Shanghai, July 4, 2019 – JD Power, the world’s leading consumer insight and market research organization, today released the 2019 China New Car Purchase Intention StudySM (NVIS). Studies have shown that Chinese consumers’ car purchase budget and willingness to repurchase have both declined, and providing a variety of configurations may increase consumers’ willingness to purchase a car.
The research on China’s new car purchase intention has entered its eleventh year. The study focuses on the intended car buyers’ cognition and attitude towards car brands, the brands and models they are considering buying, car buying considerations and information sources, etc. Intended car buyers refer to consumers who plan to buy a car within the next 12 months.
Research shows that in 2019, the car purchase budget of Chinese intentional car buyers has shrunk by 12% compared to last year, from 244,000 in 2018 to 215,000 yuan, and the demand for repurchase has decreased year by year. The proportion fell from 37% in 2016 to 20% in 2019.
Wang Qinghua, joint research director of JD Power China, said: “Most of the motivations of Chinese consumers to buy cars are flexible demands such as improving the quality of life and enjoying driving experience. It is hard to call the new car market optimistic.”
The study on the reasons for car purchases of intended car buyers found that while the proportion of other reasons for car purchases was basically the same as last year, the proportion of “diversified configurations to choose from” rose from 3% last year to 7%, and the importance ranking rose from 11th. jumped to the 6th place. Among them, consumers have the strongest demand for multimedia configuration. Car navigation/GPS (68%), Bluetooth/car phone (58%) and Internet of Vehicles/car Wi-Fi (56%) are respectively the consumers who “definitely” install The top three configurations of .
“In the case of insufficient driving force for new car sales, providing diversified and differentiated vehicle configurations may increase consumers’ willingness to buy cars. When consumers’ car purchase budgets exceed 100,000, expectations for configurations will increase significantly, but This budget range is difficult to cover most configurations or some high-end configurations. Comprehensively assessing the actual needs of consumers and providing flexible configuration options to meet their needs may become the way for automakers to win in the current challenging market One.” Wang Qinghua thinks.
Other findings from the study:
The brand influence of self-owned new energy vehicles is relatively weak: the brand influence score (BIS) index shows that although the self-owned new energy vehicle brands have established a smart and forward-looking brand image to a certain extent, the overall brand image is not clear enough, and the brand influence Ranked lower in the overall auto industry.
· Intended owners of new energy vehicles are more concerned about battery technology and product quality and reliability: The mileage anxiety of the prospective new energy vehicle buyers interviewed has been significantly eased compared with last year, and the concern about “insufficient mileage” has dropped from 42% last year to 20% this year 33%, but the respondents who are worried about “battery technology is not mature enough” and “product quality is unreliable” have increased to 42% (+9%) and 30% (+8%) respectively this year.
The study also included the Brand Influence Score (BIS), a 1,000-point scale that measures the familiarity and liking of an auto brand among intended car buyers in China. BMW (685 points) has the highest brand influence score, followed by SAIC Volkswagen (677) and FAW-Volkswagen (673).
The 2019 China New Vehicle Intention Study (NVIS) is based on feedback from 11,977 intended car buyers, covering a total of 67 brands. Data collection for this study was conducted through an online survey from March to April 2019.