留住客户的秘诀：抓住客户忠诚度的“最佳点”（2021）_32页_1mb

Summary of "Secret to Retaining Customers: Hitting the 'Sweet Spot'"

Core Content

This report, titled "Secret to Retaining Customers: Hitting the 'Sweet Spot'", discusses the importance of retaining existing customers in China's passenger vehicle (PV) market, focusing on the concept of order loyalty as a key metric. It highlights how carmakers, both foreign and domestic, must adapt their strategies to meet the evolving preferences of customers who are now more mature and seeking higher-end models.

Main Points

1. Definition of Loyalty

• The report defines loyalty as order loyalty, which is a more accurate measure of customer retention than intent loyalty or behavior loyalty.
• Loyalty is calculated based on Yiche's Certified Owner Big Data, with over 1 million data samples.
• The "sweet spot" is identified as a combination of RMB150K–400K price range and 2750–3100 mm wheelbase, targeting mid-size sedans, mid-to-large sedans, mid-size SUVs, mid-to-large SUVs, mid-size MPVs, and mid-to-large MPVs.

2. Trend in Customer Loyalty

• From 2016 to 2020, China's PV owner loyalty rose from 12% to 17.09%, indicating a growing need for carmakers to focus on retention.
• It is predicted that loyalty will continue to rise from 2021 to 2026, making retention a critical factor for competitiveness.
• Foreign luxury brands have the highest loyalty (26.62%), followed by foreign volume brands (18.66%) and Chinese brands (14.02%).

3. Chinese Brands' Challenges and Opportunities

• Chinese brands, such as Geely, Chang'an, and GWM, are facing a significant shift in customer demographics, moving from first-time buyers to more mature, urban customers.
• These brands are struggling to retain customers due to a lack of strong "sweet spot" models, which could lead to a "massacre" in the market.
• Brands like Hongqi and GAC Trumpchi have shown notable improvements in loyalty, with Hongqi increasing by 115.05% to 28.67% and GAC Trumpchi reaching 18.55%.
• LYNK & CO has successfully transitioned its focus to mature buyers with the launch of the 09 SUV, which is expected to be followed by the 07 & 08 models.

4. Foreign Volume Brands' Strategy

• Toyota overtook VW in owner loyalty among foreign volume brands, with a year-on-year increase of 17.59% to 18.66%.
• VW and Nissan have seen a decline in loyalty, suggesting a need for urgent action to retain their existing customer base.
• The report emphasizes that foreign volume brands should rebalance their EV focus, expand their "sweet spot" lineup, and strengthen local R&D to compete effectively.

5. Foreign Luxury Brands' Position

• Lexus led foreign luxury brands with an owner loyalty of 34.36%, while Mercedes, BMW, and Porsche also performed well.
• The report suggests that foreign luxury brands should focus on retaining their own customers and poaching from entry and volume brands as the market shifts.

6. Competition Intensifies

• The report highlights that the battle for existing customers is becoming more intense, with all brands—both foreign and domestic—competing in the "sweet spot" segment.
• The multi-brand strategies of Geely, GWM, and Chery will be tested in this new phase of competition.
• The "sweet spot" offensive is crucial for brands aiming to retain customers and avoid a decline in sales.

7. Future Outlook

• The trade-in and additional purchase segment is expected to grow from 60% of PV sales in 2020 to 80% by 2026.
• Brands that fail to hit the "sweet spot" risk losing customers to competitors.
• The electrification strategy of foreign brands may not be enough to retain existing customers, especially if they do not also focus on the "sweet spot" segment.

Key Takeaways

• Order loyalty is the most relevant metric for customer retention in the Chinese PV market.
• The "sweet spot" is a critical segment for all brands to target, defined by price and wheelbase.
• Chinese brands must develop strong models in this range to retain their growing customer base.
• Foreign volume brands need to expand their product offerings and focus on local R&D.
• Foreign luxury brands should not only compete for new customers but also retain their own.
• The market is shifting from a focus on new customers to one centered on existing ones, with a strong emphasis on product strategy and customer experience.