Views: 2 Author: PEAK Publish Time: 2024-05-10 Origin: Site
Since the beginning of this year, the agricultural machinery market has undergone phased changes due to various factors. The overall market structure adjustment trend is obvious, with an increase in demand for high-end leading products and a clear advantage for leading enterprises. Agricultural machinery enterprises are adjusting their stock and combining it with optimizing their increment to promote the industrial structure towards the mid to high end, while striving to meet market demands and achieve their own development goals.
1、 Agricultural Machinery Market: Gathering Strength and Waiting for the Peak Season
The market operation from January to April has always been highly valued by the industry. The performance of the agricultural machinery market is different from usual, with leading enterprises showing a trend of early preparation, busy production, and early procurement.
One is that some production and sales situations are optimistic. Unlike most enterprises, top and advantageous enterprises start to resume work and production at full capacity during the Spring Festival, with a "good start" and a market signal of "starting from the beginning". Multiple companies are constantly seeking job opportunities and taking various measures to assist in returning to work and preparing for production in advance. After the holiday, leading agricultural machinery enterprises have shown a bustling and busy scene, with normal production and operation, overseas marketing personnel increasing regional market development efforts, and product batches being sent from manufacturers to other places. At present, the market competition is fierce, forming a strong atmosphere of seizing the market, ensuring supply, and promoting development.
The second is to optimize social inventory. In 2022, the sales of National III products have significantly increased, and many enterprises have maintained a high level of social inventory throughout the year. In 2023, agricultural machinery enterprises and distributors are generally cautious about the market, and the inventory of National IV products has been further adjusted and optimized. This year, due to the overall market launch not meeting expectations, the traditional peak season demand has shifted back. Dealers are generally optimistic about the market situation in 2024 and have started to reserve some popular products.
The third is to advance the regional purchase time. According to relevant information, the regions with high demand for agricultural machinery products are mainly the spring plowing and sowing market, with the Northeast, Northwest, and Southern regions becoming the main regions of the spring plowing market. Due to a decline in sales in some regions of the Northeast region last year and a rigid demand for high value-added products in the market, there has been a stable growth trend in demand since the beginning of this year, with a significant increase in dealer orders.
Fourthly, there has been a significant change in customer needs. From the current market perspective, products with strong business capabilities and high quality have become the main selling products in the market. Affected by subsidy factors, some power segments of large and medium-sized tractors have begun to experience a regression phenomenon. There has been a good growth trend in rice harvesting machines weighing 6 kilograms and wheat harvesting machines weighing 10 kilograms. High end products with high operational comfort and cost-effectiveness are welcomed by users. According to incomplete statistics, the regional structure proportion of purchasing shares for agricultural reclamation, agricultural machinery cooperatives, family farms, and grain growers has exceeded 60%, and will become the main driving force for market development.
2、 Multiple factors: mutual promotion and reflection of advantages
This year, the agricultural machinery market has become a consensus among industry insiders due to high pressure, changing demand, and strong consumption. From January to April, the sales of some leading products in the market were influenced by multiple factors, and the overall market received effective support. The market has already broken out of the strong weak boundary.
Firstly, there is a clear demand for spring plowing and seed preparation. Spring plowing and sowing preparation have become the top priority for regional agricultural planting. Crops planted in different regions exhibit trends such as dryland and paddy fields, single season and multi season crops, as well as flat and ridge cultivation. Users in various regions are mainly preparing for spring plowing and sowing, which will directly affect market demand and orientation. This year, most regional distributors have advanced their stocking times. With the advancement of spring plowing preparation and increasing spring sowing area, the market trend in the new year will show impressive performance.
The second is that the holiday season has a significant impact. After this year's Spring Festival, spring management and spring plowing have gradually started from south to north. In some areas, the land has melted earlier than in previous years, and some areas have experienced cold weather such as heavy snow. From a time perspective, due to factors such as holidays, weather, farming habits, and purchasing factors, the spring plowing time is expected to be advanced this year. Some users in spring plowing areas will start purchasing machines in late March, while other regional markets will steadily start thereafter.
The third is strong support from agricultural policies. At present, the agricultural machinery industry is still in a period of industrial development opportunities. In 2024, the No. 1 central document will continue to focus on "agriculture, rural areas and farmers", becoming the 21st "No.1 Document" since 2004. The central government insists on making solving the issues related to agriculture, rural areas, and farmers a top priority in the work of the entire party, which determines that the policy dividend of China's agricultural machinery market will continue. The implementation of policies such as a new round of equipment updates and the exchange of old for new consumer goods, upgrading and upgrading of agricultural machinery and equipment at both large and small ends, optimizing machinery and subsidies, and constructing high standard farmland will accelerate the pace of industrial structure adjustment and help achieve China's goal of high-quality agricultural mechanization as soon as possible.
The fourth is to expand the promotion efforts of enterprises. The dominant sales model of enterprises has shifted from traditional price promotions to multidimensional transfers such as price, service, and quality commitments, continuously increasing promotional efforts. Starting from December 2023, leading agricultural machinery enterprises will take the lead in seizing intended and competing users, expanding their influence and user loyalty, and fully promoting product sales in spring plowing areas through online and offline multi frequency product demonstrations, product promotion, user forums, on-site public relations, financial interest free support, discount promotions, service commitments, and free warranty delivery measures. In reality, enterprises that rely on store waiting and offline promotion have obvious advantages compared to those that combine online and offline promotions.
3、 Targeted opportunities: striving for excellence and comprehensive innovation
The agricultural machinery industry is in a crucial stage of efficient transformation and upgrading, as well as high-quality breakthrough development. Agricultural machinery enterprises should combine their own reality, coordinate resource complementarity with a global perspective, accelerate industrial structure adjustment, innovate marketing models, seize market opportunities with high-quality products and comprehensive services, and meet user needs.
One is to seek more solid competitive barriers. The environment surrounding the transformation of purchasing decision-making patterns and habits among customers needs to dynamically increase market cultivation and expansion efforts. Adhere to traditional and incremental markets, coordinate blank and weak markets, establish target markets and key customers, and effectively seize development opportunities. Through high-frequency market research, demand insights, and other methods, dynamically understand regional subsidy orientation, planting patterns, intended models, purchase time, and competitor marketing models and product strategies, combined with customer pricing
The second is to actively seek opportunities based on market development. The agricultural machinery market has evolved from a past driven by supply of mid to low-end products and incremental expansion to a new situation driven by demand for mid to high end products and stock competition. The policy of benefiting farmers will further increase support for mid to high end, green and environmentally friendly products, and the demand for these agricultural machinery products will become the main driving force for the healthy development of the agricultural machinery market. Agricultural machinery enterprises seize policy opportunities, conduct precise research according to policy orientation and subsidy focus, search for subsidy focus, industry orientation, and products with relatively large subsidy amounts, clarify their own industrial structure adjustment, product upgrading and replacement goals and paths. Deeply grasp the opportunities of the Action Plan for Promoting Large scale Equipment Renewal and Consumer Goods Exchange, focus on analyzing and evaluating the relevant policies issued by various provinces and cities in the future, search for market opportunities, analyze and search for products with high market demand based on market laws, implement accurate prediction, do a good job in production and sales coordination, smooth production and sales channels, and meet the personalized and differentiated needs of users.
The third is to focus on improving customer stickiness through the system. The quality of customer relationships will directly affect the survival and development of enterprises. In reality, the actual consumption demand for high-end products among the mid to high end consumer group has been on the rise. Agricultural machinery enterprises should establish a customer information platform system based on their own development goals, systematically sort, research, and classify customers, and maintain different resources and dimensions in a phased, periodic, and systematic manner. We will carry out a series of product promotion meetings, user forums, door-to-door delivery services, holiday promotions, and other measures that combine online and offline. We will segment customer opportunities, dynamically communicate, track, and proactively provide services, and strive to seize the practical needs of agricultural machinery cooperatives, family farms, major grain growers, and competitive customers. We will provide a corresponding package of agricultural equipment to achieve perfect product delivery.
The fourth is to innovate business models. Based on changes in the external environment, grasp industrial laws and market trends, and continuously construct new business models and formats. Support Internet based business model innovation, promote network collaboration, manufacturing collaboration, and service collaboration among enterprises, dealers, and users, and create a win-win system for the whole value chain of marketing. Establish a financial support system, alleviate user financial pressure, and promote product sales. Build a deep intelligent sales model both online and offline, connect the last mile of marketing terminals, provide agile sales and service models, and form a closed-loop support for product development and improvement, and perfectly solve user needs. Implement value engineering, stabilize core component cooperation channels through scale and extreme supply chain management. By means of attracting talents and intelligence, we promote research and development innovation, independently grasp core technology and independent intellectual property rights, strive to form high-end product mass manufacturing technologies such as power shift and continuously variable transmission tractors, and longitudinal flow grain combine harvesters, and strive to provide users with high value-added and cost-effective products.
