In-depth observation of the great wisdom of China brand small car companies
[XCAR Deep Observation Original]
Foreword:In the previous article, we talked about the topic of "China brand collective counterattack", but mainly talked about the "big guy" in China brand, including the "four big and four small" in state-owned car companies and private car companies in the first-line camp. This issue will continue this topic, but the goal has been changed from "big guy" to "small guy". The so-called rising tide lifts all boats, the continuous expansion of China automobile market, and the improvement of the overall technical level will also bring opportunities to those "small guy" automobile enterprises in China market. "Small boats are easy to turn around". If they respond quickly enough and find the right development direction, these "small heads" can also overtake in corners. Inadvertently, you will suddenly find that their growth rate is much faster than you think. Let’s take a look at several representative car companies.
● Zotye automobile
Speaking of Zotye, there seems to be no sense of existence for a long time. The initial impression is that SUV model that looks like Toyota Terui, and the car name is still changing from 2008 to 5008, but the model has not changed. The first judgment is that this car company has no strength of independent technology development. In addition, it seems that there is not much ambition after a long period of obscurity. In fact, among private car companies, Zotye started not too late, and it was almost the same as BYD’s entry into the automobile field, both in 2003. Like BYD, Zotye had a long history before it entered the automobile field, but its old business was not electronics, but hardware.
Zotye Automobile’s predecessor was the Great Wall Hardware Machinery Factory, which was established in 1994 and located in Yongkang, Zhejiang Province, where the private economy was very developed. Since then, the Great Wall Hardware Machinery Factory has been renamed Tieniu Group, which has experienced rapid growth and subsequent industrial integration. In 2003, Tieniu Group entered the automobile field after acquiring the shares of Jinma, which produces key automobile parts, and established Zotye Holdings, with Wu Jianzhong as the chairman.
By chance, Zotye Automobile bought a Toyota TERIOS production line sold by a Taiwan Province automobile company due to financial problems, and gained the capacity of vehicle production. But since then, it has faced the same problems as all private cars — — The qualification of vehicle production was initially achieved through cooperation with Chengdu Xindadi Automobile, but after all, it was an expedient measure. In March 2007, Tieniu Group broke through many obstacles and successfully acquired 70% of the shares of Jiangnan Automobile Manufacturing Co., Ltd., thus taking Jiangnan Alto to its subsidiary and "buying" a car "birth certificate" of its own.
The bumpy road is somewhat similar to the initial stage of Geely and BYD, but the process is more tortuous, which also honed the indomitable will of Zotye Automobile. In the first five years of its establishment, Zotye had only one product such as 5008. The product line was thin and the lack of independent development capability was the biggest bottleneck. Since then, Zotye Auto has thought of introducing mature overseas technology platforms. In 2008, Zotye bought some relatively old technology platforms and production lines of Fiat Auto, such as the early wide-body MPV Dream Deborah, and it was reported that Zotye bought out the four production platforms of M/P/D/L from Fiat, and Palio, which was once produced in Nanjing Fiat, will also be produced in Zotye Factory.
After purchasing the technology platform from Fiat, Zotye’s product line finally expanded, and since then, it has also launched Langlang and Langjun based on Fiat Palio and Siena. Although it is an old platform, Zotye has carried out independent design and transformation, which is also the consistent practice of Zotye to launch new cars since then.
With the technical support of Fiat, at the Shanghai Auto Show in 2011, Zotye’s product line suddenly broke out, and a large number of previously unavailable models appeared on the booth, covering many fields such as mini-cars, compact cars and SUVs, and adopted a brand-new letter+number naming method.
The imitation traces of Lang Lang and Lang Jun introduced by Zotye in the early days are very obvious, and the independent design is not mature enough, with a strong "cottage" atmosphere. In addition, Zotye is not good at marketing and its market performance is relatively general. The real turning point is the launch of Zotye Z300 and the joining of Xia Zhibing, former general manager of BYD in 2012.
Zotye Z300 has greatly surpassed Zotye’s previous products in terms of design and interior. Its appearance is fashionable and generous, and the interior is also very advanced. Coupled with the large body size and low price, the outstanding products offset the lack of brand power and achieved good sales results. In addition, after Xia Zhibing became the president of Zotye Automobile, he was fully responsible for the management of production, technology and sales. Zotye’s product development and positioning, as well as subsequent marketing, have all reached a higher level, and Zotye’s development has also entered a fast track.
In 2013, Zotye Automobile sold more than 134,000 vehicles, an increase of more than 40% compared with 2012. At the end of 2013, another heavyweight model of Zotye, Zotye T600, went on the market. This model, which looks like "Volkswagen Touareg", is quite controversial. However, for a car company like Zotye, which originally lacked brand power, barbaric growth is sometimes an essential stage. The market finally gave the answer. The monthly sales of Zotye T600 is about 5,000, and it has entered the mainstream camp of China brand SUVs.
In 2014, Zotye introduced the Z500, which has got rid of the shadow of imitation in appearance, and the design can be said to be outstanding, fashionable and sporty, and equipped with a 1.5T engine to match the CVT gearbox. This model has reached the middle and upper reaches of China brand in all aspects, which makes people sit up and take notice.
At this year’s Shanghai Auto Show, Zotye once again brought surprises, and launched a brand-new medium and large-sized car Z700. This flagship model is somewhat Audi A6 in design, but it is not a naked imitation, but has added many independent design elements. And the interior technology and configuration have a good performance, and the 1.8T and 2.0T power is also a selling point. In addition, another urban SUV model, Damai X5, is also very interesting, with mature design and an estimated price of 80,000 yuan.
It is worth mentioning that Zotye has also made great achievements in the field of new energy. In addition to the previously launched Zhidou electric vehicle, the auto show also launched a brand-new Zotye E200/ sesame E30 electric vehicle, which will be launched in September this year. The design is very interesting and can meet the daily needs of urban transportation. Zotye entered the new energy market very early, and electric taxis have been piloted in Hangzhou for many years, which has accumulated a lot of experience and is also very prescient.
Zotye’s success lies in the successful grasp of the domestic market demand. For example, after having a mature technology platform, it puts more energy into improving the design level. It has to be said that the design level of Zotye’s new car has been in the middle and upper reaches of the China brand, leaving a good first impression on consumers. In addition, the body size is also very advantageous compared with competitors at the same level. Coupled with rich configuration and a price that is close to the people, the product’s competitiveness is excellent.
Some people may say that if it’s just beautiful in appearance but lacking in core competitiveness, isn’t it a vase? But the fact is, in this era of hard work, will you choose a car with excellent performance, but will it be ugly enough to affect your mood when you go out? Moreover, with the foundation of Fiat technology, Zotye’s core technology foundation is still good, and it is a bit wrong to call it a "vase"!