BYD cut prices at the beginning of the year, if you look at it from the perspective of ordinary people, you may not understand it, but from Wang Chuanfu's point of view, it is very clear.
Last year, BYD sold a total of 3.02 million vehicles, ranking 10th in the world, which is the first time that a Chinese car company has entered the world's top 10 list.
In front of BYD are Suzuki 3.07 million, Nissan 3.37 million, Honda 3.98 million, and the other 6 have sales of more than 4 million.
Judging from this data, it is entirely possible for BYD to surpass the previous 3 and jump to seventh place in the world, and it is even possible to surpass Ford's 4.41 million units and rank sixth. Because BYD's growth rate is the highest, more than 62%, the late-mover advantage is obvious.
When a new Chinese car-making force surpasses the world's old Honda and Suzuki, BYD is already a symbol, the king of the Chinese market, is challenging the dominance of the old Western car companies.
From this point of view, BYD has the highest demand for volume.
Wang Chuanfu is very concerned about making cars, and from the early days of making batteries for foreign brands, he has seen the difference between domestic and foreign companies. For example, the brand battery, the product is made by Chinese enterprises, but only a small profit, and a foreign-funded enterprise can take more than 90% of the profit with a logo. This made it difficult for him to let go, so he created his own brand.
Later, he saw that this phenomenon in the automobile field was more serious, so he bought the automobile production license in Qinchuan, Shaanxi Province and began to enter the car manufacturing industry.
BYD's road to car manufacturing was not smooth, the early F3 and F6, although the quality of the products was very good, but they were never sold at a high price, and it was not until the listing of Tang and Qin that the situation was reversed. However, it is not easy for domestic brands to build cars, so BYD's later cars try to take care of the feelings of other independent brands in terms of pricing, which is too low.
In last year's Qin Champion Edition ended with 9When 980,000 yuan was listed, BYD was in this way of thinking to avoid the price being too low and accidentally hurting its own brand. If you don't take these into account, the BYD Qin Champion Edition can be set at 7 all at once980,000, because BYD is the whole industry chain, the vehicle manufacturing cost is more than 15% lower than that of competitors.
However, in a year's time, Wang Chuanfu found that the kindness that was supposed to take care of domestic brands did not harvest the market. Among the top 15 sedan sales in 2023, except for 2 BYD, the other 4 A-segment cars are joint venture cars.
The first place is Sylphy 37610,000 units, and the second place was Lavida 34580,000 units, and 28 Sutar510,000 and Corolla 18310,000 units.
Wang Chuanfu looked at these rankings, it is "hating iron does not become steel", without BYD's own brand, it still can't beat in the A-class car market, and it continues to be occupied by joint venture brands.
Other independent brands can't do it, so BYD will go down in person and snatch back the A-class car market from the joint venture drivers. So at the beginning of the year, BYD used the Qin Glory Edition to pull the market's ** from the 100,000 level to the 70,000 level.
This strategy is very accurate, after the launch of the Qin Glory Edition, in the plug-in hybrid field, its weekly sales are more than the sales of the next 9 brands, which is a cliff-like lead.
In addition, there are reasons for the completion of BYD's factory layout and the increase in production capacity. There are also reasons why BYD wants to increase the penetration rate of new energy.
In any case, BYD's first battle at the beginning of the year has increased the involution of the industry, knocked out the premium of joint venture cars, and also brought consumers hope to buy cars faster, and it is also conducive to promoting consumption.