The car GPS market in China is experiencing unprecedented growth, with projections indicating that by 2015, the industry will surpass a value of 200 billion yuan. This rapid expansion is driven by technological advancements and increasing consumer demand for reliable navigation systems.
The car GPS market in China is set to exceed 200 billion yuan by 2015, driven by rapid technological advancements and growing consumer demand. Despite the promising growth, the industry faces challenges with product quality and reliability. This article delves into the market dynamics, growth statistics, and the quality issues plaguing the industry, providing a comprehensive overview of the current state and future prospects of car GPS systems in China.
During China's 12th Five-Year Plan (2011-2015), the satellite navigation industry has seen remarkable growth. According to the EnfoDesk Analysys think tank, the number of mobile navigation clients reached 52.33 million by the end of September 2011, marking a 23.5% increase from the second quarter of the same year. The "China's Geographic Information Industry Development Report (2011)" published by the State Surveying and Mapping and Geographic Information Council, projects that by 2015, the industry's output value will exceed 225 billion yuan, with satellite navigation terminal holdings expected to reach 340 million units.
Ran Cheng, from the Management Office of the Chinese Satellite Navigation System, predicts that the industry will continue to grow at an annual rate of approximately 30%. By 2020, the output value of China's satellite navigation industry is expected to reach 400 billion yuan. As of now, the market size is estimated to be around 100 billion yuan, according to the Global Navigation and Positioning Association.
Car navigation systems have become a crucial feature for car owners. The automotive industry has noted a trend where more manufacturers are including navigation systems as standard equipment in vehicles. Even when not pre-installed, sellers often recommend these systems as additional accessories, significantly boosting their popularity.
Despite the growing market, the quality of car navigation products remains a significant concern. A report by the Certification Center of China Electronics Technology Group Corporation 54th Research Institute, in collaboration with the China Electronic Chamber of Commerce and the National Communications and Navigation Equipment Quality Supervision and Inspection Center, revealed that 70% of GPS satellite navigation products fail to meet quality standards.
From October 2011 to February 2012, the Certification Center conducted quality tests on 18 products from 13 major domestic manufacturers. The results were alarming, with only 5 products passing the certification test, resulting in a pass rate of less than 30%.
Experts interviewed by CCTV highlighted that navigation software and maps are major factors affecting the performance of navigation systems. Issues such as delayed voice prompts, unnecessary detours, and repeated U-turn instructions not only waste time but also increase fuel consumption.
The industry is aware of these challenges and is working towards improving the quality and reliability of navigation systems. Continuous advancements in software development and more rigorous testing protocols are essential to address these issues.
The car GPS market in China is on a trajectory of significant growth, with projections indicating a market value exceeding 200 billion yuan by 2015. However, the industry must address the pressing quality concerns to ensure sustainable growth and consumer satisfaction. As technology continues to evolve, the future of car navigation systems looks promising, provided that manufacturers prioritize quality and reliability.
For more information on the global navigation industry, you can refer to Statista and China Daily.
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