Remember that the year 2024 is likely to be a key node for independent and joint ventures to completely change the offensive and defensive situation, and it is also a year for domestic new energy to be completely on the top.
Why? Because BYD's "Yangmou" has finally reached the stage of finality, it directly took out a "nuclear" level of big killing weapon, "the same level, high configuration, low price", and is ready to directly launch a general attack.
Just after the Spring Festival, BYD directly put 7The 980,000 Qin plus and the destroyer 05 glory version were directly thrown to the market. Subsequently, many self-owned brand A-class hybrid models followed up at the same time, and the 24-year automobile ** war was directly detonated in just two days.
This behavior is comparable to Emperor Wu of the Han Dynasty's Tui En Order, and the joint venture car companies naturally know what BYD wants to do, but is it useful? The strong technology and cost advantages behind it give BYD full confidence to "flip the table" at this point in time, which is the top Yangmou!
BYD is now like a bright card on the table, we are two kings four two, you play the cards
So what can make BYD or its own brand have the confidence to play such a card? And why did BYD choose such a time node to make a move?
Today, no one should have any objections to China's new energy vehicle technology and leading chain in the world, right? And among them, BYD is the unyielding leader, and there is no objection to this, right?
This year, BYD released the vehicle intelligence with the Xuanji large model as the core, and it is not an exaggeration to say that it is a real redefinition of new energy vehicles. This architecture has gained control over almost all dimensions of the vehicle, just like a child growing up and becoming more and more athletic. The techniques of Yun Yuan and Yi Sifang are actually gaining the dominance of the body step by step.
BYD has gradually transformed its technological advantages into sales advantages, and in just six or seven years, BYD's proportion of global car sales has increased from 04% quickly increased to 35%, which is close to ten times. In the domestic auto market, BYD's performance is even more amazing, accounting for 125%, which is equivalent to one BYD for every 8 units.
Such sales performance has also brought BYD a large-scale effect and the advantages of the whole industry chain, on the one hand, it benefits from vertical integration and the advantages of the whole industry chain; On the other hand, BYD's scale effect and cost control capabilities are becoming more and more sophisticated. To put it simply, BYD's cost advantage is also expanding rapidly.
Based on this, BYD's net profit in 2023 will exceed 29 billion, earning an average of 08 small goals, if you put your vision in the second half of the year, you will even earn more than one small goal every day. At the same time, BYD's comprehensive gross profit margin was 1959%, 20% profit margin, but also make such as Qin plus, destroyer 05 glory version, this "BYD double attack" price reduction strategy less pressure to implement.
All this is the strong support hidden behind BYD's "Yangmou" shock, in this case, in the face of absolute strength, in fact, the opponent is basically powerless.
So since it has this absolute strength, why did BYD only make a move now?
Just like Emperor Wu of the Han Dynasty's Tui'en Order, it was also after the rebellion of Emperor Jing's Seven Kings that the situation was completely consolidated, and the local suppression could only be truly implemented. If it is implemented too early, the princes and kings will still have the strength to do things.
BYD and a number of domestic brands are also waiting for the right opportunity.
This opportunity simply has three points: the penetration rate of independent brands has reversed, the acceptance of new energy has increased, and the joint venture has entered a state of residual blood.
These three points can now be said to be in place.
Last year, the penetration rate of independent brands exceeded 50%, the penetration rate of new energy exceeded 35%, and the penetration rate of new energy in first- and second-tier cities was much higher than this average.
These two points mean that the independent brands represented by BYD have achieved a reversal in terms of brand recognition and new energy product recognition.
And the third point, the joint venture has entered the residual blood, and after the first two are reached, it has also entered the inevitable.
At present, the joint venture with fuel vehicles as the core pillar has to adopt the strategy of reducing prices for sales under the combination of its own brand new energy last year, such as the previous B-class car Japanese German several big handles, last year even down to the extent of less than 150,000 sales. What's even more terrifying is that after such a price cut, sales still haven't improved, and even many joint venture brands have entered a situation where both volume and price have fallen.
The result of this is naturally a sharp drop in profits, or even losses.
Like Mitsubishi, which withdrew in embarrassment last year, and a number of second- and third-tier joint ventures are all in this context, unable to support.
The first-line joint venture also entered a rather uncomfortable stage last year.
During the Guangzhou Auto Show before, I chatted with several friends from the marketing department of the joint venture car company. There are friends of mainstream joint ventures and mainstream luxury joint ventures. Basically, they all reflect that their profits will decline very seriously in 2023, and even some of them are already about to lose money.
In this case, there are already problems with the maintenance of the status quo of the joint venture, and it cannot withstand too much wind and waves.
Okay, BYD has made a move at this time!
Moreover, it directly and accurately hit the main sales force of the joint venture - the A-class market.
Originally, Qin plus was already very cost-effective, and this time it was directly killed at the beginning of 7, and the fuel consumption per 100 kilometers was 38L, 000 acceleration 73s, there is no purchase tax yet, and the interior configuration is still higher than yours, how can this be played?
A Japanese ace A-class model has been discounted to more than 70,000 yuan for the beggar version, what should I do if I do this? It can't really start at the beginning of 6, right?
The profits have been wiped out, and then the price will continue to be sharply adjusted, and how long can you last if you lose money and make money, which is a big problem.
Looking at BYD's profits, it is obvious that Dizi can bear it.
After watching the joint ventures in the past two days, it is estimated that the executives will not be able to sleep, and see what kind of response they can take in the future. It can be said that apart from the over-expectation strategy that breaks down cognition, there seems to be no conventional strategy that can be used.
BYD's move can be said to be a top-level conspiracy, and other opponents have to follow in the face of such a situation, and they have to follow if they don't.
This strategy is quite a teacher's style, fully understand their own and the opponent's situation, directly play the card, so that the competitor loses the opportunity to choose, must follow up.
Now it can be said that the domestic automobile market has truly entered the stage of "bayonet seeing red".
24 years have fallen a high combination, but obviously high cooperation will not be the only one, see who will go wrong next.
The momentum set off by "Yangmou" is an unstoppable momentum.