Dongfeng Cummins and machine companies jointly expand the construction machinery market

Data show that since the first quarter of this year sales of construction machinery industry rose month by month, of which 24027 sales in March excavator sales, an increase of 58.01%; loader sales in March 16792 units, an increase of 56.29%. These indications indicate that the Chinese government’s investment of 4 trillion yuan to stimulate domestic demand programs has shown initial success. In order to better grasp this opportunity, the construction machinery industry has accelerated the process of market expansion. Recently, the promotion of 5-ton loader products jointly held by Dongfeng Cummins Engine Co., Ltd. and various OEMs has been held throughout the country. It is understood that these 5-ton loaders are matched with the Dongfeng Cummins C-Series engine.

Opportunities are only for those who are ready

According to industry insiders, the State Council has issued ten measures to promote economic development and the construction machinery industry has benefited greatly. The construction of infrastructure such as railways and highways, as well as the acceleration of post-disaster reconstruction in Sichuan, drove the demand for the construction machinery market. According to the analysis of relevant persons from the China Construction Machinery Industry Association, the potential of the global construction machinery market is also relatively large, especially in the emerging economies and infrastructure construction in Southeast Asia, the Middle East, Eastern Europe, Latin America, and Africa. The broad market prospects for Dongfeng Cummins Engine Co., Ltd., which has a good reputation, provide an excellent opportunity to further expand its market share. It is understood that since 2009, Dongfeng Cummins has made phased results. In the loader market, sales of some host manufacturers increased by 70% over the same period.

The increase in sales volume, on the one hand, benefits from the country's large investment environment, and on the other hand, it is due to Dongfeng Cummins's economy, power, environmental protection, and reliability in the field of construction machinery.

In order to meet the new opportunities brought by the country's investment, Dongfeng Cummins set 2009 as the service year for construction machinery, and made full preparations in terms of products, markets and services, and formulated a series of response policies. For example, to further refine the market and greatly enhance the service response speed, the products are constantly undergoing adaptive adjustment and targeted development, and various indicators such as economy, power and reliability are optimized. The joint venture with the host plant is also one of the strategic plans for Dongfeng Cummins to expand its construction machinery market, demonstrating the determination of both parties to flex their muscles in the construction machinery market.

Sincere cooperation, to create 1 +1> 2 effect

“If the previous cooperation between the engine company and the entire vehicle company was called “the engine company took the stage and the entire vehicle company sang the show”, then the marketing of the 5-ton loader was an engine company that took both the stage and the opera. "A person in the industry praised. The transformation of engine companies from behind the scenes to the stage has a decisive role in the win-win market for both parties.

The first is that the brand value of both parties can be further improved. As one of the largest engine companies in the world, Cummins's joint venture in China, Dongfeng Cummins took the lead in introducing electronically controlled engine technology to China and occupied an important position in the field of internal combustion engines in China. The OEMs that are cooperating with them are also well-known domestic companies and are one of the best in the field of construction machinery. The perfect collision between the leaders of the construction machinery industry and the “world-class power” at the marketing level will bring positive impact to both parties. The OEM can achieve the goal of stabilizing the product support market and expanding its competitive advantage. For Dongfeng Cummins, not only has more end-user resources been shared, but its brand awareness has also been greatly improved among end-users. This is undoubtedly a win-win situation of 1+1>2.

In addition, the “joint promotion” approach is also of special significance to end-users: With the maturity of the user’s buying philosophy, the engine’s fuel economy, reliability, and environmental protection have become the main factors in the purchase of cars, and “joint promotion” is Users better understand these properties of the engine and build a communication platform. Through direct communication with the engine manufacturer, the user understands engine knowledge that has not been known before and uses maintenance methods to better use the Dongfeng Cummins engine.

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