Acura Finds It Hard to Increase Sales in the Chinese Market

The plan of producing Acura in China has failed to increase its sales in the Chinese market in 2016.
Annual Sales of Acura, one of strongest brands of luxury automobiles in Japan, have been less than 5,000 units in the past ten years since introduced into China, failing to meet one tenth of that of both Lexus and Infiniti, its major competitors.
Sales of Acura, the luxury brand of Honda China, have been 1,199 units in the Chinese market from January to June in 2016. Reportedly, there have been 43 dealers of Acura. In this way, monthly sales of each dealer have been less than five units on average.
There have been reportedly six modes of Acura brought into the Chinese market, including ILX、RLX、RDX、MDX、ZDX and TLX. Total sales of these modes have been 221 units in the first half year. And sales of TLX were 90 units in June, making it the best seller. Sales of RDX dropped to 74 units in June of this year from 293 of last year. Sales of MDX and ILX were 35 units and 21 units respectively.
Small sales has led to adjustment on marketing strategy. Production of Acura was first carried out in China this year. CDX, the first mode of Acura manufactured in China, may be brought to the market on July 29.
Price of CDX, about from RMB 250 thousand yuan to RMB 300 thousand yuan, is lower than that of other modes of Acura. However, bottom price of products of Acura has been higher than that of its competitors, leading to small sales.
Lack of dealers has also insulted in bad performance in promotion and layout, failing to attract customers.
Moreover, personnel management in an appropriate way has great impact on its business. Chinese executives may better know how to build and develop a foreign brand in their own country, according to experts.
Decrease in sales of Acura may make it hard to achieve the goal which means that annual sales may be 100,000 units by 2020.


2005-2014 All Rights Reserved 京ICP备05069564号-1 京公网安备1101054484号