The hottest interpretation of Yuchai's high growth

Interpretation of Yuchai's high growth: market segmentation and meticulous products

in the first half of 2013, Yuchai's sales increased by 19% over 2012, far higher than the industry's market growth of 8%. From the sales volume of each segment market, the non-traditional market of Yuchai has increased significantly, with the year-on-year growth of 30% for Yuchai heavy-duty engine, 85% for agricultural machinery market and 10% for passenger car market. The share in each segment market has increased to varying degrees

recently, during the International Forum on the development of China's automotive high and new technology, Lin Zhiqiang, chief designer of Guangxi Yuchai Machinery Co., Ltd. and President of Yuchai Engineering Research Institute, said that the strategy of market segmentation and product refinement was the main reason for the significant growth of Yuchai's sales in the first half of the year

market segmentation

under the increasingly fierce market competition, how to grasp the market demand and how to meet the market demand is a topic that all enterprises are thinking about, and Yuchai's answer is market segmentation

Yuchai subdivides the engine market into five categories: passenger car engine, commercial vehicle engine, non road engine, marine electric engine and new energy power, and continues to subdivide under the large categories according to purpose, length, tonnage, etc. Yuchai's market segmentation work starts from R & D and runs through every link of the company's operation, including marketing segmentation, service segmentation, quality system segmentation, R & D system segmentation and management system segmentation. Through the segmentation strategy, it maintains its consistent ability to quickly manage and meet the market in each segment

sufficient market research is the basis of all actions. Yuchai has many product series and a wide range of market segments. The products required by each market have their own characteristics. Each market segment has different concerns about products, so grasping these characteristics has become the key to grasp the market. Lin Zhiqiang said that the products Yuchai hopes to put into each market segment are consistent with the concerns of this market

taking the bus market as an example, Yuchai collected the working conditions and road conditions of many national key cities. The survey found that the bus speed is very low, with an average of only about 15 kilometers, a maximum speed of no more than 40~50 kilometers, and starts and stops quite frequently. Another feature of highway passenger cars is their light load

on the contrary, on trucks, standard load tractors on highways, the whole speed is 70~90 kilometers, and the whole vehicle weight is less than 55 tons, so it basically will not overload. If you change to an ordinary class I and class II Highway, the standard load speed is lower, 60~75 km, and the load capacity is relatively light, but the concentration of the speed is also relatively high

only through such rigorous and detailed market analysis can Yuchai complete excellent product strategy positioning and market development strategy design

product targeted development

after fully understanding the market demand, product targeted research and development has become an important part of market segmentation

taking the development of combustion system as an example, Lin Zhiqiang explained the process of Yuchai's targeted research and development of combustion system products under different engine economic zones and power requirements. Lin Zhiqiang said: at first, we developed a general-purpose version of the 10.3-liter engine in 2012. Later, after a lot of tests and market operation, we subdivided it into truck version and bus version respectively. Compared with the truck version and the bus version, the bus version is more inclined to medium and low speed, and the truck version is inclined to medium speed. This is determined by the market characteristics of passenger cars. Under this kind of engine, the carrying capacity of passenger cars is much lighter than that of trucks, so the speed of passenger cars will be very high

in view of the fact that the current development trend of vehicle manufacturers is to make small speed matching, Yuchai has developed corresponding subdivision products. The effect of subdividing products can be examined by the fuel consumption of the whole vehicle. The original universal version of the ten thousand lead feature is equipped with a 12 meter luxury bus, and the fuel consumption of the whole vehicle is 22 liters. After the targeted development of the fuel system, the fuel consumption became 19 liters, a full drop of 3 liters

choosing the right engine for different purposes is the key to improve the market segmentation strategy

Yuchai has a product application development team of more than 200 people. In view of the different characteristics of each segment of the market in the early research and the outer layer has been kept solid, combined with a thorough analysis of the market application environment, it directly connects with the OEM, participates in the whole process of vehicle matching, and recommends the products that can achieve the best match in a segment of the market to customers

taking the bus market as an example, Lin Zhiqiang explained the importance of vehicle matching. Urban bus routes are flat, and the ground roads are in good condition. Some large and medium-sized cities pay great attention to emissions. Generally, the engine horsepower does not need to be too large. For example, a 10.5-meter bus usually matches Yuchai's 6.5-liter engine

however, in markets with rugged terrain and many slopes and curves, the 6.5-liter engine will be slightly underpowered. When matching with the OEM, the application development team will directly recommend the assembly of a 7.8-liter engine. Even if the engine is larger, it will effectively reduce the fuel consumption of the whole vehicle. Lin Zhiqiang said

expanding the weight and supplementing the light has achieved results

although Yuchai is outstanding in the medium-sized machine market, especially in the passenger car market, Yuchai has never stopped moving forward, but actively explore non-traditional markets and improve product series

in 2013, Yuchai concentrated on developing some non-traditional advantageous markets, especially heavy and light machines, which Yuchai called expanding weight and supplementing light. Heavy machinery began to invest heavily in research and development, and now it has begun to slowly reflect its achievements. In terms of light aircraft, we have developed a number of products and supplemented the relevant product series

so far, Yuchai has made some achievements in expanding weight and supplementing light. Lin Zhiqiang believes that the 30% increase achieved by Yuchai in heavy engines in 2013 is closely related to the company's achievements in launching relevant new products and powering the heavy truck market in the past two years

Yuchai has long been involved in natural gas engines, which have been hot in the industry in the past two years. Yuchai first launched LPG products, mainly on the Guangzhou market. From Euro II at that time to the current national five, from the initial single product to the current series of products, from 4.2 liters to 13 liters, there are all series of Yuchai. The company invested a lot in gas engines in 2013, and 20 gas engine development rigs were newly built and put into use. Yuchai believes that gas engines will be a bright spot of market increment in the next few years

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the growth of Yuchai is not a sudden favor of the market

in the first half of 2013, China's engine industry reversed the downward trend in the past two years and achieved year-on-year growth, among which the achievements of Yuchai Co., Ltd. are particularly eye-catching. From January to July, the sales volume of engines exceeded 310000 units, with a year-on-year increase of 15%. The growth rate exceeded the average growth level of the industry. The sales revenue exceeded 12billion yuan, with a year-on-year increase of 15%. The market share of engines increased by 1 percentage point over the same period last year, and continued to rank first in the industry

as a manufacturer with the largest market share of engine parts in China, these tightening torque values can be used as a reference for auto parts, how can Yuchai achieve excellent results in the increasingly fierce market competition? Zhongyuwei, general manager of the joint stock company, gave the answer

in addition to heavy-duty engines, in light-duty engines, the product types have also increased, and the power range has been continuously extended. Yc4s and other high-end light-duty engines have performance, reliability and economy comparable to imported power

in addition, the company's green energy-saving new energy power has increased significantly, and the market performance of hybrid and gas engines shows that the company is fully capable of controlling enough say in the future power market

Zhong Yuwei believes that Yuchai's achievements mainly depend on the following points:

first, sufficient technical reserves. Whether it's the switch of the national five emission standards for gas engines or the national four emission standards for diesel engines implemented from July 1, Yuchai can take it easy. As users put forward new requirements for the economy and power of products, the company can also quickly upgrade products. For example, the company has upgraded the gas supply system again from the aspects of product structure, selection of parts and combustion development. Now the company's gas engine continues to maintain its leading position in technology

second, attention to quality. Three years ago, the company put forward the goal of improving product quality by 100% in three years. This year is the year of ending, and the level of product quality has been greatly improved. Especially in the first half of the year, the three guarantees loss ratio of the products decreased significantly, which not only improved the overall operating efficiency of the company, but also created greater value for customers and won the trust of customers

third, lean manufacturing and lean supply chain construction have improved production efficiency, and delivery, cost and quality have been well controlled. This is also an important measure for the company to improve internal management in recent years

in addition to the above three points, there are also excellent corporate culture and other aspects. Overall, the growth of Yuchai this year is not the sudden favor of the market, but the focus of Yuchai on product technology, quality and internal management has made the growth natural

the development of the fourth national market is also the key for Yuchai to achieve good results. Yuchai is the first enterprise in the industry to develop and batch produce the four engines of the country. In 2006, the industry's first national four engine was launched, and a small batch of pilot production was started in 2007. In 2008, it was put on the market in batches. According to the national policy and market demand, the company seized the opportunity, took the lead in the industry to start the national fourth diesel engine technological transformation and upgrading project, and put the products on the market widely

Zhong Yuwei introduced that the company's national fourth diesel engine technological transformation and upgrading project is constantly advancing. Since 2010, the company has comprehensively supplemented the equipment required to produce the fourth national diesel engine in the fields of R & D, manufacturing technology, quality control, casting, machining, assembly, etc., improved the R & D, casting, processing, testing and testing level of Yuchai, and formed an annual production capacity of 300000 fourth national diesel engines

of course, due to market reasons, in the first half of this year, the company ushered in the production and sales peak of the national fourth Machinery for the first time. Judging from the current performance, the company's original decision is correct. Zhong Yuwei said that from January to July this year, the output of the company's light national fourth diesel engine exceeded the 10000 mark, with a year-on-year increase of 244.39%. Among them, the increment of YC4F series national fourth diesel engine was the largest, with a year-on-year increase of 383.39%. If the company does not have early preparation, it is impossible to complete the customer's order so perfectly

in addition, the company will continue to cultivate the ship power market. In 2009, Yuchai marine machinery had only a market share of more than 1000 units. At present, the annual sales of Yuchai marine machinery products have exceeded 7000 units,