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Industry Dynamics

Discussion on the competition strategy of air compressor industry enterprises

Font Size: [Big][Mid][Small] 2015-4-16    Views: 688    

Industry growth potential analysis

With the rapid economic development, the future air compressor will present a new development trend. Industry concentration degree will be increased, enterprise scale is gradually expanding, technology research and development efforts continue to increase, the gas compressor industry began gradually to the development of a rational layout of the new situation. In the competition, some small businesses will be eliminated, outstanding enterprises will continue to grow stronger.

In recent years, strengthening macroeconomic regulation and control in the country under the pressure of the air compressor industry growth rate dropped significantly. But the new normal in the vicinity of the road, railway infrastructure and other projects of construction in a certain extent will offset the pressure, and export markets continue to increase the possibility of greatly, so the demand for air compressor will continue to grow.

Competitive strategy analysis of existing products

Our country existing air compressor products still remain in the production of universal type products, the product production technology and production process similarity higher. At the same time, because of the large demand, enterprises can through large-scale production to reduce costs. Many of the products used in the most competitive strategy price strategy, which includes reducing the cost and reduce the market price.

Low cost strategy is through economies of scale to reduce average expenditure, and by a large number of production specialization of work efficiency, so that the overall decline in the cost, product price can be positioned to low compared with the industry, competitive advantage arising therefrom. Due to the present product versatility strong, technical threshold is not high, when there is a large demand, you can through large-scale production to reduce production costs.

The air compressor industry in our country has basically reached a mature stage, the market competition is more intense, manufacturers in order to maintain in the market share, by reducing the market price to attract customers.

Potential variety competitive strategy selection

Differentiation strategy is the enterprise the originality of the idea, advanced science and technology and construction procedures, new secret formula of raw materials, unique service form, the design of a unique product, even if product itself does not have unusual place, through advertising and packaging can also set up the product unique brand image to differentiated effect.

Air compressor industry is a technology intensive industry, low cost competitive strategy is only applicable to the applied in the product reached a mature stage. In the mature period of the development of products, to enable the company's products have their own competitive advantage, it is necessary to create a unique effect. Can be a technical difference, but also can be the difference in product variety, or the difference in service.

Product strategy

1, product positioning

In the promotion of new products, air compressor, the first to specific image for the product positioning, product selection in the target customer groups. Through the current air compressor industry development status and market demand characteristics, products, air compressors, can choose the position of product characteristics. And in view of the present national advocate energy-saving emission reduction policies, focusing on the development of energy-saving products, energy-saving products become a major feature.

2, product differentiation strategy

Now the air compressor Chinese products on the market are not many, will gradually to the diversified development direction in the future. Especially for a specific industry, the different needs of the product will gradually enter the market. Product differentiation is designed to meet customer requirements of product types for different customer requirements.

Price strategy

Price strategy is refers to the enterprise through to customer demand estimation and cost analysis, choose to attract customers, to achieve the marketing mix strategy. At present, enterprise cost constitution is more complex, so price strategy determine must to study the laws of science as the basis, based on the practice experience judgment means, under the prerequisite of maintaining the economic interests of both producers and users, acceptable to the user level as a benchmark, according to the change of the market, flexible response and objective realization of the seller and the buyer decision.

Price strategy is according to their different buyers ability to pay and utility situation, combined with the product pricing, in order to achieve maximum profit pricing method. Price strategy is a more modern concept, from the end of nineteenth Century, the development of large-scale retail. In history, in most cases, the price is the main determinants of the choices buyers to make; but in recent ten years, at buyer's option behavior in non price factors have relatively becomes more important the. However, the price is still the most important factor to determine the company's market share and profit margin. In the marketing mix, the price is the only factor that can generate income, and other factors show the cost.

Sales channel strategy

Is most important in business planning, marketing channel strategy is an important part of the whole marketing system, it to reduce the cost of enterprise and improve the competitiveness of enterprises has important significance. As the market has entered a new stage of development, the enterprise marketing channels continue to occur change, old channel model has been unable to adapt to the changes. Channel development direction, distribution network construction and management, regional market management, marketing channels of self-control and radiation force.

1, channel structure to end market building as the center. Before the company is focus on the top sales channels and in the end, the market speculation and the big policy to expand sales; when the market is relatively saturated state and requirements of the enterprise by the business channel into terminal operation.

2, channel member development partnership. The traditional channel relationship is the relationship between "I" and "you", namely each channel member is an independent business entities, in order to pursue the maximization of individual interests as the goal, even at the expense of the overall interests of the channels and manufacturers. Sales channels in the partner type, the relationship between manufacturer and distributor of the relationship between "you" and "me" to "we". Manufacturers and distributors of integrated management to achieve channel manufacturers group control, so that the scattered distributors to form an organic system, channel members to work together to achieve their own goals or we.

3, the channel system from Pyramid to the flat direction of the development. Sales channels into a flat structure, that is, the sales channel is becoming shorter and shorter, more and more sales outlets. Sales channels to increase the control of channel of the enterprise; an increase in sales outlets, effectively promotes the product sales. Such as some enterprises by multi-level wholesale link into a layer of wholesale, that is, the formation of manufacturers -- -- so that the user model dealers, direct to business oriented dealers and users to provide services.

promotion strategies

Promotion strategy is one of the basic strategies of marketing mix. The promotion strategy is refers to the enterprise through personnel selling, advertising, public relations and sales promotion etc. various promotional methods, convey product information to the user or, causing their attention and interest, stimulate their purchasing desire and purchasing behavior, in order to achieve the purpose of expanding sales.

According to the starting point of the promotion means and the role of different, can be divided into two kinds of promotion strategy:

1, push type strategy. That in a straightforward manner. Use of staff marketing means, to push products sales channels, for the process, company salesman to recommend products or services to the wholesaler, by wholesalers to retailers, and finally by the retailer to the final consumer, the strategies applicable in the following situations:

(1) small business operations, or no sufficient funds to implement the perfect advertising plan.

(2) the market is more concentrated, the distribution channels are short, and the sales force is large.

(3) the product has a very high value of the unit, such as special goods, buy goods, etc..

(4) the use, maintenance, and maintenance methods of the product need to be demonstrated.

2, pull type strategy. Take indirectly, through advertising and publicity and other measures to attract users of the final, enables the user to the enterprise products or services to generate interest, and it corresponds to the requirements, take the initiative to buy goods. The route for the enterprise, will lead users to distributors, dealers will lead the user demand to double production enterprises.

Marketing channel development trend

Future, the compressor industry will maintain the original marketing channels in the breed some new marketing channels, there are the following:

1, franchising

Franchising refers to a contractual relationship between the franchisee and the franchisee. In this relationship, the concessionaire agreed in the contract form, or have the obligation to maintain the interests of franchise business activities such as the technological know-how and training employees. And the franchisee has been approved for use by the concessionaire all or control of common trademarks, trade names, corporate image, work procedures. But an enterprise with a considerable portion of its own investment by the franchisee.

2, network marketing

Network marketing is directly through the hands of the manufacturer to the user, there is no other links, users and operators. That is to say, the company has complete information flow, capital flow, logistics system, to help dealers to obtain profits, the network marketing is the inevitable trend of economic development.

Improvement strategy of marketing channel:

(a) the government should vigorously carry out the construction of information network

The government should strengthen the construction of information network, improving the trade practice mode of operation, make e-commerce into the trade of each circulation. First of all, you can use electronic data exchange of customs clearance process improvement, the import and export enterprises with the customs network, and the two sides through the network data transmission to declare, to accelerate the speed of customs clearance; secondly, with the improvement of logistics system and realizing the transportation revolution; finally, the electron to pay part of the international trade, transnational enterprises marketing channels more fast and smooth.

(two) to establish a flat channel structure

Flat channels as the tidal current, is the objective requirement of the market rules, to maximize reduce supply chain, reduce costs, increase profits and also to channel partners profit space, is the direction of contemporary enterprise channel construction and development. Therefore, marketing plans and electronic support channel strategy to face the dealers, so that sales channels more flat.

(three) to establish a good relationship with partners

Economic globalization enable market competition towards the direction of internationalization, only with the foreign cooperative enterprises established long-term dependence on the relationship, "win-win" strategy to win market position with channel partners. Therefore, we must establish a durable, close partnership between the various forms. In cooperation with local enterprises, not only to consider their own market share, but also to provide a vast profit space for each other, so that the interests of the enterprise is deeply rooted in the interests of local enterprises.











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