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More sales in Q1 2017 than in the first 10 months of 2015, how was FAW Jiefang able to do it?

FAW Jiefang sold a total of 71,200 heavy-duty trucks in the first quarter of 2017, a surge of 136.7 percent on a yearly basis, and more than that in the first 10 months of 2015.

How could FAW Jiefang achieve such amazing sales performance? According to, it is due to both favorable market conditions and internal efforts of FAW Jiefang itself.

As for favorable conditions, the heavy-duty truck so far in 2017 has been far better than it was in 2015. Based on figures from, about 280,000 heavy-duty trucks were sold in Q1 2017, nearly twice that of Q1 2015.

However, FAW Jiefang’s own efforts responding to the market is the dominant factor driving its performance.

Back in Q1 2015, FAW Jiefang took up a market share of 14.36 percent, ranking third in the sector. In Q1 2017, it was top in sales with 71,000 units sold and a market share of 26.1 percent, 22,000 units more than those of runner-up Dongfeng. In less than two years, FAW Jiefang lifted its market share at an amazing rate of 80 percent, which is mainly propelled by the power of supply-side reform that brought significant improvement in its product strength, sales channel, as well as sales and marketing capabilities.


Strong and precise product strength

“Soft” strength improvement spoke for the considerable progress made by FAW Jiefang. For instance, the leading position of its product strength is driven by both the width and depth of its product lineup. With product width, the enterprise can identify major segmented markets accurately so as to cover all markets. FAW Jiefang has been able to identify the pain points of users in key segments of the market since H2 2015 and launched appropriate products for those markets. As a result, it boosted its strong product strength in major segments. In hazardous chemicals, coal transportation, less-than-truck-load express and other segments, FAW Jiefang’s market share far exceeded other competitors. It also took a leading position in truck markets and market of special-purpose vehicles. Meanwhile, it was also able to turn major demand of users into appropriate products. For instance, it launched products with improved technologies in protection against the cold and heat as well as products for mountain areas with improved climbing performance.

As for the depth, FAW Jiefang is able to launch the most competitive products for the largest segments, which means it can collect advantageous resources and make its most powerful strength into full play. Therefore, it reaped a larger share in the most profitable segments. For instance, it sold 56,000 tractors in Q1 2017, surging 149 percent on a yearly basis. It also enjoys absolute competitive edge in the 6×4 tractor segment.


Improved sales channel and sales & marketing capabilities

Besides strong and precise product strength, FAW Jiefang has started to enhance its sales channel ability since H2 2015 when a series of reforms were launched. It is mainly due to some management means and methods borrowed from passenger vehicles. Change in sales model is the major driving force in the company’s growth in 2016. It has also set the more advanced sales system for passenger vehicles as its sales system standards, according to Hu Hanjie, general manager of FAW Jiefang.

Thanks to a series of reforms since H2 of 2015 and detailed sales channel optimization, FAW Jiefang changed the extensive sales model in commercial vehicle industry and improved its sales channel ability, which was also an important factor in its rapid sales growth since 2016. With unified standards with the sales system of more advanced passenger vehicles, FAW Jiefang has solved many problems including the sales ability of personnel, networking sales ability, standardization of sales procedures as well as satisfaction of sales and services.

Moreover, different from past practice of no voice in the media, FAW Jiefang has made significant improvement since 2015 when it changed its sales and marketing approach. As its concept and values are accepted by an increasing number of people, FAW Jiefang launched many promotional activities, which in turn boosted its sales. So far, it has created a virtuous cycle starting from understanding by customers, improvement in brand fame, increase in sales, praise from customers, to further improvement in brand fame, further increase in sales and larger influence.

This has reaped further benefits so far in 2017 than 2016.

(Rewritten by Xu Jun based on author’s article on

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