With the fierce competition in the auto market and the rise of new energy vehicles, traditional car companies are facing unprecedented challenges. And Skoda cars, which have always been low-key in the market, have been hit like never before.
In order to further strengthen its competitiveness, Skoda has installed a "bayonet" this time, and plans to bring a new model Octavia. You must know that Skoda's fist product was Octavia, which is a meaningful product that enlightens the Chinese automobile market. Although **Octavia has not undergone earth-shaking or reborn changes, it is not perfunctory, and the exterior and interior have brought new product power and visual impact. So can the newly rejuvenated **Octavia lead Skoda back to its original peak position?
What is the level of strength of the new Octavia?
In the domestic automobile market, Skoda's reputation is not bad, thanks to Skoda's models and Volkswagen common parts, so there is a point of view in the automobile consumer market that people who understand the public go to buy Skoda, and the positioning of Skoda's products is lower than that of Volkswagen models, so in the early years, Skoda models obtained good market results with German quality and cost-effective advantages, and Skoda was once regarded as a people-friendly version of Volkswagen.
Backed by SAIC Volkswagen, Skoda's market performance that year also went all the way, and from 2016 to 2018, Skoda sold more than 300,000 vehicles for three consecutive years. However, with the rise of autonomous models, Skoda's cost-effective advantage is also being weakened, and the market performance is also affected.
In contrast, while providing high quality, domestic cars also have a cross-level configuration, while joint venture cars are limited by cost and have relatively few configurations, so with the upgrading of consumption, consumers' car purchase needs are becoming more and more diversified, and consumers with a car purchase budget of about 100,000 are also more inclined to domestic cars. In other words, the joint venture car market in which Skoda is located is gradually being eroded by independent car companies.
In the face of the affected market performance, Skoda now also plans to counterattack and optimize and upgrade its flagship product Octavia. Although the Octavia is a mid-term facelift model, the changes are not small, the temperament of the shape has become sharper and more aggressive, and the crystal-cut profile design brings a sharp and slightly sci-fi visual impact, full of power and aggression. The large LCD screen and small electronic gear knob in the car also enhance the sense of technology.
It can be seen that the comprehensive strength of Octavia has been improved a lot, and the internal and external appearance that is closer to the aesthetics of modern consumers, as well as higher texture and richer configuration performance can bring users a better car experience. In the past, Octavia's product power was very capable in the market, but now the independent models continue to decline, and at the same time have excellent product design, in this case, Octavia wants to gain a large number of consumer recognition in the market, and a people-friendly ** is very critical.
Is the European market more attractive than China?
Although the overall strength of Octavia has been greatly enhanced, it is an indisputable fact that Skoda is facing greater pressure than in previous years. Recently, the environment of the automobile market has undergone great changes, whether it is a traditional fuel vehicle or a new energy vehicle, we can always see the news that some brands have gone bankrupt and some brands have withdrawn, which just shows that the domestic automobile market is currently being reshuffled.
Backed by the Volkswagen Group, Skoda has strong overall strength and believes that it can stand firm in the Chinese market. However, in the context of the intensifying market of new energy vehicles, it is very difficult for Skoda to return to the original subversion period in the short term.
Regarding future product planning, Skoda has said that it adheres to the two-legged policy of fuel vehicles and new energy vehicles, so it can be seen that Skoda is still continuing to make efforts in the traditional fuel vehicle market. At the same time, in the field of new energy vehicles, Skoda also plans to vigorously promote new models, and plans to launch 6 new models between 2024 and 2026, of which a new electric SUV is expected to be released in 2024 - ELROQ, and an entry-level crossover electric vehicle is expected to be launched in 2025.
However, Skoda's new energy vehicle products will be mainly aimed at the European market, and there is no definite news as to whether it will be introduced in China. At the same time, Skoda has also said that it will continue to launch hatchback and station wagon versions in the future, and by the end of the decade, Skoda expects electric vehicles to account for 50-70% of its European sales, while Skoda wants to make all three of its Czech factories carbon neutral by 2030.
In other words, in the future, Skoda's new energy vehicle business development will focus on the European market. However, at present, the world's largest new energy vehicle market is in China, and the current domestic new energy vehicle market is developing rapidly, and major multinational car companies want to get a piece of the pie. However, Skoda's focus on Europe is bound to miss the wave of rapid development of domestic new energy vehicles, which is not conducive to its own development in China.
But from Skoda's point of view, putting more resources in the European market should be a better choice. You know, Skoda's biggest market has always been Europe, not China. Compared with China's new energy vehicle market, the new energy vehicle market environment in Europe is less competitive, which is conducive to Skoda gaining more living space in the market.
It is reported that it will not take long for Octavia to be domestically produced in China, although there are many difficulties in front of this car, but the overall product force of the vehicle does have a good advantage over fuel vehicles of the same level, and in the future, Octavia can bring surprises in terms of **, and Skoda further enhances its marketing capabilities, so it is not difficult for Octavia to regain the trust of consumers. However, for Skoda, the European market may be more attractive than the Chinese market, not to mention that Skoda still has a certain stake in Volkswagen, even without the performance contribution of the Chinese market, Skoda can also get good profits.