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According to German media reports, at the CES show in Las Vegas, major car companies showed what the future car looks like. But in Detroit, car companies have to consider their core business: selling cars. By 2015, the reality they face is rather severe.
To stimulate industry experts and consumers, Audi traveled 900 kilometers from an A7 equipped with an automated driving system to the CES exhibition in Las Vegas. Mercedes-Benz CEO Tsai Chee showed the future of the car: not so much a car, but a mobile lounge. The touch screen and other technical configurations have become the standard for major car companies.
However, CES is only an electronics show, and the real big show of the auto industry is the North American International Auto Show that opened in Detroit on Monday. This metropolis with a population of one million has been sluggish during the financial crisis and has become a sign of the decline of the US auto industry. The electric systems and autonomous driving systems demonstrated in Las Vegas are just a possible golden future for the automotive industry, and the icy weather in Detroit is more like the reality of the automotive industry.
At this auto show, the Boss of the major car companies should understand how to earn the money needed to develop future technologies. From the current trend, it is not optimistic: important auto markets such as Germany and Brazil are only in a slow recovery, while the Russian market, which was once considered to be hopeful in the future, is deeply mired in the struggle between Moscow and the West. According to KPMG's industry experts, the growth rate of the entire automotive market in 2015 was only 3%.
If you want to achieve greater growth, you must snatch consumers from competitors, especially in China and the United States. According to automotive expert Professor Dudenhof, the two largest auto markets in the world will account for 70% of the world's growth in 2015, and the combined sales will account for half of the world's total.
The reality is that all car companies in the Chinese market must adapt to the rapid growth that China has already bid farewell to. At the end of 2014, Volkswagen's growth in the Chinese market has stalled, while BMW, the largest-selling luxury car segment, has distributed hundreds of millions of euros in sales bonuses to Chinese dealers to stimulate sales.
In the US market, all German car companies except the public have achieved significant growth: in 2014, Volkswagen sold only 367,000 units, down 10% year-on-year, while Mercedes-Benz, BMW, Porsche and Audi sold a total of 925,000 units. According to Dudenhof, the market share will rise from 5.4% to 5.6%. He believes that in 2015, German luxury car companies will continue to maintain rapid growth in 2015 and continue to win more sales and market share.
According to estimates by TrueCar website experts, the US market will grow by about 2.6% in 2015, with a total size of 17 million units, making it the highest sales year since 2005. Sales of luxury cars will increase by more than 10%. The Fed's interest rate cuts can ease the financial pressure on car purchases. In addition to the lower international oil prices, TrueKar.com head John Krafcik believes that in addition to luxury crossovers like GLA, pickup trucks and large SUVs will also have the opportunity to achieve rapid growth in 2015. In 2014, sales of pickup trucks and SUVs increased by 10%, which is higher than 6% of the overall market.
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