Semi-annual report of global luxury brands: average decline of 20.4%. China has become the core of future development.

As of July 27th, there were16.34 million confirmed cases in COVID-19, but so far, disease control experts believe that the turning point of the global epidemic has not yet arrived.

Affected by the epidemic, all walks of life around the world are affected to varying degrees, and the automobile industry bears the brunt, including the Geneva Motor Show, the Frankfurt Motor Show, the new york Motor Show and other international auto shows. Major car companies have laid off employees, closed factories and reduced wages; Sales have declined to varying degrees. The data shows that in the first half of the year, the sales volume of global car companies fell by an average of 25%.

In this regard, industry analysts believe that the emergence of the epidemic has made the automobile industry with poor economic environment worse. It is worth noting that compared with the overall automobile market, the decline of luxury brands is relatively smaller than that of the overall automobile market, with an average decline of 20.4%. Thanks to the effective prevention and control of China epidemic, China auto market took the lead in a V-shaped rebound, and some luxury brands rose against the trend in China.

In addition, under the dual influence of economic environment and epidemic factors, driven by consumption upgrading, luxury brands have a situation of "danger" and "opportunity" coexisting.

1

Luxury brands fell in the first half of the year? ABB's sales dropped by 20.4% on average.

Since the outbreak, the global automobile market has been in trouble. In the first half of the year, the overall automobile sales fell sharply, and the average decline rate of automobile enterprises reached 25%. According to the overall data, car forecasters found that in the development of global mainstream car companies, the data of luxury car brands changed obviously in the first half of the year.

ABB's global sales data for the first half of this year

The data shows that among the three major luxury car brands in the world, the global sales volume of BMW Group in the first half of this year was 963,000 (including BMW, MINI and Rolls-Royce), down 23% compared with the same period last year. Among them, the sales volume of BMW brand was 842,000 units, down 265,438+0.7% year-on-year. Mercedes-Benz sold 935,000 new cars worldwide, down 65,438+07.6% year-on-year. At the same time, the Audi brand sold 707,200 vehicles in the first half of the year, down 22% year-on-year.

In contrast, ABB's sales in June and June fell by an average of 20.4%, which was lower than the average decline of the global mainstream automobile brands. In addition to the three luxury car brands, among other luxury brands that have announced global car sales, the cumulative data is also declining, but the decline is not large.

Sales data of luxury brands in the first half of the year

According to official data released by Volvo Cars, in June this year, its global sales volume was 665,438+0,000 vehicles, a slight decrease of 2. 1% year-on-year, and the decline gradually narrowed. 1-6 months, the overall sales volume of Volvo cars was about 270,000, still 20.8% lower than the same period last year.

In addition, Jaguar Land Rover sold 65,438+084,000 vehicles worldwide from June to June. In June, Jaguar Land Rover sold 35,334 vehicles worldwide, down 24.9% year-on-year, which was the biggest decline among luxury car brands. Another luxury car brand, Porsche delivered 65,438+065,438+07,000 cars worldwide in the first half of the year, down 65,438+02% year-on-year.

Overall, in the first half of 2020, the sales data of most luxury car brands showed a double-digit downward trend. However, with the control of the epidemic and the resumption of operation of various automobile brands, the global automobile development began to get on the right track, and the advantages of luxury car market segments gradually emerged. Some experts even think that luxury cars may have an upward development in the second half of this year.

2

The sales volume of luxury car brands in China is the main driving force.

From the global market point of view, the overall sales volume of luxury brands shows a downward trend, but specific to the main markets, China, Europe and the United States and other different regions have different degrees of influence on luxury car brands.

BMW: Although BMW's global sales dropped by double digits in the first half of the year, in the China market, BMW delivered 329,000 new cars, down 6% year-on-year, far below the overall decline. By the second quarter, BMW's sales in China began to increase 17. 1%.

In addition to the China market, the development of BMW in Europe and America is not satisfactory. According to "Car Prophet", in the first six months, most of BMW's European dealerships failed to operate normally, and the American auto market was in trouble, which directly led to a 29% decline in BMW Group's sales in this market. Therefore, although BMW's sales are gradually improving, it still relies mainly on the China market.

Mercedes-Benz: In terms of Mercedes-Benz, the sales volume in China in the first half of the year was 346,000, a slight increase of 0.4% compared with the same period of last year, accounting for more than one-third of its total global sales. Among them, in the second quarter of this year, it achieved a year-on-year growth of 265,438+0.6%, and sold 207,000 new cars in China. At the same time, in the other two major sales markets, Mercedes-Benz's sales in Europe and North America in the first half of the year decreased by 365,438+0.5% and 65,438+06% respectively.

Mercedes-Benz Sales Changes in Major Markets in the First Half of the Year

The overall sales of Mercedes-Benz declined in the first half of the year, but the steady development of China market made up for the shortage of sales in Europe and America. In this respect, nearly one-third of the decline in the European market has greatly lowered the overall level of Mercedes-Benz in the world.

Audi: In the overall downturn of the automobile market, Audi sold 302,000 vehicles in China in the first half of the year, down 3.2% year-on-year. At the same time, in May and June, its sales began to improve. In June, the sales volume reached 67,000 vehicles, a year-on-year increase of 0.75%, which was the best in a single month.

Judging from the sales in China in the first half of the year, Audi still lags behind Mercedes-Benz and BMW, but compared with the data of the same period last year, the gap between Audi and the other two luxury car brands has narrowed. In addition, according to relevant statistics, under the influence of the American epidemic, it is estimated that car sales in June will drop by 29% year-on-year, while Audi's sales in the American market will drop by 35% in the second quarter.

Volvo Cars: From the global sales of Volvo Cars, it basically shows a downward trend. Among them, the sales volume in China in the first half of the year was 66,000 vehicles, down 3.2% year-on-year, which was the region with the smallest decline in all markets. In addition, Volvo Cars decreased by 29.5% in the European market, by 65,438+03.7% in the United States and by 265,438+0.9% in other markets. Based on the double-digit decline in most markets, the overall decline of Volvo Cars has exceeded 20%.

Changes in sales volume of Volvo cars in various markets in the first half of the year

Jaguar Land Rover: Compared with other luxury car brands, Jaguar Land Rover's global sales in June still showed a sharp downward trend. In this regard, Jaguar Land Rover said that this was mainly because most dealers and factories in the world were temporarily closed in the second quarter, and the lack of spare parts reduced the overall production capacity, so the sales volume did not meet expectations. Specific to each market segment, Jaguar Land Rover's sales in China and North America rebounded in June, while its sales in China decreased by 7.4% in June and sales in North America increased by 2.2%.

Porsche: Most automobile brands fell by more than 20% in the first half of the year, while Porsche only fell by 65,438+02%. In Porsche's view, this is mainly due to the positive development of China and other Asian markets. In terms of various markets, Porsche delivered 32,000 new cars in the European market, 24,000 new cars in the US market and 56,000 new cars in the Asia-Pacific, Africa and Middle East markets in the first half of the year. Among them, Porsche sold nearly 40 thousand vehicles in China in the first half of the year, down 7% year-on-year. At present, the China market is still the largest single market for Porsche in the world, with sales in China accounting for more than one third of the total in the first half of the year.

Among luxury car brands that have announced their global sales, China market is the main driving force for almost all car companies to increase their sales. On this basis, the deterioration of the epidemic situation in Europe and America further aggravated the local development situation of car companies. In addition, among other luxury car brands, Lexus sold 95,000 vehicles in China in the first half of the year, up 65,438+0.6% year-on-year; Lincoln achieved sales of 27,000 vehicles, up 65,438+03.1%year-on-year, making it one of the few luxury brands that achieved double-digit growth in the first half of the year. In addition, Cadillac's sales in China alone reached 85,000 units, down 23.3% year-on-year, and it is one of the few car companies with a large decline in sales in China.

three

Layoffs, pay cuts and factory closures? Gao Jia China fali new energy

From the perspective of traditional luxury brands, BMW's global sales in the first half of the year decreased by 23% year-on-year. In March this year, BMW announced the closure of some factories and adjusted 34,000 employees to short-term work. In June this year, BMW decided to lay off 6,000 people worldwide and cancel temporary workers and short-term contract workers on a large scale. This will be BMW's first layoffs since the 2008 financial crisis.

In the first half of this year, the global sales of Mercedes-Benz brands under Daimler Group decreased 17.6% year-on-year. As the largest market of Mercedes-Benz in the world, Mercedes-Benz achieved a year-on-year growth of 0.4% in China in the first half of the year. Especially in the second quarter, Mercedes-Benz sales in China increased by 265,438+0.6% year-on-year. Affected by the COVID-19 epidemic, Daimler's initial operating loss in the second quarter was 65.438+0.68 billion euros (65.438+0.9/kloc-0.0 billion US dollars).

Regarding the losses caused by the decline of Mercedes-Benz's global business, Kang Song Lin, CEO of Daimler Group, said that the main tasks in the future are to cut costs and improve cash flow. According to foreign media reports, Daimler, the parent company of Mercedes-Benz, plans to further strengthen the company's cost reduction, which may result in about 20,000 jobs being laid off and as many as 30,000 layoffs. In addition, in order to further cut costs, Daimler has started negotiations with labor representatives on saving expenses. It is reported that Daimler will raise the goal of saving labor costs from 65.438+0.4 billion euros to 2 billion euros (nearly 65.438+0.62 billion yuan), because negotiations with trade union representatives are still in progress and the final number of layoffs has not yet been determined.

In addition to the above news, Daimler also announced that it would stop producing Mercedes-Benz cars in the United States and Mexico and focus on producing SUV models with higher profit margins. At the same time, Daimler's plan to expand its factory in Hungary has been terminated, and it has hinted that the French factory may be sold. In terms of Audi brand, the cumulative global sales in the first half of 2020 fell by 22% year-on-year. Audi has announced that it will lay off 9,500 people at its headquarters in Germany, which can account for 15% of Audi in Germany.

In terms of other luxury brands, Volvo's global sales in the first half of the year decreased by 20.8% year-on-year. In the global market, Europe fell by 29.5%, the United States by 13.7%, other markets by 210.9%, and China market by only 3%. In the first half of 2020, Volvo's net loss was 920 million yuan, down 134.5% year on year. With the effective prevention and control of China epidemic, Volvo recovered in the second quarter, and it is expected that Volvo will continue to recover in the second half of the year. On the other hand, due to the increasing uncertainty of the international trade environment, sales in Europe and America have declined, and Volvo believes that China will be the most important market in the future. At present, there is no need for Volvo to export to Europe and America. Now we should concentrate on serving the China market.

At present, Lincoln Motor has not released global sales data, but public data shows that Lincoln's sales in China increased by 13. 1% year-on-year, making it the brand with the largest sales growth in China in the first half of the year. This is inseparable from Lincoln's active promotion of localization. Because Lincoln is not as big as a traditional luxury brand, the small base makes Lincoln's overall performance more optimistic. However, due to the Sino-US trade dispute, Lincoln had previously given up the goal of 300,000 vehicles worldwide in 2020. At present, accelerating localization is a response. According to the previous information, Lincoln plans to realize the localization of five new cars in China before 2022.

Thanks to its sales performance in China, Jaguar Land Rover achieved global business recovery and sales growth in the second quarter. However, due to the market downturn, Jaguar Land Rover temporarily "fired" about 20,000 employees in the UK, and the salary of its senior management team will be delayed in the next three months. In the first half of the year, Porsche's global sales decreased by 65,438+02% year-on-year. Compared with the layoffs and factory closures of other luxury brands, Porsche did not. China has the lowest year-on-year decline, and will become a pool for Porsche's global sales growth in the future.

Cadillac's sales in China in the first half of the year decreased by 23.3% year-on-year, because GM closed seven factories around the world in 20 19 and laid off thousands of paid workers. In other words, preparations have been made in advance, but there will be some silence in 2020.

Lexus sales in China increased by 65,438+0.6% in the first half of the year, becoming another luxury brand besides Lincoln. Thanks to Toyota's overall TNGA architecture, Toyota announced the restart of some factories that had been closed before.

It is worth noting that although layoffs, salary cuts and factory closures have become the main measures for luxury brands to cope with the crisis, in addition, luxury brands have also increased the China market and made efforts to realize the new four modernizations. With Daimler Group as the representative, Kang Song Lin said that Daimler's investment in electrification and digitalization will not decrease, although it is facing the situation of deteriorating financial situation. It is understood that Daimler Group will launch five pure electric vehicles and more than 20 plug-in hybrid vehicles before the end of this year.

This article comes from car home, the author of the car manufacturer, and does not represent car home's position.