Another car brand couldn’t help it.

On August 8, more than 100 dealers of Junma Automobile gathered in Zhejiang Yongkang to defend their rights with Junma.

Zhongtai Automobile, established in 2003, is one of the earliest independent automobile brands in China, positioning the sinking market of 50,000-100,000. In 2017, Zotye explored the brand and launched the Junma Automobile. It recruited dealers across the country and proposed 9 new models in three years, including 8 SUVs and 1 sedan.

However, up to now, Junma has only launched three new cars, including the Junma S70. A number of dealers said that Junma’s factory in Changsha had stopped production due to shortage of funds.

The seedlings that have been discontinued have begun to appear since the beginning of this year. In March of this year, some dealers were told by the manufacturers that the automatic transmission cars could not be picked up. The reason is that there is a problem with the transmission supply, and the factory can only produce manual transmission cars for the time being.

In April, spare parts were in short supply. Junma Motors promised a 150,000-kilometer warranty for 7 years, and the owner of the car went to the 4S shop for repairs. However, the manufacturer did not provide the accessories and was complained by the owner. A dealer said that in order to repair the car for the customer, he had to disassemble the test drive accessories and replace it with the customer.

A number of dealers said that the Junma regional managers and sales personnel who had previously docked with them have already resigned since the Spring Festival this year. The news of the discontinuation also comes from the departing employees.

After half a month ago, the dealers found that the inventory and account management system provided by Junma Motor could not log in normally. After Junma stopped production, some dealers did not know, and still paid for the account, but so far did not mention the car, and now the balance in the account can not be seen.

Zhongtai executives said that the software company that provided the system for Junma stopped the system due to debt problems. The manufacturer is currently recovering and is expected to restart within a week.

This is the answer given by the top management of Zhongtai after more than 100 dealers rushed to the headquarters of Zhongtai. Last week, Zhongtai Group’s board secretary, vice president of sales company, vice president of after-sales, and senior executive of Zhongtai’s parent company, Tieniu Group, met with more than 100 dealers who had defended their rights and promised to give within 2 weeks. A specific treatment plan.

Before Yongkang, more than ten Junma dealers also went to Junma’s factory in Changsha, hoping to talk to the manufacturers, but did not see the leadership, and did not receive the reception, they had to come to the parent company Zhongtai negotiations.

The requirements that dealers have made to Zotye are mainly:

  • Zhongtai needs to ensure the after-sales problem of Junma Automobile and guarantee the supply of accessories.

  • Return the account balance and redeem the subsidies and deposits promised to the dealer. Including building subsidies, building store deposits, manufacturers financial discounts, sales rebates, channel rebates and so on.

This is only a small part of the dealer’s loss. A dealer said that he opened a 400-square-meter 4S shop in a five-tier city in the south in 2017 according to the manufacturer’s standards. The cost of building a store is 1 million, and there are currently 2 million inventories. The manufacturer’s task is to sell 300 cars a year, and enter the network for one year. He only bought dozens of them.

Another dealer told me that his inventory depth has reached 3-4 months. This means that a car is not sold in Curry for 3 or 4 months, and it is impossible to repay the cost of the car.

In fact, he is a car that is 10% off according to the manufacturer’s guide price. The last 55% off the goods, the single loss is 30%-40%.

A dealer said that it is no longer possible to accurately calculate the current loss. He has repeatedly asked for reconciliation with manufacturers this year, but the manufacturers have been dragging their feet, they can only estimate by themselves, and there are more than 2 million arrears in addition to the normal construction store sales expenses.

Some dealers offered to retire. However, the withdrawal of the net means that all the investment in the previous store has been squandered.

Some dealers hope to resume production at the factory. However, Junma’s cars are all national five emission standards. After the implementation of the new national six, the national five cars in Jiangsu area have been unable to obtain licenses. Manufacturers currently do not have a plan for regional deployment.

The bigger problem may still be behind. A dealer said that since the beginning of this year, many car owners have come to the door to complain about quality problems. Due to insufficient supply of accessories, the after-sales is basically in a state of paralysis.

As a result, more than 100 dealers rushed to the factory, and the first request was to ensure after-sales. The car is produced by the manufacturer, but the dealer sells it. The car is handed over to the user and must be held responsible for the problem.

In the first round of negotiations, Zotye promised to be responsible for the 100%-controlled Junma Motor and also registered the dealer’s appeal. One dealer said that Zhongtai’s handling attitude is still “positive and not shirking.”

After two weeks, they will also conduct a second round of negotiations.