THE CHINESE MARKET
Author
Discussion

Jon39

Original Poster:

14,929 posts

173 months

Tuesday 21st January 2014
quotequote all

We are told that many car companies, are enjoying great success in China.
Mercedes-Benz and some other companies, have manufacturing plants there.

Can anyone say what progress Aston Martin have made, since entering the Chinese market?


montecristo

1,081 posts

207 months

Tuesday 21st January 2014
quotequote all
Roughly:

- 250-300 in 2013
- 200 cars sold in 2012 (around 5% of WW sales)
- 190 in 2011
- 110 in 2010

AM expects China to be 25% of sales by 2017.


http://www.wautom.com/2012/12/aston-martin-sales-i...
http://www.bloomberg.com/news/2013-04-20/aston-mar...
https://www.amoc.org/content/view/1364/844/

avinalarf

6,438 posts

172 months

Tuesday 21st January 2014
quotequote all
With respect ,what is the point of this topic.
Of course Aston Martin should offer colours and interior spec that appeal to the taste of other cultures but you are surely not suggesting that their new models be shaped around the Chinese market.
What next the Brazilian Aston or maybe the Indian Aston with an embroidered Taj Mahal in the headrest !
No ! All Aston have to do is produce a range of performance cars, at the right price say £75K to £150K with the benefit of fuel efficient modern technology ,that people WANT to buy,it really is not that difficult.

Mr Aston Martin

478 posts

190 months

Tuesday 21st January 2014
quotequote all
avinalarf said:
With respect ,what is the point of this topic.
Of course Aston Martin should offer colours and interior spec that appeal to the taste of other cultures but you are surely not suggesting that their new models be shaped around the Chinese market.
What next the Brazilian Aston or maybe the Indian Aston with an embroidered Taj Mahal in the headrest !
No ! All Aston have to do is produce a range of performance cars, at the right price say £75K to £150K with the benefit of fuel efficient modern technology ,that people WANT to buy,it really is not that difficult.
What happened with the FFFRR? The last few incarnations, albeit small accents of the design of the L322 seemed a little bling for the home market.

Let us hope whatever new platform rolls off the production line at Gaydon that the design encapsulates the emotional content of the car it replaces and without an iota of a accountants input anywhere.

Jon39

Original Poster:

14,929 posts

173 months

Tuesday 21st January 2014
quotequote all

Thank you montecristo.

Good news.


avinalarf said:
With respect ,what is the point of this topic.
Of course Aston Martin should offer colours and interior spec that appeal to the taste of other cultures but you are surely not suggesting that their new models be shaped around the Chinese market.
What next the Brazilian Aston or maybe the Indian Aston with an embroidered Taj Mahal in the headrest !
With your username Sir, if I cannot spot any humour, I always have the feeling that I must have missed something.

The point of my question is, if other car manufacturers are doing so well in China, I just hope AM are also making good progress.

avinalarf said:
No ! All Aston have to do is produce a range of performance cars, at the right price say £75K to £150K with the benefit of fuel efficient modern technology ,that people WANT to buy, it really is not that difficult.

I hear that AML are looking for a good leader, a person with vision, and the outlook that,
'it really is not that difficult'. -> smile

Lots of perks, but you will have forum people moaning about you.
Perhaps not then.


Edited by Jon39 on Tuesday 21st January 14:06

avinalarf

6,438 posts

172 months

Tuesday 21st January 2014
quotequote all
Well Jon , this topic has come soon after a similar one regarding the future of Aston Martin.
It must be pretty obvious that Aston will have to be either purchased by a large motor manufacturer as a 'trophy' brand or as is being done incorporate technology from other sources.
The fact remains that they should not and need not alienate their present customer base.
By taking styling cues from the One77 and C100 and incorporating them with modern engine technology I think that's the way to go over the next 10 years .
So, job done.

Edited by avinalarf on Tuesday 21st January 14:19

IanV12VR

2,749 posts

185 months

Tuesday 21st January 2014
quotequote all
I didn't think that at this stage of development of the Chinese car market that 'sports cars' are that popular so it is not a huge market. At the pricier end of the market in China the important thing is to 'show' your wealth which why the large SUV's and saloons but the common thing with these is that they will be driven by chauffeurs. It may be some time before the real sports cars get to be desired as much as they are in the Western world. Another interesting snippet I heard was that convertibles were considered 'a poor mans car' as they couldn't afford a roof. Not sure how true that is but it would be interesting to see what the proportion of convertibles sold to hard tops was.

If you look at Astons range the Rapide is the only four seater but lacks space for the owner to be in the back - great for the chauffeur though wink I could easily see AML achieving 25% of it's production output into the Chinese market because it would be a tiny element of it.

In my opinion that is why there is so much talk about AML/Bentley/RR having a luxury SUV's in their range - it would be a sales winner in the Chinese and Russian markets and create a profit stream that would drive the development of the rest of their business.

robgt

2,587 posts

192 months

Tuesday 21st January 2014
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The trouble with the Chinese Market it will be very short lived. The Chinese are brilliant at copying. You can sure that as fast as they import products they will be being copied at some rate of knots. Which in turn means that the emerging Asian Markets will in a very short time be swamped with look a like , Bentleys, Astons etc. So to those companies hoping that the future looks bright, it will , for a while. Apparently one of Astons biggest importers is would you believe Germany . The Germans get a bit fed up with Mercs and Beemers and love our Aston Martins. Now there could be a country to concentrate on. Patent laws can be enforced there as well !!!

robgt

2,587 posts

192 months

Tuesday 21st January 2014
quotequote all
The trouble with the Chinese Market it will be very short lived. The Chinese are brilliant at copying. You can sure that as fast as they import products they will be being copied at some rate of knots. Which in turn means that the emerging Asian Markets will in a very short time be swamped with look a like , Bentleys, Astons etc. So to those companies hoping that the future looks bright, it will , for a while. Apparently one of Astons biggest importers is would you believe Germany . The Germans get a bit fed up with Mercs and Beemers and love our Aston Martins. Now there could be a country to concentrate on. Patent laws can be enforced there as well !!!

Speculatore

2,003 posts

265 months

Tuesday 21st January 2014
quotequote all
robgt said:
The trouble with the Chinese Market it will be very short lived. The Chinese are brilliant at copying. You can sure that as fast as they import products they will be being copied at some rate of knots. Which in turn means that the emerging Asian Markets will in a be swamped with look a like , Bentleys, Astons etc. So to those companies hoping that the future looks bright, it will , for a while. Apparently one of Astons biggest importers is would you believe Germany . The Germans get a bit fed up with Mercs and Beemers and love our Aston Martins. Now there could be a country to concentrate on. Patent laws can be enforced there as well !!!
"Chinese Market it will be very short lived." "very short time"

I see what you did there......

Neil1300r

5,769 posts

208 months

Tuesday 21st January 2014
quotequote all
IanV12VR said:
I didn't think that at this stage of development of the Chinese car market that 'sports cars' are that popular so it is not a huge market.
McLaren would disagree with you
http://www.bbc.co.uk/news/business-25710088



IanV12VR

2,749 posts

185 months

Tuesday 21st January 2014
quotequote all
Neil1300r said:
McLaren would disagree with you
http://www.bbc.co.uk/news/business-25710088
They may do Neil - but the numbers are tiny in comparison to the numbers of luxury SUV's and saloons that are sold.

Also interesting how young the age of their buyers are - new generation coming through I suppose.

jonby

5,367 posts

187 months

Tuesday 21st January 2014
quotequote all
Some car manufacturers do indeed make models not just influenced by Chinese taste but actually solely for the Chinese market, such as LWB versions of Audi A6 and BMW 5 series - BMW even make a LWB 3 series just for china !

The wealthy in China buy far fewer 2 door sports cars in %age terms than their equivalents in the West but it's based on a much bigger number, so still an important market - basically all the previous posters are both right & wrong !

But in addition to sports cars which are selling in growing numbers for Aston in China, to not make an SUV is not far off from financial suicide/negligence for Aston - it has been proven by Porsche to be no hindrance to their reputation as a sports car manufacturer or for that matter, a hindrance to the competence of their sports cars and it provides huge financial stability

The fact others on this forum may not like the actual product is an utter irrelevance - you don't have to buy it. But a £100k+ Aston SUV would sell like hot cakes. And just think, it may make it easier for Aston to limit production of it's sports cars to meet supply, which would help residuals and encourage customer specced cars !


Jon1967x

8,176 posts

154 months

Tuesday 21st January 2014
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Copy they do...

JLR make pretty much all their profit in China, people walk in and buy a fleet of cars for their hench men and themselves and they do have funny taste (seating arrangements, status is to have a big arm chair in the middle of the back of a car for instance).

AM might be better pandering to the Saudis, chuck in a few helicopters and we have a deal sir?

DB9VolanteDriver

2,658 posts

206 months

Tuesday 21st January 2014
quotequote all
robgt said:
The trouble with the Chinese Market it will be very short lived. The Chinese are brilliant at copying. You can sure that as fast as they import products they will be being copied at some rate of knots. Which in turn means that the emerging Asian Markets will in a very short time be swamped with look a like , Bentleys, Astons etc. So to those companies hoping that the future looks bright, it will , for a while.
People in China who are/would be interested and can afford buying Bentleys and Astons are not interested in knock-offs, so I fail to see these 'copies' affecting sales of the originals. That doesn't mean to say that these knock-offs won't be bought by people, but rather that it won't affect the sales of the originals in any way since they are two very different target audiences.

The copies problem is at the low end of the market where someone is just looking for a decent car.

Jon1967x

8,176 posts

154 months

Tuesday 21st January 2014
quotequote all
jonby said:
- it has been proven by Porsche to be no hindrance to their reputation as a sports car manufacturer or for that matter, a hindrance to the competence of their sports cars and it provides huge financial stability
Porsche did have the ability to raid the family parts bin and reuse the Touareg as a starting place. That's why I think its a shame Ford didn't keep AM and Range Rover together. Maybe an Merc/AMG ML as a starting point?


jonby

5,367 posts

187 months

Tuesday 21st January 2014
quotequote all
Jon1967x said:
jonby said:
- it has been proven by Porsche to be no hindrance to their reputation as a sports car manufacturer or for that matter, a hindrance to the competence of their sports cars and it provides huge financial stability
Porsche did have the ability to raid the family parts bin and reuse the Touareg as a starting place. That's why I think its a shame Ford didn't keep AM and Range Rover together. Maybe an Merc/AMG ML as a starting point?
Absolutely. It's pretty much a shoe-in cert that they will use a Merc (possibly ML but more likely GL) platform. Before Merc ditched Maybach, they were in talks with Aston to use their expertise on interior luxury, something the Germans have traditionally always struggled with. Aston could do a version of the GL which has a subtley different body and a very different interior, charge a huge premium over the merc equivalent for a car that fundamentally may perform no better (albeit much more luxurious) and it would sell really, really well

Let's face it, a huge percentage of buyers of big luxury SUVs barely care about dynamic performance or VFM - it's all about image, looks, etc - just look at the X6 !

downr

3,807 posts

158 months

Tuesday 21st January 2014
quotequote all
Its all about status with the Chinese (or the Chinese that we're talking about, the ones that can afford to buy Ferrari/Bentleys etc). In my job I've interviewed a lot of Chinese graduates, you ask them about their ambitions and its always "i want to buy a bentley!"

I used to look at a high end Chinese Soya sauce manufacturer; its product was bought so that people could put this bottle of expensive stuff on their table. Not so they could actually use it

So the copies wont cut the mustard. No matter how good they are they wont have the status.

The wealthy Chinese all seem to drive SUVs; the roads just aren't good enough for regular use of modern sports cars. And yes, as discussed above, you don't drive yourself, you sit in the back seat, so having gadgets etc there is important. Interestingly there hasn't been a classic car market in the past in China (no air-conditioning! and the car is old!), but there are some early signs of that changing - but again i suspect the cars will be bought as status symbols rather than to be used (which in turn suggests the chinese focus will be on classic ferraris, gullwings and maybe db5s)

Aston obviously has the problem that its brand isnt as well known in China and it doesnt have an SUV. Will it build one? I dont know. At the moment it seems happy with a rising wholesale car price albeit on modest volumes. I dont think the manufacturing capacity is there to start making 1000s of SUVs, so i wont be that surprised if its a low priority (given the development cost)


Little Donkey

1,544 posts

171 months

Tuesday 21st January 2014
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Got all excited when I saw the title of this thread. Thought a drive out to here http://www.huaxing.co.uk was being organised!

tonyhall38

4,194 posts

246 months

Tuesday 21st January 2014
quotequote all
hehe