FAW-_yunnanconstruction_0304.docVIP免费

KunmingConstructionMaterialCompanyVehicleSalesCompanyINTERVIEWDATE:5May2025INTERVIEWERNAME:PaulGaoIntervieweeNameMr.YangSongPositionGeneralManagerCompanyandAddressYunnanPoliceHotelTelephone/Fax0-13808718126BackgroundThisFAWtrucksalescompanyisundertheKunmingConstructionMaterialGroup.ItiscontractmanagedbyMr.YangwhousedtoworkatYunnanMechanicalandElectricalCompany,wherehealsosoldJieFangtrucksTherearesixpeopleworkingatthecompany,andlastyear,itwasFAW’sbiggestdealerinYunnanprovince.However,itdoesnotcurrentlyhaveserviceandpartscapabilitiesSalesIn1999,itsold300JieFangtrucks,including200fromFAWChangchun(therestarefromLiuZhouandQingdao)Thisyear,ittargetstosell350JieFangtrucks(ChangchunandQingDaotrucksonly)Customers:Almostallofitstrucksalesareretailsalestoindividualcustomers.Wholesaleaccountsforlessthan5%ofitssalesMostofitscustomerscomefromoutsideKunming.InYunnan,peopleareusedtotravellingtoKunmingtobuyeverything,evenwhentheycangetthesameproductintheirlocalareaMr.YangandoneofhiscolleaguesspendatleastoneweekamonthvisitingpotentialcustomersalloverYunnanprovince.Hisexperienceisthateventhoughmostendcustomerstodayareindividuals,manyhavejoinedforcetoformtransportationcompaniesinordertogetoperationscaleandtruckfromcustomers.Asaresult,itisveryimportanttodevelopgoodrelationshipswiththeheadofthesetransportationcompanieswhogiverecommendationstodriversonwhattruckmodelstobuy.MrYangspendsmostofhissalescallsvisitingthesetransportationcompaniesandcultivatingtheheadsofthesecompanies.Mostofthesales(90%plus)arestandardtrucksales,lessthan10%arespecialrequestsaleswherecustomisationisrequired.Profitability:Mr.YangreliesonFAW’sannualrebateforprofit.Lastyear,hiscompanymadeaboutRMB30-40Kinnetprofit.Themaincomponentofcostsare:Officeandparkinglotrental:RMB70K/yearSalaryandtravelexpense:RMB100K/year1Entertainmentexpense:RMB30-40K/yearHowever,FAWisveryslowinsalesrebatepayment.Mr.Yanghasnotreceivedhissalesrebateforthe1Qof1999yet!Incomparison,Mr.Yang’scompanydoesnotoweFAWanyvehiclepaymentCompetition:TotalmediumtoheavytruckmarketinYunnanisabout4,000peryearDongFengisverystronginYunnan,andsells2,500-3,000trucksperyear.Itssalesmanagementisalsoverybad.However,itonlyhas2dealersinYunnan(oneofthemisa3in1dealer),whichhasensureddealersalesvolumeandprofitability.AdebtrepaymenttruckisabigproblemforDongFeng.Thisyear,HongYanisalsodoingwellinthemarketbecauseitisabletosellits10.5tontruckdisguisedas5tontruckinYunnan.Comparedtoitscompetition,JieFang’sstrengthis:Goodengine.WuxienginesarewellacceptedbycustomersinYunnan.Incomparison,DongFeng’sCumminsenginessufferqualityproblemsafterlocalisationandsparepartscostistoohighHowever,itsweaknessesare:Rearaxle,transmissionisnotsuitableforover-loading.Mr.Yangsaidhehadonecustomerwhohadtochangehis“JianSuQi”onhisrearaxle8timesinoneyear(eachcostsRMB4,000),manydrivershavetobringaspareseteverytimetheytravellongdistanceLowavailabilityofspareparts.DongFeng’struckqualityandchannelmanagementisnobetterthanFAW,however,itspartsareeasilyfoundeverywhereinYunnan,whichisveryconvenientfordriverstohavetheirvehiclesservicedLowinvestmentinbrandadvertisingandproductpromotion:ManycustomersarenotawareofFAW’snewproductsuntiltheyseetheproductsindealers’parkinglotorlearnfromfriendsInternalcompetitionfromQingdaoandLiuzhou.LiuzhouandQingdaoofferverycustomisedproductswhicharesoldatlowerpricesthanFAW’sownproducts,theyhavetakenawayalotofbusinessesfromFAW.ThreeinOneConceptsMR.YangisplanningtodevelopthreeinonecapabilitiesasrequiredbyFAW.However,beforehemakestheinvestment,hehopesFAWcanconsolidateitsdealershipsinYunnan:Rightnow,therearefourdealersinYunnan,noneofthemcanmakealotofmoneybecauseofthelowvolume.ThishaspartlyheldthembackinmakinginvestmentinserviceandpartsFAWshouldconsolidatevolumearounddealerswhoareloyalandcommittedtoFAWJieFangbrand,i.e.,Mr.Yang’scompany.HeisconfidentthatifheismadetheonlydealerinYunnan,hecouldsellmoretrucksthanthecurrent4dealers2