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Guangzhou Honda adopts new brand strategy to grab market share
Last Updated(Beijing Time):2009-01-21 10:58

By Wang Weiwei

Ten years ago, ACCORD, the first car model in line with international standard brought into domestic market, introduced newly established Guangzhou Honda to Chinese people, and has now become a strong support to the brilliant achievements of Guangzhou Honda in the ten years. Ten years later, in December 12th of 2008, Guangzhou Honda launched its first mid-grade car model, CITY. Again this model is carrying the dream and wish for the future development of Guangzhou Honda; what's different is that ten years ago ACCORD gave Guangzhou Honda a bright start, while ten years later, under the corporation brand of Guangzhou Honda, new models are successively launched to enrich the product line. CITY is just a beginning.

Thinking of the past ten years, Guangzhou Honda impressed people most by the high efficiency in development and many "firsts" in the industry.

During the ten years, Guangzhou Honda took the pattern of progressive development and realized the breakthrough of production from one thousand sets to thirty-six thousand sets. The product line is also extended from ACCORD the only brand to four brands including ACCORD, ODYEESY, FIT and CITY, covering mid-high-grade car, mid-grade car, economic car and MPV etc. During the past ten years, Guangzhou Honda has produced and sold over 1.5 millions cars in total and become the pioneer and leader in Guangzhou automobile industry.

Ogawara, General Manager of Guangzhou Honda, introduced that after ten years' of fast development, Guangzhou Honda had successfully established two brand systems, HONDA and LINIAN, and owned two factories in Huangpu and Zengcheng, and one R&D company. There are over 420 4S-stores throughout the country. The domestically made spare parts of each model of Guangzhou Honda have accounted for over 90 percent. It has formed perfect production system, R&D system, sales service system, supply chain system, and quality management regulations and personnel training projects supporting these systems, which has laid sound foundation for the future ten years' development of Guangzhou Honda.

During the ten years' of development, Guangzhou Honda keeps running ahead in the industry by first keeping pace with international step when introducing the latest car model, first bringing in 4S special service shops in line with international practice, first initiating after-sale service technology and technique competition, first actively implementing call-back, first developing self-owned brand in joint venture company...

At the moment of celebrating the ten-year resplendence and starting another ten-year journey, Guangzhou Honda published a wholly new corporation brand slogan-- 'Act by feeling the world'. Ogawara expressed that the future market competition would be the competition between corporation brands. Since the launching of 'LINIAN' in 2008, Guangzhou Honda has stepped into a new era of HONDA-LINIAN double brands operation. It needs to change the traditional situation of driving the corporation brand by product brand, and has to establish a powerful parent brand of the corporation so as to efficiently raise the market shares. For this reason, Guangzhou Honda published its new corporation brand slogan---'Act by feeling the world'.

'Act by feeling the world' can represent Guangzhou Honda and each of its employees: by feeling the demand of consumers and the change of social environment, to penetrate the essence of change, so as to challenge new things, open new trend and create new value in a special manner and share the surprising sensations with consumers. 'Act by feeling the world' is at the same time also a kind of serious promise to the consumers, to the society and to the future. Stepping into a new ten-year, Guangzhou Honda not only needs to make progress in sales volume and market shares, but also expects to become the most creative and the most reliable car brand in consumers' mind, and to become the industry leader in regard with product safety, environment protection, energy saving and corporate social responsibility and corporate image.

The launching of CITY was especially arranged at the 10th anniversary of the company. It can be taken as a gift to the 10th birthday and can also indicate the great expectation on this first mid-grade model. Yao Yiming, the Executive Deputy Manager of Guangzhou Honda, announced at the anniversary that CITY was launched in December 23rd simultaneously throughout the country, including five models with two types of delivery capacity---1.5 Liter and 1.8 Liter. The manufacturer's suggested retail price (MSRP) ranges from 96.8 thousand yuan to 149.8 thousand yuan: 1.5L Comfort (MT) is 96.8 thousand yuan, 1.5L Elite (MT) is 106.8 thousand yuan, 1.5L Elite (AT) is 116.8 thousand yuan, 1.8L Comfort is 129.8 thousand yuan and 1.8L Luxury is 149.8 thousand yuan. Compared with the eighth generation ACCORD, CITY will enjoy the same maintenance policy of 'whole-car for three years or 100 thousand kilometers'. This is the highest level of whole-car maintenance policy in domestic mid-grade car market.

To completely satisfy consumers' demands and develop a new-generation mid-grade car which can really meet consumers' value pursuit, Honda took 'leading technology with more pride' as its development idea, and on the basis of inheriting the existing advantages of HONDA including safety, environment protection and energy saving, added creative and smart design and focused on the improvement of three aspects including sight-attracting appearance, easy driving operation and comfortable seating space, in order to make CITY a car worthy of pride to observe and drive. Its six features including special appearance, comfortable space, powerful engine, pleasure of music, saving of oil and guarantee of safety have brought vigor to the mid-grade car market, during which the leap-forward development of CITY was completed.

Marked by the launching of CITY, Guangzhou Honda is stepping on another journey starting from the high level achieved during the past ten years. Facing with a more complicated competition environment, a richer product line and more advanced ideas will provide guidance for Guangzhou Honda. 
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