fbpx
Connect with us

Executive Voice

Cango Inc: Refining the Automotive Sales Model in China’s Rural Markets

Where did you start the last time you were looking to buy a car? With a simple google search, hundreds of options appear ranging from small independent dealers to the larger brand name dealers in your area, and getting in contact with them is as simple as a few clicks. US dealers provide customers with a simple car-buying experience, appealing financing options, and extensive service networks. However, in China, the car purchasing experience is quite different.

In Chinese cities, you will typically find two different types of dealers: 4S dealers and mom-and-pop car stores. 4S car dealers employ a strategy that focuses on sales, service, spare parts, and surveys. This model was first introduced over 20 years ago and largely fails to appeal to the tech-enabled new generation of customers. The 4S dealers have struggled with high start-up costs, thus most are located in higher-tier cities. Car buyers in third-tier cities and below are instead turning to the local mom-and-pop car stores.

In 2010 a group of experienced auto industry veterans came together to launch Cango Inc., a company aiming to make car purchasing simpler and more enjoyable in China’s rural markets. With a clear need for a modern solution, Cango launched and began working on building what today has become the largest dealership network covering lower-tier cities and the county-level markets in China. This dealership network is considered to be a critical gateway enabling the company to acquire first-hand knowledge of car buyers’ demands and preferences. This knowledge, coupled with powerful technology and analytics, has allowed Cango to develop a matrix of products centering on customer needs for auto transaction, financing, and insurance services

Cango’s services focus on connecting car buyers, auto dealers, OEMs, financial institutions and other industry players by leveraging their vast dealer network. They are then able to create a one-stop technology platform to connect and empower all parties along the auto value chain while offering a quick and attractive car purchasing experience to car buyers in the rural Chinese markets.

Through the establishment of a technology-driven service platform, Cango helps OEMs root their marketing and sales services channels into the lower-tier markets; on the other hand, by providing assistance in products circulation, storage, last-mile delivery, retail financing solutions, insurance and other supply chain services, Cango empowers car dealers in the lower-tier markets, thus providing safer, more professional, richer, more effective and higher quality auto transaction services to car buyers in the lower-tier markets.

Cango’s model is unique and allows for benefits to come from all sides. Allowing for customers, dealers, financial institutions, and huge automobile wholesalers to come together under common grounds ensuring that there is a positive transaction for everyone involved. This will allow the automotive industry in lower-tier cities in China to evolve and advance toward a new era of accessibility.

America has been able to run a consistent and effective automotive industry. The way that car purchasing works in the United States has been well refined throughout the years, and parts of China in the past were largely behind. This effectiveness and simplicity is the kind of experience Cango aims to bring to the rural Chinese markets. With its vast dealership network, seamless interface, and emphasis on customer service, Cango has made massive improvements in these underserved areas and is on pace to keep expanding its presence and impacts in these markets.

I am an avid traveler and loves writing. I love writing about beauty and fashion. When I am not traveling or writing, you'll find me modeling.

Advertisement defi

Join Disrupt Magazine

defi
Become A Disrupt Contributor

Most Disruptive

Real Estate Disruptors3 days ago

From Nothing To The Top 7% Percent In Real Estate With Joe And Lety Torres

What’s your backstory?    (Lety) We both have parents who immigrated to the US from Mexico. We were fortunate to...

Social Media1 week ago

Khaby Lame Becomes The Most Followed TikToker in The World

Khabane Lame was a machine operator but now trending and just became a star from an account he created on...

Tiger_Shroff Tiger_Shroff
Entertainment1 week ago

Meet Bollywood Star Tiger Shroff

Tiger Shroff has a long history in the film industry, starting before his birth. With prominent parents in the industry...

Amanda Bernardo Amanda Bernardo
Women Who Disrupt1 week ago

Meet “The Pizza Princess” Amanda Bernardo

If you live in or near New Haven, Connecticut, you may be familiar with the hidden gem that is “New...

Shirley_Setia Shirley_Setia
Women Who Disrupt1 week ago

Meet Upcoming Bollywood Star Shirley Setia

Shirley Setia is the little Kiwi that could. Coming out of seemingly nowhere with a hit cover on YouTube, she...

two people shaking hands two people shaking hands
Diversity in Tech2 weeks ago

How the Best Leaders Create and Build Trust in a Modern Workplace

Being a leader in any setting can be challenging but within professional settings, you really are juggling a lot at...

Jay Majors Jay Majors
Executive Voice3 weeks ago

How Jay Majors Is Disrupting The Barber Industry

When we see a successful figure in any industry, learning their story, where they came from, and how they’ve struggled...

Daymond JOhn Daymond JOhn
Executive Voice3 weeks ago

Daymond John Can’t be Stopped

Perhaps you know Daymond John from the wildly popular show Shark Tank. Or maybe you’re familiar with his revolutionary clothing...

Finance4 weeks ago

Ryan Carroll Establishes Wealth Assistants to Serve as a Launching Pad for Hopefuls Worldwide

Countless highly accomplished personalities and established authorities have proven that the pursuit of one’s passion can be a way to...

Business4 weeks ago

Social Media Star, TheBlondeJon’s Journey from Homelessness to Multimillionaire Status

A strong self-belief in oneself is a powerful enabler no matter the obstacles or challenges one faces on a journey....

Trending

Copyright © 2020 Disrupt ™ Magazine - Disrupt is a Minority Owned Privately Held Company

Disrupt ™ is the voice of Latino entrepreneurs around the world. We are part of a global movement to increase diversity in the technology industry and we are focused on using entrepreneurship to grow new economies in underserved communities around the world. We enable millennials to become what they want to become in life by learning new skills and leveraging the power of the digital economy. We are living proof that all you need to succeed in this new economy is a landing page and a dream. Disrupt tells the stories of the world top entrepreneurs, developers, creators, and digital marketers and help empower them to teach others the skills they used to grow their careers, chase their passions and create financial freedom for themselves, their families, and their lives, all while living out their true purpose. We recognize the fact that most young people are opting to skip college in exchange for entrepreneurship and real-life experience. This Podcast was designed to give them a taste of that.