery shells

CAR TECH
Japan military in popularity push

Global military spending drops, led by US: SIPRI

German government to cancel Saudi tank deal: report

British defence minister in Saudi talks

CAR TECH
'Criminal' use of force by Ukraine would imperil talks: Lavrov

Tokyo governor to make 'city diplomacy' visit to Beijing

Russia fighter jet buzzed US destroyer: Pentagon

Ukraine in the balance

CAR TECH
The Motion of the Medium Matters for Self-assembling Particles

Never say never in the nano-world

Nanosheets and nanowires

Fabricating Nanostructures with Silk Could Make Clean Rooms Green Rooms




The content herein, unless otherwise known to be public domain, are Copyright 1995-2014 - Space Media Network. All websites are published in Australia and are solely subject to Australian law and governed by Fair Use principals for news reporting and research purposes. AFP, UPI and IANS news wire stories are copyright Agence France-Presse, United Press International and Indo-Asia News Service. ESA news reports are copyright European Space Agency. All NASA sourced material is public domain. Additional copyrights may apply in whole or part to other bona fide parties. Advertising does not imply endorsement, agreement or approval of any opinions, statements or information provided by Space Media Network on any Web page published or hosted by Space Media Network. Privacy Statement All images and articles appearing on Space Media Network have been edited or digitally altered in some way. Any requests to remove copyright material will be acted upon in a timely and appropriate manner. Any attempt to extort money from Space Media Network will be ignored and reported to Australian Law Enforcement Agencies as a potential case of financial fraud involving the use of a telephonic carriage device or postal service.