Why Do Trumpchi Cars Have Low Resale Value?
2 Answers
Why Do Trumpchi Cars Have Low Resale Value? The reasons are as follows: Low Brand Recognition: Joint-venture cars have a longer development history and better model lineage. For example, models like the Golf, Jetta, Accord, and Camry are global vehicles that have gone through many generations of development. In contrast, apart from the Haval H6 and Geely Emgrand, few domestic models have been continuously produced for several generations, making it difficult for them to become classic models. Many models are discontinued due to poor sales or simply get a new shell and name before being relaunched. How can consumers accept such new cars? Low Sales of Domestic Used Cars: Many people believe domestic cars have high failure rates and are hesitant to buy them. They would rather purchase a used joint-venture car than a new domestic one, let alone a used domestic car. Even used car dealers are reluctant to buy domestic models, fearing they won't be able to resell them, so they can only offer lower prices. In contrast, many joint-venture brands have their own used car systems, such as Volkswagen Used Cars and Audi Used Cars. By establishing their own used car systems, they can provide better services when customers trade in their vehicles, raise used car prices to compete with dealers, and improve the resale value of their own brand's used cars.
I've been driving a GAC Motor car for three years and noticed they depreciate quite quickly in the used car market. The main reason is the brand's influence isn't strong enough - used car buyers tend to trust established brands like Toyota and Honda more. Additionally, GAC's new car prices drop too frequently. Last year there was a 20,000 yuan discount when buying new, and this year's new models have even bigger price cuts, which directly pulls down the value of older cars. Another issue is the uneven distribution of GAC service centers - in smaller cities, you might have to wait several days for genuine parts, making used car buyers worry about maintenance hassles. Finally, the market sees too rapid model updates - for example, the GS4 had two major facelifts in just three years, making older versions seem outdated. These factors combined put GAC owners at a disadvantage when selling their cars.
