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Brief of Dongfeng Liuzhou Motor Co., Ltd.


ONTENTS

1. Introduction of Dongfeng Liuzhou Motor Co., Ltd. (DFLZ)


2. Brief introduction of Products
3. The current situation of DFLZ
4. The cornerstone of the enterprise development
5. Examples of domestic partners

1. Introduction of DFLZ
1.1 Location of Liuzhou

ChinaLiuzhou
is far away from
Nay Pyi Taw 1460Km.

DFLZM is the
exportbase of DFM
in SoutheastAsia.

ChinaGuangxi zhuang
Liuzhou

Myanmar

Myanmar
Nay Pyi Taw

Nay Pyi Taw

1. Introduction of DFLZ
1.2 Development of Liuzhou

Liuzhous Tourism

the worlds largest


natural miniascape

1. Introduction of DFLZ
1.2 Development of Liuzhou

Liuzhous Night view

The city night view is


considered as the top three
most beautiful all over the
world

1. Introduction of DFLZ
1.2 Development of Liuzhou

Liuzhous Culture

Rare stone Culture


Liuzhou city has the largest
rare stone museum and
establishes the biggest stone

market in China.

1. Introduction of DFLZ
1.2 Development of Liuzhou city
Liuzhous Industry
Liuzhou is also a famous
industrial city in China.
It covers more than 30
different industries and
possessing more than 3,400
enterprises, with 5 Chinese
top 500 industrial companies,
DFLZ is one of them.

1. Introduction of DFLZ
Dongfeng Motor own brand
New products in 2014

1.3 Development of DFLZM

Founded in 1954
First Guangxi
automobile in 1969

First Chinese
medium diesel
truck in 1978

First Dongfeng
Motor own brand
SUV in 2013
First Chinese highefficient logistic
truck in 2012

First flat head truck


of China in 1991
First passenger
vehicle of Dongfeng
Motor Corp in 1992
First Chinese own
brand MPV in
2001
First heavy duty
truck of Southern
China in 2003

First Chinese heavy


First Dongfengtruck past Germany
Motor own brand TUV in 2008

passenger car in
2007
First American style
heavy duty truck of
China in 2005

During the development of more than 40 years,


we have never stopped our steps .

1. Introduction of DFLZ
1.4 DFLZs Award
Commercial vehicle sector:
The safe truck of the year in China
2009
The most satisfactory enterprise Mar.
15, 2010
The trustworthy enterprise for protecting

consumers interests
The best technical equipment - Balong
M7C truck

The Top Ten Brands in the service


industry 2013
The Gold Medal winner in the 13th
Logistics Fair
The winner of the fuel-efficient truck for
six consecutive times

1. Introduction of DFLZ
1.4 DFLZs Award
Passenger vehicle sector:
National Labor Medal in 2009
Dongfeng Fengxing MPV the premium reputation

brand
Most costumer satisfied & qualified brand of
Chinese MPV market
Chinese own-brand car sales champion

The champion of Information Times Cup fuel


Challenge
Appointed as ASEAN Expo official vehicles

10


ONTENTS

1. Introduction of Dongfeng Liuzhou Motor Co., Ltd. (DFLZ)


2. Brief introduction of Products
3. The current situation of DFLZ
4. The cornerstone of the enterprise development
5. Examples of domestic partners

11

2. Brief introduction of Products

12

2.Brief introduction of Products


2.1 PV --JOYEAR SERIES : For family purpose

PVJOYEAR SERIES
JOYEAR XL/LV
SEGMENT

JOYEAR

HATCHBACK

X3

SMALL SUV

JOYEAR X5

JOYEAR S50

SUV

SEDAN

SEATS

DISPLACEMENT

1.5L

1.6L

1.5L

1.6L

1.8T

1.5L

1.6L

ENGINE

Mitsubishi Mitsubishi Mitsubishi Mitsubishi


Mitsubishi Mitsubishi
Rover kawachi 18K4G
4A91S
4A92
4A91S
4A92
4A91S
4A92

POWER(KW)

88

90

88

90

118

88

90

MAX TORQUE(N.M)

143

155

143

155

215

143

155

13

2.Brief introduction of Products


2.1Hatchback Segment
Joyear XL

Joyear LV

Mitsubishi 4A9 engine


1 All-aluminum build
2 Aluminum cylinder
3 MIVEC

GETRAG
A famous German gearbox

520mm

520mm

14

2.Brief introduction of Products


2.1 SUV Segment
Joyear X3
Mitsubishi 4A9 engine 1.5L/1.6L

For driving in the city

Joyear X5
Rover kawachi 18K4G engine 1.8T

For driving outside / for sports

15

2.Brief introduction of Products


2.1Sedan Segment
Keyless start system
Mitsubishi 4A9 engine
1.5L/1.6L

Daylight equipped

Belgium Punch CVT gearbox

16

2.Brief introduction of Products


2.2 PV--LINGZHI SERIES : For business purpose

PVLINGZHI SERIES

V3

M3

M5-D19 M5-Q3 M5-Q7

CM7

SEGMENT

MINI VAN

MINI VAN

MINI VAN

MINI BUS

MINI BUS

MINI BUS

BUSINESS MPV

SEATS

5/7

9 / 11

9/11

7/9/11

7/9/11

DISPLACEMENT

1.5L

1.6L

1.6L

1.9T

2.0L

2.0L

2.4L

ENGINE

Mitsubishi Mitsubishi Mitsubishi


4G15S
4G18S1
4G18S1

Yunnei
D19TCI

Mitsubishi Mitsubishi
4G94
4G63

Mitsubishi
4G69

POWER(KW)

82

83

83

82

89

82

121

MAX TORQUE(N.M)

130

138

138

235

168

163

215

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2.Brief introduction of Products


2.2 LINGZHI SERIES

M7: Business class cabin


M5: First class cabin

V3/M3: Economy class cabin

Luxury interior / comfortable seats

For daily business purpose

For logistics and transport

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2.Brief introduction of Products


2.3 The New products
New products in 2014

Vehicle luxurious sofa seat

Daytime driving lights

Joyear S50
A-class sedan

ESP
Standard configuration

6-airbag

Fengxing CM7
Large Business MPV

sliding sash
in the window

Daytime driving lights

360 degree panoramic camera system

19

2.Brief introduction of Products


2.4 Commercial Vehicles

20
CV114

2.Brief introduction of Products


2.4 Commercial Vehicles

CV products

M3
Flat head medium
truck

M5
Flat head heavy truck

M7
Flat head heavy
truck

Long-haul truck

Drive

426284

42626482
84

648284

426264

Power

130 260Ps

260 420Ps

380 550Ps

290340Ps

Engine

Yuchai,Cummins

Yuchai,Cummins,Weichai

Cummins

Cummins,Weichai

All the cabins of our commercial


vehicles are developed from Renault
kerax , with guidance of Renault

We are cooperative partner


of Cummins, we together
developed the M7 model,
which is for the high level
logistics transportation.
21

2.Brief introduction of Products


2.4 Commercial Vehicles

22


ONTENTS

1. Introduction of Dongfeng Liuzhou Motor Co., Ltd. (DFLZ)


2. Brief introduction of Products
3. The current situation of DFLZ
4. The cornerstone of the enterprise development
5. Examples of domestic partners

23

3. The current situation of DFLZ


3.1 The market performance of PV:
The fiercest competition: There are nearly all brands of the world in China market,
including imported brands, joint venture brands and Chinese own brands;
Fast growth speed of DFLZ: DFLZ is the leader of passenger vehicle market in China
with the annual growth speed of 50%.

PV competition

DFLZ growth speed

Imported brands (More than


50 brands, more than 120 subbrands and 600 models)

109%

100%

50%

49%

36%

35%

11%

20%

20%
9%

6%

Own brand (More than


20 brands, more than 80
sub-brands and 400
vehicle models)

Joint venture brands


(More than 30 brands,
more than 100 subbrands and 500 models)

8%

Segment market growth speed


2008

2009

2010

2011

2012

2013

24

3. The current situation of DFLZ

3.2 Each segment


performance of PV:

Family Segment

Business Segment
20

11

Joyear X5
Compact Urban SUV

Fengxing CM7
Large-class MPV
15

Lingzhi M5
Mid-class MPV

Joyear X3
Small urban SUV

Joyear S50
A-class sedan

Joyear XL/LV
Plus-size Family
Hatchback

Lingzhi M3
Small displacement MPV

Lingzhi V3
Small MPV/VAN

Hatchback

Urban SUV

Sedan

SmallDisplacement MPV

Mid-class MPV

Mid-high class MPV

25

3. The current situation of DFLZ


3.3 The market performance

Household MPV
Year: 2012

Joyear

Year: 2013

volume

Market share

63778

28.4%

Market share

volume
70077

32.1%

Sale volume and market share are No.1


in China from 2012 to 2013
Xenia

18.4%

40424

18.5%

Volkswagen
36044
Touran

16.0%

35310

16.2%

33578

14.9%

32454

14.9%

HeyueRS

Verso

ResourceChina Association of
Automobile Manufactures

41270

Freema

20653

9.2%

17088

17286

7.7%

12034

7.8%

5.5%

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3. The current situation of DFLZ


3.3 The market performance

Business MPV
Year: 2012
volume

No.1 of Business MPV


in China

Lingzhi

72723

GL8

64001

Refine

54093

Succe

25157

Odyssey

Year: 2013

Market share
24.2%
21.3%

volume

Market share

110112
70191

28.3%
18.0%

54152

13.9%

8.4%

31432

8.1%

20900

6.9%

27278

7.0%

Grace

16798

5.6%

18573

4.8%

NV200

14958

5.0%

17639

4.5%

Elysion

6867

2.3%

12510

3.2%

Geart Wall V80

5528

1.8%

MP-X

4187

1.4%

ResourceChina Association of
Automobile Manufactures

18.0%

7861

6570

2.0%
1.7%

27

3. The current situation of DFLZ


3.5 2014 market competition performance
Jan-Aug domestic sales data In 2014
600000
500000

70%
56%

50%
40%

35%

43%

400000

60%

The annual growth rate 35%,


Industry ranked No.3

30%

24%
300000

20%
1%

200000

0%

-2%
100000

10%

-10%

-10%
-19%

-20%

-28%

-30%

SGWM

Changan

GreatWALL

Chery

Domestic sales

BYD

Export sales

Geely

DFLZM

JAC

Lifan

annual growth
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3. The current situation of DFLZ


3.6 The future prospect of PV: First
The new PV plant is ready: DFLZs new plant has put into production in June

Project
start

2013.12.28
Assembly &
Painting plant finished

Painting
plant start

2014.10

2012.9
2012

Second Painting
plant start

2013

2014

2014.6 first period


40JPH
Aerial View of first period

The annual production


capacity will be
400,000 units

2015

2016

2016.6 second
period 80JPH
Aerial View of second
period

Remark: 40JPH mean it can produce 40 unit per hour

29

3. The current situation of DFLZ


3.7 The future prospect of PV: Second
Product line keeps being improved: keep exploiting new subdivision market, keep
creating new products, keep improving product coverage!

Household Series
Urban SUV

New surface
&power

Large-class MPV
SX5 /SX6
Compact-Class

household MPV

CM7A 2.0T/6MT

Mid-class MPV
S50 2.0L

New Engine

SX7(7seat)
Mid-Class

Sedan markte New surface

& power

Business Series

S50 HEV / EV

New body

Small MPV
S500(5/7seat) S600(7/8seat)

Shorten&
narrowing

F500/F500L

Body rebuild
CM3B/CV3B

30

3. The current situation of DFLZ


3.8 Market performance of CV

Enterprises development better than the industry: 2013


DFLZ growth rate is 36.2%, higher than the industry 16%

The new high class logistics product have the strong


performance in the dangerous chemical transportation
market.

We are the No. 1 of Southern


China sand gravel construction
and transport market.

6*4 M7C
In the lightweight coal
transportation market,
DFLZ is No. 3.

6*2Balong 507

First brand of South China


heavy-duty transport
logistics market

8*4
Balong507

Our tractor head is No.1 in the long8*4 Gravel King


distance tractor head market, the
proportion reached 90%.
V3 express transportation products
become the fastest growth product
in the cargo truck market.
6*2 Longka
As for the tipper market, we
are the No.1 of small
horsepower market.

4*2ChenglongV3

Tractor head

Cargo

As for the
special truck,
our company
is Southern
China's
largest producti
on.

4*2Chenglong price

Tipper

Special truck

31

3. The current situation of DFLZ


3.9 The future prospect of CV
Integrated the product line: Integrated the product line: It will be the combination of more
competitive high-grade, medium-grade and low- grade products.
Line

Class

2014
Expecting

H
e
a
v
y
d
u
t
y

2015

G7

COMING
SOON

Grand

M7

New heavy duty


Mid

Economy

M5

Longka

Mid-duty
M3

New mid-duty

32


ONTENTS

1. Introduction of Dongfeng Liuzhou Motor Co., Ltd. (DFLZ)


2. Brief introduction of Products
3. The current situation of DFLZ
4. The cornerstone of the enterprise development
5. Examples of domestic partners

33

4. The cornerstone of enterprise development


4.1 Strong R & D capabilities
Computer Aided Design PRO/ENGINEER/CATIA

CAE computer analysis American-made MSC large-sized universal finite


element analysis software

34

4. The cornerstone of enterprise development


4.1 Strong R & D capabilities

The largest R & D center of


Dongfeng Automobile in
South China
Germany ALTOS laser

Three coordinate measuring

camera

chamber

5-axes heavy duty CNC

5-axes high speed CNC

Italy-made three coordinates

milling machine

milling machine

measuring machine

35

4. The cornerstone of enterprise development


4.2 World-class CV production line

36

4. The cornerstone of enterprise development


4.2 World-class CV production line

Bottom plate welding robot

Left & right wall welded / handling robot

Fengxing MPV body welding line

Roll edge robot Automated Guided Vehicle

37

4. The cornerstone of enterprise development


4.3 Excellent global supply chain
DFLZ has many world famous parts suppliers.

38

4. The cornerstone of enterprise development


4.4 Huge investment
DFLZ schematic
plan image of

Aerial view of PV plant

two bases

PV new base
A modern and
standard CBU
factory.
CV new base put into 1.8
billion investment, to create an
annual output capacity of

100,000 CV

39

4. The cornerstone of enterprise development


4.4 Huge investment

The total investment of


first period of PV plant is
up to 1.8 billion RMB
whose annual production
capacity is up to 400,000
units .

40

4. The cornerstone of enterprise development


4.5 The advanced marketing management concept
We study Nissan production management mode deeplypromote the lean management theory in each link of the
whole value chain; creating a "the whole staff, the whole process, the whole value chain" lean management mode.

Supplier

Merchandise
planning

R&D

Purchase Produce

Marketing and
Quality after-sales

Distributors

Cooperation functions
From 2008 to 2013, we start the go to global
strategy.

From 2014 to 2019, we start coming in


strategy.

We are training
Inviting Nissan experts to
in Dongfeng
our company helps us to
Nissan, Nissan, improve the management
level
Renault in
batches

41

4. The cornerstone of enterprise development


4.6 We develop with distributors
Expend Auto Aftermarket,
and build manufacturer-distributor
win-win cooperation mode!

Transition from product vendors


to service providers
manufacturer-distributor
win-win cooperation mode

pillar

Building balanced and steady development profit model of distributor


Used car
replacement

Car
Credit

Finance
lease

Finance and
Insurance

Spare parts

After-sale
Service

Customer
lifetime
valueoriented

Cornerstone

New car sales

We will help our distributors have a rich profit structure and increasing their profitability.

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ONTENTS

1. Introduction of Dongfeng Liuzhou Motor Co., Ltd. (DFLZ)


2. Brief introduction of Products
3. The current situation of DFLZ
4. The cornerstone of the enterprise development
5. Examples of domestic partners

43

5. Examples of domestic partners


5.1 Haichuan 4S room in Nanyang - small city but great achivement
The sales volume of Haichuan 4S room reaches 600 units in 2013.
The population of Nanyang city: 0.6 million , growing 80% than 2012
140

2012 sales volume

120

2013 sales
volume

the sales volume of single model break through 100 units

118

100
81
80
61

65

60
40

34

37

33

31

28

30

40

42

20
0
1

10

11

12

44

5. Examples of domestic partners


5.2 Nantong Yongda :
The happiest thing is to be the dealer of Fengxing auto
Sales
performance

The population of Nantong


cityMore than 0.9 million.

2013

2012 Target 3565 units, an increase of 23%


2011
2010

Selling 2890 units, an increase of 70%

Selling 1783 units, an increase of 111%

Sales of 778 units, an increase of 83% in 2009


200

Market performance

30
25

150

20

100

Clients from
internet
&calling

15
10

50

Clients to
shop

0
1

10

11

12

Yongda has got promotion


year by year, in 2013, the sales
was 3565 units, increased 23%
monthly.
At the same time, speeded
up the marketing
transformation, it was
effective to promote the
clients collection and the
quantity of order.

Order
quantity

45

5. Examples of domestic partners


5.3 The pathway to success of Nantong
Yongda
Internet
Outdoor

Preempt the advertising


resource take the advantage of

Driving

high-end outdoor advertising media

Increase
the
clients
collection

Cooperate with the media and


strengthen the relationship with them
Maintaining good media relations and public
relations crisis handling: Conduct PR

Launched off-line activities


frequently make the best of the

Launched off Potential customers development: the opening


line activities

five network operators platform, setting the


Commissioner to establish department KPI
development team working on the potential effect of
customer checklist.

guests collection
Existing

Start the digital marketing


Strengthening the implementation of the
incoming customers, network customers
and retain customer development work

customers Development: Build popular


riders club, set commissioners, planning bimonthly
retain customer marketing activities.

46

5. Examples of domestic partners


5.4 Dongan 4S room in Wuhan -big city &greater achievement

The population of Wuhan city


More than 10 million

Sales volume

Sales amount

4000
Ten-year Fengxing road of Dongan 4S
room
The annual growth speed of sales volume68%
The annual growth speed of sales amount56% 2680

3500
3000
2500

2157

4038

35000

34026

24868

20000
1583

1500
949

1000

30000
25000

2000

500

40000

645
327

421

355

6450

157

1570
03

3270
04

4210

3550

05

06

18862

15000

14070

10000

745

7020

8806

5000
0

07

08

09

10

11

12

13

47

5. Examples of domestic partners


5.5 Dongan-Seeking to develop from sub-line operation
Through 6 years of efforts, both Joyear hatchback and Lingzhi MPV have made great achievement in Dongan 4S room .

Sales

Year Joyear

unit

Lingzhi

Profit

Year Joyear

10000 RMB

Lingzhi

2008

238

560

2008

262.5

372.2

2009

320

607

2009

318.6

375.4

2010

440

703

2010

399.5

388.0

2011

866

803

2011

321.5

428.0

2012

966

1714

2012

357.2

602.6

2013

1177

2462

2013

529.6

612.2

total

4007

6849

total 2189.2

2778.6
48

5. Examples of domestic partners


5.6 Huarui 4S room in Yizhang- focus on terminal and line marketing
Yizhang Huarui company locates in a small town of Hunan Province
which population is only 600,000 and the per capita GDP is 1522 USD.It
begins cooperation with Dongfeng Liuzhou Motor Co., Ltd. In 2002
In 2013, the sales volume actually reached 872, increased 86%
compared with last year and made a profit of 17.44 million RMB.

The population of Yizhang


county 0.6 million

High standard 4S shop of DFLZ


Truck repair shop in 2002

49

5. Examples of domestic partners


5.7 Success key of Huarui 4S room: Line work

Starting point

1 Collection of potential
customers, start from unfamiliar
customers (users of competing
products) visits. Looking, visiting
unfamiliar customers, collecting
potential customers.

2. Put the AD on transport subnetwork, service sub-network and


gravel plant two ads (banners, wall
advertising, etc.)!
3. Holding fixed point display
makes the customers to touch,
learn and be fond of BALONG, till
they buy it, finally spread it.
terminal point

4. Developing and visiting the key


customers to preserve the
relationship with them and
cultivating opinion leaders.
50

5. Examples of domestic partners


DFLZ has achieved a new development stage in both CV and PV market in
China with the market approved products and professional marketing strategy.
We will transform our overseas strategy, develop overseas market and
finally achieve brands globalized.
226206
167899

144668
105153
56718

22008

2002

28009

2003

42899

2004

37268

2005

46398

48968

2007

2008

37000

2006

2009

2010

2011

2012

2013

51

5. Examples of domestic partners


Next, Reaching Out to the World

Middle East

southeast Asia
AFRICA

South America

Above we introduced our


domestic performance, currently
we only export commercial
vehicles to several countries in
Southeast Asia;
Based on the stable growth of
domestic sales, next we are going
to greatly develop overseas
business, to introduce domestic
marketing experience abroad.

We has established different teams for South America, Mid-East, Africa areas.
We do hereby sincerely expect to establish a long-term partnership with you
and create a bright future together.

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THANK YOU

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