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Bridgestone North America recently announced the suggested retail price for tires on its official website. At the same time, Michelin also promised to disclose its full sales price for passenger and light truck tires sold in the United States to meet customer expectations. For a time, tire giants such as mainland tires have also examined the feasibility of proposed retail prices.
Since multinational companies are implementing the suggested retail price for tires, can domestic companies follow suit? Does this marketing model work in China? On this issue, the tire world network editor made a small user survey.
Of the 100 participants surveyed, 78% of the respondents wanted an official guide price. They believe that tires involve vehicle safety, this way can avoid the small repair companies shoddy, in order to fake the real, sky-high asking prices, help users choose the best cost-effective tires. There are 15% of the respondents, because there is no car and no choice. Only 7 respondents believed that this guide price was meaningless.
Relevant data show that consumer demand for tire retail guidance prices is very urgent. However, is China currently suitable for this move?
"The sales model in China and the United States is not the same, the United States is relying on end users to stimulate the market, while Chinese companies are relying on channels to expand the market." Xiong Yunjun, Vice Minister of Marketing Management Department of Beijing First Tire Co., Ltd. said so.
Xiong Yunjun believes that the US model is based on brand recognition, while the domestic market is "winning" on the channel. Domestic brands are still in the "mixed war" stage. Consumers do not know which brand is better. Therefore, it is unrealistic for American-style tire guidance prices to be implemented in China at this stage. However, the proposed retail price of tires will be the future development trend of China.
Another industry insider pointed out that domestic tires of big brand products still have frequent quality problems, let alone other small brands. This leads to a low degree of public trust in the brand, indicating that quality supervision needs to be further strengthened. Therefore, it is too early to talk about the price of tires.
In addition, there are also views that the implementation of the proposed retail price of tires, if the tire manufacturer set the guidance price is very high, resulting in a large gap between the actual transaction price, the existence of the proposed retail price is of little significance.
In view of this, if the tire-guided price implemented by the United States is implemented in the country, it will encounter “acclimatizationâ€. 