Industry Analysis & Industry Trends
In the five years to 2016, revenue for the Car Dealers industry in China is estimated to grow at an annualized rate of 6.9% to $442.9 billion. Following a boom in car sales in 2009 and 2010, driven by favorable government policies, industry revenue growth slowed.
In 2013, benefiting from passenger car replacements in first- and second-tier cities and first purchases in third- and forth-tier cities, about 22.1 million cars were sold in 2013, and industry revenue grew 13.4%. In 2014, sales volume growth slowed to 6.9%, and industry revenue growth declined to 6.2%. In 2015, the automobile sales volume increased to 24.6 milliom and industry revenue increased to an estimated $430.0 billion, up 3.1% from 2014. In 2016, industry revenue is set to increase to $442.9 billion, up 3.0%.... purchase to read more
Industry Report - Industry Products Chapter
4S and 3S stores
A 4S store refers to vehicle dealerships that integrate four standard vehicle businesses: sales, spare parts, service and surveys, of one particular car brand. A 3S store provides three of these services. Combined, these stores account for about 60.0% of industry revenue and offer consumers a long-term vehicle buying and service relationship. These dealers were introduced from Europe to China in the middle of the 1990s. The scale of 4S stores in China has become one of the largest in the world.
Shanghai General Motors and Guangzhou Honda were the first companies to establish 4S stores in China. Many other car suppliers followed this trend to establish 4S stores of their own brands. On average, each car brand has about 100 4S stores in China... purchase to read more