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The road ahead for the O2O model of auto parts retail is long

(Summary description)What is "Internet+"? Since Premier Li Keqiang put forward the "Internet+" action plan in the government work report, the term has become popular. Riding on the spring breeze of reform, in the field of auto parts, "Internet + parts" is also gaining popularity. Auto parts companies are actively working to integrate Internet e-commerce channels with traditional channels.

The road ahead for the O2O model of auto parts retail is long

(Summary description)What is "Internet+"? Since Premier Li Keqiang put forward the "Internet+" action plan in the government work report, the term has become popular. Riding on the spring breeze of reform, in the field of auto parts, "Internet + parts" is also gaining popularity. Auto parts companies are actively working to integrate Internet e-commerce channels with traditional channels.

  • Categories:Industry News
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  • Time of issue:2021-08-23 14:35
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What is "Internet+"? Since Premier Li Keqiang put forward the "Internet+" action plan in the government work report, the term has become popular. Riding on the spring breeze of reform, in the field of auto parts, "Internet + parts" is also gaining popularity. Auto parts companies are actively working to integrate Internet e-commerce channels with traditional channels.

Recently, Michelin Chijia held an O2O solution media communication meeting in Shanghai to introduce and launch an integrated solution on how to better integrate online and offline services. In 2014, Bosch launched a professional maintenance franchise business in China-Bosch Autolink, and took the lead in the auto repair chain field with a complete online and offline solution of "accessories + diagnosis + service". In addition, domestic parts and components companies are also developing similar businesses. In the past two years, Fengshen Tire and Chaoyang Tire have launched F2C e-commerce models (F2C refers to Fac-torytoCustomer, that is, from factory to consumer). In fact, these types of models are interlinked, and they all belong to accessory manufacturers leading the development of Internet e-commerce channels.

At present, "electric shock awareness" is affecting various auto parts companies. These companies choose different models to expand Internet sales channels based on their respective needs, customer groups, and product attributes. Through combing, the reporter concluded two models: one is an e-commerce platform developed by auto parts companies, and some companies create e-commerce platforms with their own brands, such as opening their own websites, mobile clients, etc.; some Companies rely on third-party platforms to open official flagship stores. The other is that dealers use third-party e-commerce platforms to expand online sales channels. According to different customer groups, different e-commerce platforms are selected for cooperation. Some rely on integrated e-commerce platforms such as Tmall and JD to directly face consumers; some Relying on professional auto parts network or maintenance platform such as Huicong and Zhongchi Auto for maintenance factories.

Conflict with traditional channel suppliers is a common problem

Although companies are actively "shocked", the e-commerce of parts and components companies is still in the early stage of development. Although different e-commerce models have different problems, they also have common problems. It is understood that whether it is enterprise-led or dealer-led, the online product prices are too transparent and the customer base is lost. "Regardless of the model, the main conflict is the conflict between the Internet channel and the existing channel." said Zhang Ming, deputy director of the marketing strategy department of Fengshen Tire Co., Ltd. “Online products are too transparent and will suffer offline boycotts.” Said Wan Xinyu, vice president of Shenzhen SEG Navigation Technology Co., Ltd., SEG Navigation had cooperated with Taobao in 2011. Due to the relatively strong offline channels, it will be launched online. The business of SEG was resisted offline, and SEG Navigation finally withdrew from the Taobao platform.

However, most companies said that at this stage, because online sales cannot compete with offline traditional channel sales, the impact is not significant, but the online model must be a trend in the future. Therefore, various auto parts companies are actively exploring how to better seamlessly connect online and offline services to ensure their respective profits. How to resolve the conflict between online and offline customer groups? At present, the industry is talking about differentiated sales of products. The biggest difference between online sales and offline sales is reflected in product prices. So, is the so-called "differentiated sales" differentiated from price? Zhang Ming believes that price is an important aspect, but differentiated sales should start from the source, and the development of new online brands should be distinguished from offline ones. We must plan in terms of price, packaging, and overall positioning, but we must also ensure that online and offline products can meet consumers' needs for product quality and after-sales service.

Online and offline integration is the key to the leading model of accessory companies

The reporter learned through interviews that the problem encountered by the enterprise-led model is that the coverage of the wired and offline network is not wide enough, the product is too single, and the online and offline fail to achieve effective integration.

At Michelin’s media communication meeting, Liao Chuhang, general manager of Michelin’s Chijia business, introduced that Chijia’s offline stores have expanded to 1,100 stores, covering 31 provinces, of which the online and offline integration program has covered 580 stores. Layout. So when Michelin completes the layout of these 1,100 stores, will it be able to meet the needs of consumers across the country? Industry insiders have given such a view that if the needs of consumers across the country are to be achieved, the basic number of offline stores should be 2000 to 3000 stores. However, Liao Chuhang also said at the meeting that the number of Michelin Chijia offline stores will continue to increase. "The main problem of the network platform built by the component companies is that the product is single, and it is impossible for each manufacturer to produce all-encompassing products." Chen Yujin, director of the marketing department of Yizheng ASIMCO Shuanghuan Piston Ring Co., Ltd., said that many products that need to be installed later, The lack of offline service models has resulted in the ineffective integration of online and offline services.

In response to the single product problem, parts and components companies are actively looking for solutions. For example, Michelin Chijia and Bosch Auto Union have expanded the platform's parts procurement channels through cooperation with different companies. Regarding how to expand the offline service model, some companies have planned to open up urban installation service vehicles to carry out rescue services and door-to-door installation services. According to Zhang Ming, Fengshen will have relevant plans in the next 3 to 5 years, and consumers will be able to enjoy the above services through mobile apps. "On-site service can be provided by entrusting regional sales representatives and distributors, or directly sending factory after-sales personnel." Chen Yujin told reporters.

The dealer-led model needs to integrate accessory products and Internet technology

In the interview, the companies that chose to cooperate with the integrated e-commerce platform believed that the intricate parts and components, the imperfect establishment of the integrated e-commerce platform database, resulted in the inability of the part models to match the models, and the ineffective integration of product information and network technology. Although choosing a professional auto parts network or a maintenance network has a comparative advantage in the database, the platform does not have a strict review system for the qualifications of the merchants stationed, resulting in uneven quality of parts and lack of brand awareness. "The online store established by dealers can achieve variety, serialization or modularization, but dealers cannot solve their own unbranded defects. Products and services still need to ask accessory manufacturers to help." Chen Yujin said, many third-party network platform technicians Without understanding of the technical characteristics and parameters of the sub-industry, the designed network framework can hardly reflect the true characteristics of the accessory products, so enterprises should choose a relatively professional auto distributor platform for cooperation.

The reporter learned that some of the more outstanding professional auto parts websites have done a good job in the integration of technology and products, and the qualification review of the merchants stationed there. It is worth learning from the comprehensive platform. If the parts are sold to offline member repair shops, the offline member repair shops will then form a maintenance alliance, and the second type repair shops in the alliance will be developed into a community maintenance chain, and the third type repair shops will form a repair chain store. "The members are divided into categories and unified requirements , A unified brand for effective management is conducive to solving the fake, chaotic, scattered, and poor status of China's auto aftermarket." said Zhang Houqi, CEO of Zhongchi Auto Fu.

Knowledge link:

Various e-commerce models for auto parts

1. Accessories companies are leading the opening of their own-brand e-commerce platforms, websites and mobile clients.

Bosch Autolink: Bosch Autolink is a professional maintenance franchise business of Bosch initiated by Bosch in China. It provides consumers with auto repair services with a standardized "parts + diagnosis + service" solution. As of the end of 2014, it has developed 50 Franchise stores, and plans to reach 1,000 in the next three years. Bosch Autolink can currently provide consumers with one-stop professional car services, including electronics/electrical, inspection/maintenance, diagnostic systems, transmission repair, gasoline car services, engine management, brake systems, regular machine repairs, tires/suspension, and others Technical Services.

Michelin Chi plus: Michelin Chi plus is the automotive after-sales service brand launched by the Michelin Group in 2002. As of the end of February 2014, Chijia Network has nearly 1,000 stores. Michelin Chijia can provide consumers with six categories of services and related products, including tires, oil, brakes, lights, wipers, batteries and other related services. At present, the main partners are well-known brands such as Total, Castrol, Shell, Bosch, and TRW.

Second, accessory dealers are leading the use of third-party e-commerce platforms to expand online sales channels. This category is further divided into four e-commerce models: mall e-commerce, C2B user customization, B2C+O2O model, and B2B2C+O2O model.

Mall-type e-commerce: Mall-type e-commerce is mainly based on Taobao, Tmall, JD, Amazon, including the e-commerce platform itself and aftermarket accessories products sold by third-party merchants, which include many parts companies and distributors Opened flagship stores, regional distributors and third-party merchants specializing in accessories for a certain model. Shopping malls are mainly engaged in maintenance accessories, repair accessories and car maintenance products.

C2B user customization category: C2B user customization category is based on the aftermarket services of user customization category. Generally, consumers put forward service requirements on the platform, and suppliers and distributors provide corresponding accessories and services based on consumer orders. This mode requires consumers to have good vehicle or maintenance knowledge, and they should also be familiar with auto parts and related knowledge.

B2B+O2O model: The B2B+O2O model adopts an "online sales, offline service" approach. The main business of this type of model is mainly positioned in the car maintenance service in the automotive aftermarket, which is second only to the car wash business, and there is no good breakthrough in the sales and maintenance of auto parts.

B2B2C+O2O model: The B2B2C+O2O model is a deeper integration of parts sales and services. This e-commerce model provides users with integrated parts and services. The feature of this model is that e-commerce products are only sold to offline service providers. At present, this model is also focused on maintenance services, with few parts sales, installation and maintenance.


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