Study on the marketing channel mode of Construction machinery industry

Abstract. As a strategic resource， Channels are a very important aspect of marketing. Currently， multi-industrial channels， especially construction machinery industry marketing channels are still in the stage of the Experience and case studies， which have not formed a relatively complete theoretical system. This paper summarizes on the basis of previous studies on the current practice of the construction machinery industry marketing channels， and it provides feasible suggestions for construction machinery manufacturers building marketing channels， and playing a certain effect in changing its distribution model of production and marketing enterprises.

Key words： Construction Machinery； Industry； Marketing Channels； Distribution

1. Introduction

When it went into the 21st century， marketing， change and innovation have become the focus of attention of the enterprises， the construction machinery industry is certainly no exception. At present， the Chinese enterprise marketing faces a highly competitive， rapidly changing market environment at home and abroad. If it cannot grasp the market， innovation and marketing strategy and tactics， marketing channel change， enterprises are difficult to develop and consolidate the market， making the survival development.

2. The functions of marketing channels and its importance

Marketing channels can promote products or services smoothly the use or consumption of a complete set of interdependent organizations， also known as the trade channels or distribution channels. In other words， a marketing channel includes all the businesses and individuals in the process for the production and marketing of certain products， such as resource suppliers， manufacturers， merchant middlemen， brokers， on behalf of the current ancillary providers and final consumers and users， etc. The main functions of marketing channels is to collect plan and carry out the necessary exchange of information； persuasive promotion； contact buyers with its manufacturing， assembly， packaging， and other activities； commence negotiations； distribution entity， as well as financing and exposures. Practice shows that there are many reasons for the failure of products to market， but many products in addition to the less than satisfactory in terms of quality， price and advertising， multi-marketing channel system is not perfect， or choose the wrong， so that consumers cannot buy the product at the most convenient place fail. Resulting in some smart entrepreneurs building marketing channels until the product has not officially entered the market as soon as possible； make the choice of middlemen and terminal distribution in its management to invest a lot of manpower， material and financial resources. It can be said that the channel competition time has come； the construction and maintenance of the channels are the key to win the market.

3. The current market environment plagued with the inevitable choice for change marketing channels

Choose what channels must analyze the various factors affecting sales channels， and then to make decisions， the main factors affecting sales channel product， market and enterprise factors， including the market environment of the sales system constraints play a non-negligible role. However， the growth of enterprise market mechanism， the environment and the level of major defect； it mainly has the following aspects. Consumer environment is not optimistic about the performance by the lack of effective demand in the market； businesses rely on the little space of higher prices and increased profits. According to the survey， industrial producer prices rose constitution， production prices with the previous flat. Formed by a variety of factors relative surplus economy type of consumer psychology and behavioral orientation are significant transformation rational to buy more and more enterprises face escalating the quality requirements of the market for enterprise products， enterprise technological progress and product innovation pressure is growing.

Supply increasingly tense environment mainly in three aspects： First， the rising price of raw and auxiliary materials， and the increase in the cost of production. Second， the supply of labor presents three states， that the increasingly high standard of high-quality labor force， "picky type" uncertain employment trends， the rising cost of enterprise talent； oversupply of low quality of the labor force， such enterprises to absorb more labor， higher production and management costs and risks； labor supply in the middle level， despite more fully， but enterprises to absorb the labor force will have to pay a high cost. Third， the lack of corporate money supply， mainly due to sluggish sales， high debt， lower recovery of the purchase price， management costs continue to increase and new products to put in a larger， etc.， and the lack of funds has seriously affected the pace of corporate restructuring， technological transformation efforts， as well as new projects and new product development.

The severe competitive environment is shown mainly in three aspects. One is the fierce competition under the conditions of the buyer's market； Second enterprises generally lack of competitiveness and brand-name products. Some key product varieties and quality with the international level there is a big gap； a product of low-grade， low-value-added， low-tech， low-visibility， due to the excessive competition among enterprises， but also led to long-term market disordered state， often leads the plight of the prices with the prices of raw and auxiliary materials decreased the occurrence of the anomaly to the enterprise market operators. Change the inevitable choice of marketing channels in the market environment， the only appropriate marketing channels to avoid weaknesses， give full play to the overall advantages of the channels. However， in recent years， many companies and not for changes in the market change measures are not in place， so that the relations of cooperation and information network construction， leading to the agents at all levels of the vicious competition lost a lot of market share. Therefore， to seize the market changes direction， take the marketing channels of reform measures in a timely manner， and take full advantage of the marketing channel excess becomes competitive cooperation has become the primary concern of enterprises.

4. The status quo of China's construction machinery industry and the Analysis of its marketing model

4.1 The status of construction machinery industry development

According to the data shows that： China's industrial industry in recent years has made rapid development. The reason for the rapid growth is based on two points： First， the national result of stimulating domestic demand. Counties for many years to implement the proactive fiscal policy and increase infrastructure investment， which includes the implementation of a large number of large-scale developments in the western region， natural gas and electric power， and the Qinghai-Tibet railway， real estate development and highway roads. The urban infrastructure construction relies on the projects for major construction projects and equipment industry， engineering and construction machinery industry， which can be described as a rare opportunity for the momentum of strong domestic demand， directly contributing to the increase in sales. With the weakening of the economic crisis， the global economic recovery， the state encouraged the export policy incentives， engineering and construction machinery products export situation improved markedly， exports gradually enlarge. However， the behind in encouraging situation， the domestic industrial enterprises are also under the soaring of raw and auxiliary materials， the torment of labor shortage and price competition intensifies. This pendulum in the face of a serious problem in the construction machinery enterprises： First， corporate sales， on the other hand is the profitability of enterprises in decline. However， most of the attention of enterprises is concentrated in the larger market demand， so blindly increase investment to expand production scale， and strive to the loss of sales to make up for declining margins. The companies believe in "book profits to sell more" business philosophy. While the "core technology" the proportion of R & D investment is on the decline， the apparent lack of innovation in the industry，

4.2 Construction Machinery marketing channels

4.2.1 To know ourselves， focusing on weaknesses

Market research must not be wasted， and only the full understanding and analysis of the market to be made to meet the realities of a targeted strategy. In the premise of unlimited resources， this analysis is not necessary， but the scarcity of resource companies must determine a precise analysis of the market elements， precise positioning before， after all， who not want to kick the kick just kick to the iron plate. The competitor’s weaknesses choice is not absolute weakness in the region， but the geographical competitors neglect， the neglect of the agents， the neglect of the product line， the price system ignored； neglected consumer demand as well as new market ignored fine sub-groups. All competitors ignored all the "weaknesses"， even if it is his most powerful advantage if competitors overlooked， these areas will become a weakness. For example， the prices of competitors in the market are the lowest， which is both his strength is also his weakness.

4.2.2 Centralized resources， punctate breakthrough

The first and foremost principle in the military campaign is concentrating a superior force in the local area rivals formation of absolute advantage ". For businesses， the base market success or failure lies in the first wave of attacks， if the first wave of success， the latter may be gangbusters， if the failure of the first wave of attack， all personnel for the loss of market confidence， the areas will be essential Free from the base market transformation to non-base market. Therefore， if companies need to build a base market， the first battle to win， to win the secret is to concentrate its limited resources to start with a point of breakthrough.

4.2.3 Connect the dots in a line and the line into the surface

Dot after the market collapsed， then to the punctate market as the foundation， radiating outward along the downtown section of the business district， the establishment of the development of second outlets， the formation of a "double points Kaleidoscopic situation. Go perspective， a point is isolated. The two points can be considered truly "live". And as a group， continue to the next point of the development， to form a three-point into the surface of the layout of the market situation， three basic radiation localized markets.

4.2.4 Hold the key and grasp every chance

All markets are dynamic. There is the presence of competitors. Farming a market in any case be kept confidential and low-key will cause competitors to follow and react， then hold the outlets mean the difference between success and a half. They have developed the market because it did not belong， and have life and life in the region effective sales itself is a breakthrough， but also the most important channel for the first wave of impact and impetus to the market. The late primary means must rely on the channel for products such as layout and promotional means organic combination， by monthly theme week promotional stirring constantly， pulling market sales resist live competitors counterattack. This stage is more cruel competitors attack means that from this unbreakable "potential" to establish in the minds of all business groups. Could not carry the means here and became a "non-base" market. This is also a resource focus， the intention of the effective concentration.

4.2.5 The penetration of market segment coverage strategy

No upper limit on the capacity of the market， which has become the consensus of the enterprises. Each product can always find the demand of customers， each customer product and its corresponding demand. In the channels pathway breadth link， each contact link and consumers will likely be a valid path. Such as in the building materials industry， the store is a path， building materials wholesale market is a pathway home improvement company， is a path， the designer is a path， even， plumbing Fitters may affect consumer purchasing staff officer. This means that in the market， the enterprises should be read in conjunction with the characteristics of their products， fighter-type products， scale type， profit products， image type， product classification， and then according to the classification of different pathways to form a different product mix， both on the channels can do both offensive and defensive， while effectively avoiding channel conflict problem due to the multi-channel operation.

4.2.6 The promotional division of follow-up strategy

To implement "the division of responsibilities， vendors' coordinated operations" on the base market area， to be a division of labor between the corporate partners， and focus on， most of the enterprises are responsible for the overall regional brand planning and core markets and core shop market packaging materials publicity and promotional activities on the ground. While agents need to be coordinated under the jurisdiction of retail outlets， unified arrangements， coordination of movements， responsible for the implementation of the organizational work of promotional activities on the ground.

The base market development is a systematic project， the ultimate result is to achieve breakthroughs in sales in the region quickly and become stable enterprise base. The layout of the base market channels， but also an important part of the entire base marked "is to seek Board" in the planning stage. The author admits that it also has many unpredictable things happen in the base market management and performance improvement implementation process. It is difficult to end. To be resourceful is always better than widowed count， and lay a solid market base， the market will eventually return for good performance.

5. Summary

Construction machinery manufacturer in the information age， it is necessary to spend great efforts to cultivate the marketing channels into a company's core capabilities. Charge the advantage of information technology， the entire distribution channel to share information as much as possible to reduce the damage of asymmetric information on the market， and constantly optimize the degree of recognition of the channels， channel members relationship culture of mutual trust and mutual benefit， enhance corporate image. For strategic development， it should adhere to the user-oriented， and pay full attention to the value of the user， and to increase the value delivered to the user through the implementation of channel function， and the use of information technology to distribution channel train will become the core competitiveness of enterprises.

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