Is there still money to make air compressor accessories now

Is there still money to make air compressor accessories now

According to incomplete statistics, the total annual market for compressor accessories in China is about 3 billion. Now, in addition to energy-saving products, some large manufacturers, especially those with more distribution agents, are pinning their profit growth points on the sales of original parts. Many companies have launched their own parts malls.

In theory, brand manufacturers sell a large number of complete compressors. These equipment will continue to consume parts during the product life cycle. This will be a rigid demand. If the original parts are used, it can be a brand manufacturer. Bring continuous profits.

　　The parts market is generally the compressor aftermarket. In the era of surplus compressors, the opportunities for new machine sales are tightened. Even with the replacement of energy-efficient products represented by permanent magnet frequency conversion and secondary compression, after all, the absolute rigid demand growth of compressors has slowed down, and the growth rate of the complete machine sales market is limited. Therefore, after-sales service and parts market have become the focus of attention of the industry.

　　So, what development trend will the compressor accessories market show?

　　 Before discussing the trend of my country's compressor accessories market, we need to understand the background information of the compressor spare parts market. As we all know, air compressor is a kind of assembly machine. In other words, most air compressor manufacturers do not produce spare parts under normal circumstances; their spare parts (such as lubricating oil, filters, etc.) are purchased from various spare parts suppliers.

　　From their respective standpoints, compressor manufacturers hope to increase the sales of original parts, and professional parts companies are also working hard to defend their interests in parts sales.

　　 Compressor spare parts sales is a comprehensive service, and spare parts sales companies have three modes to make money:

　　 The first model is after-sales service. The feedback processing of the use of parts after they are sold to customers, the more timely they can win the trust of customers.

The second mode is credit support. The end customers of accessories sales are mainly industrial and mining companies. The receivables of these companies (in layman's terms, credit arrears) have become the norm in the industry, and there are also accounting periods in the sales of accessories. There must be interest.

　　 The third model is the scale effect, with low bulk purchase prices and high sporadic sales prices to make money with volume. There is only one manifestation of these three models, that is, buying low, selling high and making the difference.

　　 The following analyzes the probability of winning the two sides in the parts war from the customer stratification of compressor parts and parts sales and management.

　　 There are three main distribution channels for accessories:

　　 1. Parts companies sell to professional maintenance companies, and the maintenance companies sell parts through maintenance services + parts replacement.

　　2. Parts companies directly sell parts to distribution agents to prepare for different parts price requirements of different customers.

　　3. The parts companies sell parts to end users, and the users reserve them by themselves, reducing the time cost of waiting for parts when compressor repairs, or users who have the ability to handle general faults and maintenance work by themselves to save compressor operating costs.

　　The distribution channel of accessories determines the level of customers:

High-end customers are mainly customers who are sensitive to quality and not price sensitive. If compressor maintenance of foreign companies and large state-owned enterprises is not subcontracted to employees for management, the equipment management department tends to purchase original parts because the price of original parts is relatively high. It is stable and can withstand the inspection of the audit department. In addition, the quality of the original parts is relatively stable. Even if the compressor equipment fails, the power department will not complain that the parts purchased by the equipment department are tricky. Of course, there is also a mentality that is very important, that is, it is public money anyway, so you don’t have to pay too much attention to spending more.

The users of low- and mid-end accessories come from professional maintenance companies. (Note that the professional maintenance companies mentioned here do not refer to their business skills, but their business fields, that is, they specialize in repairing and maintaining compressors and other mechanical and electrical equipment in the market, which is different from The after-sales service department of general compressor distributors) and compressor distributor companies, these two companies are more price-sensitive, and the quality requirements of the products are different depending on the business ideas of their bosses. These two types of companies have the ability to distinguish between the quality of most accessories, and then have the ability to judge the cost performance of the accessories. As the price of original accessories may be higher than that of professional accessories, users of middle and low-end accessories tend to choose professional accessories.

Of course, it’s hard to make money in the compressor market nowadays. Even the authorized agents of manufacturers don’t mind making an extra penny on accessories. Therefore, these two types of companies will stock up original parts and professional parts, or have sources of supply. When facing users, the focus of promotion is different.

　　 From the perspective of the construction of parts sales channels: parts sales are divided into two channels: manufacturer direct sales and agency sales. Original parts used to be sold by the compressor manufacturer’s after-sales service department. The ability of after-sales service will drive the ability to sell new machines. During 2010-2012, when the sales of new machines were the craziest, the expansion of the after-sales service department also reached its peak. When sales declined in 2013, after-sales service that burned money The department has been gradually reduced in scale or even gradually cancelled. For example, the development momentum of the compressor 4S shop directly set up by the manufacturer has weakened, and it has not been rolled out as quickly as originally imagined. Original parts without after-sales support can only be sold through the agent’s channel or directly operated by e-commerce. If the online price of the original parts is higher than the agent’s offline price, the original parts e-commerce operated by the compressor manufacturer does not Opportunities for development; if the online price of the original parts is lower than the offline price of the agents, the agents of the original parts will have disputes with the manufacturers.

　　 From the perspective of channel management cost of accessories sales: the direct sales management cost of original accessories will lead to high channel management costs due to brand image requirements and high quality of management personnel. Therefore, high profits must be required to maintain operations. This has led to the fact that in addition to the high quality of the original accessories, the high cost of the channel is also an important reason for the high price. The direct sales channels of the original parts hire professional managers, who are simply senior workers, who rely on wages and bonuses to survive. If the sales of original parts rely on wages to motivate workers, there is no guarantee of 24-hour after-sales service initiative for parts. If the original accessories rely on bonuses to mobilize the enthusiasm of the workers, the possibility of the workers selling professional accessories privately and part-time is not ruled out. The possibility of "rich monks and poor temples" is very high. Professional accessory manufacturers are small in scale, and the bosses usually manage the sales themselves. The characteristics of these bosses are on-call and no weekends. The boss of professional accessories combines enterprise ownership and management power, and there is no mentality of eating inside and out. If the original parts adopt direct sales channels, the likely result is high operating costs and difficult to guarantee service capabilities.

　　 From the perspective of credit sales of accessories sales: the price of original accessories is relatively transparent, which is both good and bad. For cash purchases, price transparency is a good thing; for credit sales, price transparency may not be a good thing. When selling accessories on credit, accessory sellers will be more inclined to choose professional accessories with less transparent prices. Because the price of this kind of accessories is not transparent, customers cannot verify how much the interest cost of credit sales is added. On the contrary, some customers feel that they buy professional accessories. It is cheaper than buying original parts and can be credited.

Based on the above aspects, if China's economy continues to decline and the profits of the compressor industry continue to slump, more end-users of accessories will join the ranks of price-sensitive ones. The final result of the accessories war is likely to be rural siege. city.

　　 Of course, this is based on the continuous improvement of the overall level of professional accessories technology. Otherwise, based on the gradual maturity of compressor users, they will not blindly pursue low prices after they have a deeper understanding of energy efficiency and operating cost ratios. After all, low prices often represent low quality.

　　 In fact, in the compressor industry, original parts are also trying to find ways to seek a wider user market by reducing prices, bundling sales, or setting after-sales service restrictions. The most typical representatives of original parts are foreign compressor brands. Now some domestic companies have the ability to compete with foreign companies in the mid-range compressor parts market. In the period of industrial transformation and upgrading, the most realistic and feasible way to block imports or substitute imports is to make efforts from the middle end.

The good news is that my country’s air compressor market space is so large, if domestic air compressor parts can be replaced by imports, the prospects are promising; the worry is that the product structure of my country’s air compressor parts is still unable to meet the high-end domestic market demand.