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With a loss of 1 billion a year, why did Haima Motors become a fringe independent brand?

Haima Automobile has developed into a 30-year history, which is not a short period of time, but a loss of 1 billion a year is still quite regrettable.

Haima Automobile has fallen into its current state due to many factors. There is insufficient investment in product research and development, there are very few competitive products, Haima Haikou and Haima Zhengzhou are at war with each other, etc. The two major bases, With ten products and a production capacity of hundreds of thousands, the annual sales volume has dropped from more than 200,000 to hundreds of thousands, which is regrettable.

Founded in 1988, Haima Automobile has total assets of 16.4 billion yuan, more than 10,000 direct employees, and more than 30,000 employees in affiliated companies. It has an annual income of nearly 20 billion yuan and a cumulative tax of more than 17 billion yuan. It is listed on the Shenzhen Stock Exchange with the stock code 000572, which is still very powerful.

The second-generation Haima S5, which has just been launched, is priced at less than 70,000 yuan. It has strong product capabilities and may repeat the success of its monthly sales of more than 10,000 yuan, thus turning things around.

There are some situations that Haima cannot grasp. In fact, there is another very important factor that has been ignored by everyone. When Haikou Haima and Mazda split up to make their own brands, in order to obtain To produce catalogs, it is worth relying on FAW to establish FAW Haima Sales Company with a share ratio of 51:49. FAW only produced a catalog and took 49% of the profits without doing anything. Therefore, Haima was also cheated by FAW.

Of course Haima Group was very unhappy, so it went to Zhengzhou to build a 100%-controlled company. However, in Zhengzhou Haima was engaged in the real estate business and did not focus all its energy on the automobile business. Cars may not work, and it is not too late for Haima to refocus on the car business. (The Deer and the Cauldron)

Regarding the Haima question, I have answered it countless times recently. My mouth has become calloused and my hands have been smashed. The Haima car is no longer the Haima it once was. Many netizens People say that my comments are too sharp. Why do you scold me for speaking so unpleasantly, but the quality is not bad? How can I talk like this? In fact, what I want to say is that

I have never said that the quality of seahorses is bad. I never said that Haima is not good, I just want to say that since Haima and Mazda separated, it is no longer the Hainan Mazda it once was. Its design and product capabilities include the quality control of the entire car factory and their future direction, including their The level of financial strength is completely unable to compare with these first-tier domestic car manufacturers

Our country’s current first-tier car manufacturers Geely, Chery, Changan, Great Wall and BYD, including some smaller second-tier brands, are better than Haima. Strong, such as Zotye, JAC GAC, BAIC, SAIC, these brands are now much stronger than Haima, because the things they design are novel and handsome, their products are strong, they have good looks, and they have core competitiveness, while Haima is like None of them can only rest on their laurels, and now most automobile manufacturers are developing new energy sources, including BYD, BAIC, JAC New Energy, and SAIC New Energy. These factories are now blossoming in all aspects and making efforts in all aspects. Haima is already far away. It has fallen behind, and it is no longer possible to catch up.

So just like a country, if you fall behind, you will be beaten. If you fall behind, your design, your product strength, and the technical personnel of your factory They will regress and have less money to change jobs. No one will work for you wholeheartedly, because you have no money, so they no longer have the capital to compete with those first-tier car manufacturers, let alone the big international brands, so if the sales are poor, they will be sold more. The worse it is, the worse it will be if it doesn't sell well. The worse the sales volume, the less likely you are to want to buy it. The worse the sales volume, the less you can keep up with the after-sales service, the less money you will have. All aspects are bad. This is a vicious cycle... Unless there is a sponsor who spends a lot of money to create a new product line and new power, it can be saved by returning to the first-tier brands in terms of appearance, power, and fuel consumption price. From annual sales of 200,000 vehicles to less than 20,000 vehicles! Who "killed" the Haima car?

Many veteran drivers still remember such a car, the Haima Familia. As the Familia that was once known as the "Three New Things" in the Chinese auto market along with the Excelle and Elantra, it was also a very popular model at the time, and now It had been beaten to death on the beach by the back waves. Also being gradually eliminated by market competition is Haima Automobile, the company behind Familia.

At its peak, Haima's annual sales reached 216,000 vehicles, but then it plummeted. By 2020, Haima's annual sales were less than 20,000 vehicles. Who "killed" the Haima car?

Haima Automobile was founded in 1988. Its predecessor was Hainan Automobile Stamping Parts Factory. However, after its establishment, because it did not receive technical support from Ford in the United States, no model was produced at all. In 1990, Mazda Automobile was operating poorly, with low profit margins, and needed to expand into new markets. In this way, Mazda and Haima Automobile hit it off and established Hainan Mazda. In 1990, the Hainan Automobile Factory successfully trial-produced the first Mazda 929 station wagon. Since then, Haima Motors produced the Mazda 323, which later became the Familia, Prema and other classic models.

But the good times did not last long. Changan Automobile Group, Ford Motor Company and Mazda Motor Corporation jointly established Changan Ford Mazda Automobile Co., Ltd. in February 2006. The cooperation between Haima Motor and Mazda was suspended, and then Haima began On the road to self-reliance, Haima 3, Cupid, Cavalier, Haima Star, Haima Prince, Haima M3, S7 and other models were launched, but Haima Motors has never escaped the shadow of Mazda. In 2016, Haima Motor's sales reached its peak, with annual sales reaching 216,000 units. However, sales have plummeted since then. In 2017, the cumulative sales of new cars were 140,400 units. In 2018, the cumulative sales volume was 67,600 units. In 2019, the sales volume was 29,456 units, and the sales volume in 2020 is only 17,773 units, less than one-tenth of the peak, and it can only survive by selling houses.

Why did Haima Car end up like this?

1. The product lacks competitiveness

The reason why Haima Automobile was able to achieve sales of 210,000 units in 2016 was mainly due to the influence of SUV dividends. The annual sales volume of Haima S5 exceeded 100,000 units. However, as long as Haima Motors relies on its low price advantage and lacks core competitiveness, as Haval, Great Wall, SAIC, GAC and other brands are launching SUV models, Haima Motors' market share is constantly being eroded.

2. Imitate Mazda and lack independent innovation

After Haima Motors parted ways with Mazda, it has been deliberately closing the distance with Mazda in terms of product design and publicity and marketing for a long time. For example, the model design of Haima 2 is very similar to Mazda 3. The promotion of many Haima models will also reflect Mazda's pedigree. Subsequently, Haima swung back and forth between independent innovation and imitation of Mazda, and insufficient investment in independent research and development of core technologies. Leading to subsequent weakness.

3. The business is scattered and not focused enough

Haima Auto Group’s businesses include real estate, business clubs, property companies, financial investments, small loans and other businesses. It has made some money selling cars. After that, Haima began to invest in side businesses, which also led to Haima Motors not being focused enough on its core business.

Due to various reasons, Haima Motors has fallen step by step from annual sales of 200,000 units to less than 20,000 units. From a promising independent car brand, it has now fallen into decline. When it comes to selling a house to survive, it is actually not worthy of sympathy. Haima Motor is a typical example of a good hand played badly, and it is reasonable to be eliminated.

First of all, for a car company, product strength is the foundation, and Haima Automobile is lagging behind in technology and resting on its laurels. Its models are getting older and older, and its product strength is relatively marginalized.

Under the "focus strategy", Haima once specialized in the SUV market. However, among its products, except for the S5 and Familia, the rest are lackluster. In recent years, Familia's monthly sales have only been a few hundred units. After the S5 was redesigned in 2017, its "reduced equipment without reducing price" policy has completely eroded consumers' favor. Monthly sales have only been less than a thousand units, and quality problems have frequently emerged. ……

In comparison, leading independent brands such as Geely and Changan are able to combine model cost-effectiveness with update speed, while Haima only launches one model a year on average. With the launch of a new model and the core product reaching the end of its life cycle, it’s no wonder that consumers’ brand awareness of Haima Motors is increasingly insufficient.

—When mentioning the Haima car, many people may think of the name Hainan Mazda. As an independent brand with a history of 30 years, the development of Haima Automobile can be described as twists and turns. It started by cooperating with Mazda in the early years, but now it is trapped in the pain of transformation and huge losses. In the fiercely competitive automobile market, what is Haima's sales performance this year? Can the development of new energy turn the tide in the future?

Relying on Mazda to start, Haima has developed

In the early 1990s, the Hainan Automobile Manufacturing Plant was just established. The factory is out of production. The lack of technology and equipment resulted in the Hainan automobile manufacturing plant being unable to produce automobile products. It happened that Japan's Mazda was eager to find and develop new profit margins. After some contact, the two parties hit it off and launched their first product in 1990, the HMC6470 based on the Mazda 929.

It can be said that this product officially opened the decades-long honeymoon period between Hainan Automobile Manufacturing Plant and Japan's Mazda, and subsequently introduced and produced the sixth-generation Mazda 323 and the first-generation Mazda 323. Mazda MPV allows it to further expand the market. However, because the products of the Hainan Automobile Manufacturing Plant could not be launched nationwide, in 1997, Haima had to fall into the arms of FAW. However, even so, the Hainan Automobile Manufacturing Plant did not receive technical support from FAW. In the end, we could only seek cooperation with Japan's Mazda again.

Products tend to become obsolete and competitiveness decreases year by year

In 2001, FAW Mazda's first product, the Prema, which focused on the compact MPV market, was officially launched. By the end of 2001, Hainan Mazda had produced and sold more than 10,000 Premas, which was quite outstanding at the time. Because of this, in March 2002, Mazda had the confidence to introduce the eighth-generation Mazda 323, which was named Familia. The launch of Familia quickly gained market recognition, and this sedan product also made the name Hainan Mazda popular throughout the country.

By 2005, FAW and Mazda cooperated to produce the domestic Mazda 6, which also meant that Hainan Mazda was abandoned. After that, Haima changed its logo and became its own brand. It launched many models based on the platforms of Familia and Premarin, but it never escaped the influence of Mazda, and its products also tended to become obsolete despite minor repairs. Since then, models such as the Seahorse Knight and the Seahorse Prince have also been launched. But after all, it failed to reach its peak as it did back then, and Haima's market competitiveness declined year by year.

New energy is short-lived, and the future is negative

In February 2010, Haima established its electric vehicle division in Zhengzhou, which also means that Haima began to move towards the new era. Energy market transformation. But in fact, the first new energy product launched, Haima 3 HEV, is somewhat unsatisfactory. The Haima E3 and Haima Aishang EV that followed later are far behind independent brands such as Geely and BYD in terms of product strength and sales volume.

In the first 11 months of this year, Haima Automobile’s cumulative sales were only 62,000 units, a year-on-year decrease of 49.8%, which is far from the previously set sales target of 180,000 units. Far. At the same time, public data shows that Haima Automobile lost 477 million in the first nine months, a year-on-year decrease of 660.27%. If Haima Auto's market performance does not improve in the coming period, its subsequent development may become increasingly bumpy.

Summary: Looking at the development history of Haima Motors over the past thirty years, from the earliest days of relying on Mazda to start and prosper, and then to independent car manufacturing and transformation into new energy sources, Haima’s success is enviable , the side effects brought about by the transformation have also brought a lot of enlightenment to the industry. I hope that Haima can find better solutions in the future and reverse the current situation!

It’s all nine years of compulsory education. Why are some people so good?

The starting point of Haima Automobile is actually higher than that of ordinary independent brands. After all, it started as a joint venture between the Hainan Provincial People's Government and Mazda, and its first-mover advantage is better than that of Geely Great Wall.

What now? Great Wall Motors has a revenue of 100 billion, Geely's annual sales exceed one million, and Haima's sales in 2017 were only more than 140,000 units. Alas...

In fact, Haima Motors was profitable in 2016, with a profit of 200 million In 2017, it lost more than 1 billion. How did Kaiba get to where it is today?

With all due respect, joint ventures cannot exchange for real technology. The joint venture between Hainan Province and Mazda in those years was just OEM, and it has never been able to obtain the birth certificate of the car. The cars produced by Haima Mazda can only Circulated in Hainan Province.

Later, FAW came over to hook up with ill-intentioned intentions, saying that if we join forces, if you put it in my name, the birth certificate issue will be solved. As a result, FAW did not provide any help to Haima Automobile in those years, and it also took a lot of dividends from Haima Automobile every year. Later, FAW directly hooked up with Mazda, and Haima lost its joint venture partner.

In order to solve the birth certificate issue, Haima acquired Zhengzhou Qingke in 2007. In order to get rid of FAW, after paying back 570 million yuan to FAW in 2008, it finally started to build its own cars independently. So from 2008 to now, the general trend of the golden decade of the automobile industry is very good. Haima also makes profits every year. Although it is not much, it is still relatively well-off.

Last year, the shortcomings of the long-term lack of core technology were exposed. In 2016, Haima's annual sales exceeded 220,000 units, but by 2017, it dropped sharply to 140,000 units. The most obvious reason for the lack of core technology is that the product is not strong enough. There are few new products and old models are not competitive enough. It would be strange if sales do not fall. As for cars, if I don’t mention them, you might not even be able to remember what kind of cars Haima has, right? Autonomous cars themselves will have a hard time breaking through.

In terms of SUVs, although the Haima S5 is not bad overall, the independent SUV field has become red-eyed. Although the Haima S5 is not bad, the trend is over and it can no longer make any waves.

Sometimes, it’s not that you are running slowly, but that other people are actually much faster than you.

On the other hand, poor management of Kaiba also caused the current predicament. Among Haima's costs last year in 2017, management expenses reached 1.257 billion yuan. What is this concept? Zotye, which is twice the size of Haima, had management fees of only 880 million yuan last year. Haima’s explanation for this is that a research and development project was terminated, which resulted in a sharp increase in management fees. The R&D project was terminated... This is an obvious strategic mistake. What else can be said?

A sigh!

In an era when car companies are competing one after another, some car companies are living a prosperous life, and some previously mainstream car companies are gradually being marginalized. According to the financial reports released by major car companies, many of them Of course, judging from the published financial reports, BYD's revenue of 156.598 billion yuan in 2020 is quite eye-catching. At the same time, some car companies have suffered losses. Haima Motors lost more than 1 billion yuan in 2020, and Zotye Motors lost money last year. 9 billion and so on, and a loss of 1 billion a year. Why has Haima Motor become a fringe independent brand?

Haima's annual loss reached 1 billion, which undoubtedly shows that Haima Automobile is not doing well, and can even be said to be "down and out". And what is the result of this kind of marginalization? This may be what everyone wants to know. Becoming a marginal brand of its own brand is related to Haima Motor’s own strength and the market positioning of the vehicle. From the perspective of the positioning of the vehicle, Haima The models of Automobile have not kept up with the pace of the market. From the perspective of vehicle styling, there are still big differences between them and the current mainstream first-tier domestic cars, both in terms of appearance and interior design of the vehicle. Haima Motors is still relatively conservative and not radical enough. In addition, many cars nowadays are designed to be youth-oriented. Haima Motors still has some gaps in this aspect. There is no core competitiveness in appearance design, so Haima can only continue to rest on its laurels.

On the other hand, judging from the products launched by Haima Automobile in the past few years, the upgrades of several models are painless and have no popular selling points. There are not enough selling points, there is no certain competitiveness in catering to the consumer market, and there are shortcomings in R&D and design, which have led to the Haima brand becoming a marginalized brand.

With a loss of 1 billion a year, where is the road ahead? This may be the most worthy of reflection for Haima Automobile. In the future, with the transformation of Haima Automobile, can it reduce the distance between it and mainstream independent brands, or even catch up? Everything is unknown.

The reason why Haima Automobile has fallen to this point is, in the final analysis, caused by not paying attention to technology and not focusing on the future.

Haima Automobile was founded in 1988. It jointly formed a joint venture with Mazda in its early years. Its total assets were as high as 16.4 billion yuan, with more than 10,000 direct employees, annual revenue of nearly 20 billion yuan, and cumulative taxes of more than 17 billion yuan. It can be said that the scenery is infinitely better.

It is a pity that it has committed the old problem of many independent car companies. When they were making money, they did not invest much in the field of automobile manufacturing technology and did not accumulate much core technology. From the fact that Haima sold a total of 400 Haikou properties in 2019 to save itself, it can be seen that when Haima makes money, it is consuming and looking for ways to hoard assets instead of investing in technology research and development. Unfortunately, this is not a property in Beijing, Shanghai or Shenzhen. The 400 properties only made a profit of 200 million, causing Haima to briefly turn a profit in 2019.

If these assets had been invested in the field of automotive technology research and development, the current Haima Automobile would definitely not be in such a state that no one cares about it. Referring to independent brands such as Geely and BYD, in the early stages of the enterprise, when automobile technology and design were not good enough, a large amount of funds and resources were devoted to technology research and development and the acquisition of related technology companies. For example, Geely acquired Volvo, BYD acquired a Japanese automobile mold factory, BYD poached Audi's design director, etc. These measures that focus on automotive expertise and focus on the future of the company have enabled Geely and BYD to become better and better among independent automobile brands, and the quality of their vehicles is getting closer and closer to and surpassing joint venture brands. Eventually it was welcomed by the market.

The automobile is a large integration, and the most important thing is the integration and accumulation of technology. When it comes to making cars, you have to be calm and calm in order to become bigger and stronger.

Any industry has a process of emergence, development, and peak. After reaching the peak, big waves begin to wash away the sand. Reshuffling and survival of the fittest are the eternal industry rules. The reshuffling of the automobile industry is different from what we have just experienced. The reshuffle of the mobile phone industry is the same. We have experienced the survival of the fittest in the mobile phone industry. In the past, Bird, TCL, Amoi, ZTE,... even Motorola, Nokia, Siemens,... all had their own glory and arrogance. . When the industry typhoon blows, pigs can also fly. When the wind takes hold, it becomes clear who is the pig and who is the eagle.

When there are stronger brands that continue to innovate and improve, Those pigs that rely on industry dividends and industry typhoons without seeking advancement will eventually fall. The same is true for the automobile industry. We have seen Lifan, Zotye, Cheetah, Huansu, Zhonghua, and Baohaima all have great achievements, but They have become the first batch of eliminated echelons in the automobile industry. In the future, more automobile brands should become Bird, TCL, and even BAIC and FAW. Some people in the automobile industry have long predicted that there will be no more than 5 domestic brands left in the future. This It will be a not-too-distant reality, we will wait and see.

I haven’t bought a car, so I still don’t know much about vehicles. Well, I think I can look at this from the perspective of a potential car-buying consumer.

I still remember the period between 2011 and 2013. At that time, many people in Shenyang liked to drive Hainan Mazda. I can always hear some people talking about "horse six" and so on, saying that it would be nice to have a row of "horse six" when getting married. At that time, the concept of Hainan Mazda gradually came into mind.

As time goes by, basically none of my friends drive Hainan Mazda. I don’t know why, but the friends around me usually buy Honda, BYD, Volkswagen, Hyundai, Toyota, Nissan, Buick and other types of vehicles. But it’s really uncommon to see people driving seahorses, and I didn’t ask about it in detail.

To be honest, Hainan Mazda’s current publicity is not strong enough. I live in the Shenyang area and rarely see any publicity about Haima. If I were to buy a car, I might choose some vehicles that I often hear about.

For example, Volkswagen, because they not only promote news about vehicle upgrades, but also tell me roughly how much the monthly payment is, so I can know it well. Even if I didn't make a decision, at least Volkswagen became a backup choice in my mind, right?

As a consumer, my understanding of vehicles is not as professional as those in related fields or those who like vehicles. I'm just an ordinary consumer, what do I see? What I look at is price, space, fuel consumption, quality and after-sales service. For consumers like me, can we understand the rest? We definitely don’t understand it, so whoever introduces it to us more will mean we know more about that person.

There may be someone, so go search and find out yourself? If I take the initiative to learn about it, the scope will be very wide. I want to see all kinds of cars, right? I also spend 200,000 to buy a car. I want to make comparisons among various types. In my own understanding, I will definitely not understand the vehicle from a professional perspective. Even a less famous car still has advantages, so who can tell me about such advantages? Are they car manufacturers and dealers?

So, not only Hainan Mazda, but other companies as well! We must stand from the perspective of consumers and think about how to help consumers solve their problems. Only in this way can we survive longer. If this is still the case, then the loss may not only be a problem of 1 billion, but it is not impossible to close down.

I don’t know much about vehicles, but as a "newbie" in the automotive field, I am just a consumer. If I buy a car, it must be like this. If Hainan Mazda can let me If I understand and believe it, then I will buy it. After all, a car is just a means of transportation for me.