Lubricants: The Common Choice of Self-owned Branded Vehicle Enterprises

Affected by the economic stimulus policies, China's auto market ushered in a year of blowout-type development in 2009, and its production and sales volume hit a record high, ranking first in the world. However, after entering 2010, the automotive market has cooled sharply, the development of the market has become confusing, and even some manufacturers regard it as an "inflection point."

Inflection point: The imagination and temptation of 300 billion

At the end of April, the 11th Beijing International Automobile Exhibition was held. The theme of this year's exhibition was “Imagining the Green Future” to look forward to the future transformation of the automotive industry brought about by low carbon. In fact, the changes in the automotive industry are omnipresent, which promotes technological progress and the vigorous development of the auto market. However, as far as the industrial ecological chain is concerned, the reform of the automobile industry has not really occurred, and it has not yet crossed the “car-based” era.

All this is destined to the automobile market will gradually leave the era of car-based, the attention of the auto giants will be transferred to the auto market, the auto industry's profits are also transferred to the aftermarket.

China has become the world's largest auto market and has a large car aftermarket. It is predicted that the size of China's auto aftermarket will reach 190 billion yuan this year, and after five years this figure will exceed 300 billion yuan.

This is a huge gold mine that is full of imagination.

Bonfire market

Lubricating oil is the partner of power, which determines the value that lubricating oil can't be ignored in the automotive aftermarket. Of course, the automotive aftermarket will naturally become the focus of competition among major lubricant brands.

Lubricants manufacturers, we are familiar with the Great Wall, Mobil, Shell, Kunlun and other domestic and foreign brands, these brands account for most of China's market share, has won the recognition of car manufacturers and car consumers.

However, over a decade ago, lubricants were the world's most expensive brands. The rise of domestic brands such as the Great Wall and Kunlun played a huge role in leveling domestic lubricant prices, forming a market pattern in which international brands and local brands competed against each other. Even local brands took the upper hand in the competition, giving users even more advantages. For a wide choice. In 2002, Sinopec Corp. consolidated its lubricants business and established a specialized lubricants company. With the establishment of a brand image, Great Wall Lubricants has become a leader in the domestic high-end lubricants market.

This is not a victory for the market for technology, but a result of decades of unremitting exploration and innovation by Chinese lubricant manufacturers. The Great Wall Lubricant produced by Sinopec Lubricants Company has served China Aerospace for more than 50 years and has made many technological breakthroughs in the field of lubricants, and has been fueling the development of China’s aerospace industry. They turned aerospace science and technology (000901, stocks) to civilian use, and the lubricating oil products produced are known as "aerospace quality".

In fact, keeping up with Shell and other foreign brands in terms of technology and quality does not necessarily translate into market advantages. The automotive lubricants market is a special industry. Apart from the lubricant manufacturers, the role played by auto manufacturers is also very important. All the well-known auto manufacturers have their own special lubricants. If they want to achieve market breakthroughs, they will not be able to separate from auto manufacturers. Recognition.

Great Wall: Common Choice of Mainstream Vehicle Firms

At present, China's automobile service industry is in an era dominated by automobile manufacturers. 4S stores are the first choice for most car owners. Due to the great competitive pressure in the vehicle market, automobile manufacturers will inevitably consolidate and strengthen this important source of profits for automotive services. Therefore, for lubricating oil brands, cooperation with mainstream car companies is an inevitable choice to integrate into the automotive industry chain and develop the automotive aftermarket.

Up to now, Great Wall Lubricants has adopted a series of automotive lubricants such as GM, Toyota, Volkswagen, Chrysler, Honda, etc., which are certified by the world's top five automakers. According to statistics, Great Wall Lubricants has been established with 90% of China's mainstream automakers. The partnership has occupied more than 65% of the mainstream car companies' loading and service oil share.

This is a huge breakthrough in domestic lubricants

As early as the foreign automobile brands entered China, along with the automobile manufacturing brought to China, it was the brands of automobiles such as lubricants, parts and components, which resulted in the so-called lubricant eco-cycle of the car brand. The breaking of the ecosystem has come from the strength of domestic lubricant manufacturers and the recognition of users. In fact, the key to distinguish between the advantages and disadvantages of lubricating oil depends on the grade of oil and lubricating oil. Lubricants have a very strict standard system. Both domestic and foreign brands have passed the same international certification system. There is no performance gap between domestic and foreign brands in the same level of products. Compared with international brands, domestic brands have natural advantages. They are closer to users and users, and their products have unique technologies that are more suitable for China's traffic conditions.

If we say that in terms of technology and quality, China's lubricating oil brands and foreign brands hit a draw, then, in terms of customer perception and service awareness, the Chinese lubricating oil brand has taken a step beyond. Among them, the most notable event was Sinopec's establishment of the first cross-industry automotive technology cooperation center in 2009. The daily agency of the center is set up in Sinopec Lubricant Company to integrate the overall strength of Sinopec's service automotive industry, in terms of fuel oil (information, quotation), lubricants, rubber (information, quotation) and other automotive chemicals. Automobile manufacturers provide better products and services. Less than one year after the establishment of the cooperation center, Sinopec and automotive companies jointly researched and developed more than 20 lubricating oil products, obtained 37 domestic OEM certifications, 10 international OEM certifications, and 17 products related to the automotive industry.

As a result, China has made a breakthrough in the ecological chain of the automotive lubricants market, and Great Wall Lubricants has become a common choice for mainstream Chinese auto makers. Behind this common choice, in addition to the technology, quality, and services provided by Great Wall Lubricants, what is more penetrated is the development strategy and vision of China's lubricant brands. For Great Wall Lubricants, the common choice of mainstream car companies undoubtedly wins more points in the market for automotive lubricants, and the resulting market effect is yet another successful marketing model.

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