2003: Starting with Foreign Trade

Chapter 915 ES3 First Week Pre-order Performance
"You guys are going to participate in the Geneva Motor Show? Wow, that's quite a feat."

During the Chinese New Year, news that Wei had reported his participation in the Geneva Motor Show spread from higher authorities to Beicang and major automakers, and Beicang was quite excited.

Domestic automakers don't participate much in major international auto shows. The main reasons are that the industry started late, the technology is backward, and there is a lack of core competitiveness. To put it bluntly, they are not good enough to show up. Going there would be embarrassing, so it's better not to go at all.

The last time a Chinese company participated in the Geneva Motor Show was in 2015 with Dongfeng Xiaokang. They brought two vehicles, the C37 and the Fengguang 360, a minivan and a compact MPV, respectively, but they didn't make much of a splash.

For two years after that, no domestic car companies officially participated in the exhibition. Before that, only Geely and BYD participated, and not many other car companies participated. Over the years, only five car companies have made an appearance.

"Yes, we're not really comfortable going to see gasoline cars, but we do have something to offer when it comes to electric cars."

"How about we get a few companies to go as a group and participate? That would boost our morale."

This time, Wei Lai brought the all-new ES and ET series, which are mainly pure electric vehicles and are aimed at Tesla in the European market. He wanted to test the market reaction through this large-scale auto show.

"It's not impossible. We can organize a group electric vehicle exhibition to showcase our electric vehicle technology."

Mr. Tan has a WeChat group with many of his bosses in the automotive OEM industry. Right now, they are all discussing whether or not to go to Geneva to participate in the exhibition, as there is still time.

"Haha, I'll make the arrangements right away. We'll set up a booth too, even if it's embarrassing."

So, the boatman who responded, based on what Tan Jincheng just said, was probably interested in the new energy vehicles that Wei Lai was going to exhibit this time, possibly even pure electric models.

That said, by 2018, BYD already had several new energy vehicle models, including the F3 DM, FO, F6, and G series, as well as the Dynasty series and E series.

纯电跟混动车型加起来有10几款，覆盖了从15万元至30万元整个区间，另外还有商用车领域的电动巴士K9以及物流车T3等等。

Then there's the Denza brand. When it comes to the brand with the most new energy vehicle models, BYD is definitely all in on the new energy vehicle track.

BYD's models are almost all mainstream, and its sales power is gradually becoming apparent. In 2017, the sales gap between BYD and Weilai was not significant.

Once they streamline their product line, focusing on the Dynasty series and newly developed models, while abandoning the existing F and GE series, their sales will quickly pick up.

The success of the Woo Lap also gave BYD, or traditional car companies, some experience. When a car is perfected in terms of exterior design, interior, power, materials and services, several models can also support a company.

"Haha, that's perfect. We're planning to go too. Let's all team up and put our booths together so we can have company on our trip."

Next to respond was Brilliance's CEO. Last year, they partnered with Renault to try and open up the European market. They also have the Brilliance BS4 and the Zunchi. In addition, Brilliance wants to promote their BC3 (M3 two-door coupe) and, incidentally, their 1.8T CI turbocharged engine.

Brilliance Auto possesses independent intellectual property rights for this engine, which the company values ​​highly.

"Then count us in too."

The speaker was the general manager of Qoros Auto. As a sub-brand of Chery, Qoros, headquartered in Changshu, was established a few months earlier than Weilai. Having also been around for ten years, Qoros also wants to make a name for itself in the new energy vehicle market.

Chery and BYD have both responded, and Geely is not to be outdone. Moreover, Li Shufu always felt that the way the ET5 was promoted was somewhat different from the past. There were many spy photos and short videos of the ET5 on short video platforms, but its appearance was never revealed.

On short video platforms, primarily Douyin, there are numerous short videos featuring vehicles like the ET5. Based on the photos filed with the Ministry of Industry and Information Technology and spy photos from Reuters, this should be a mid-size sedan with a rather eye-catching design.

Judging from the market price of B-segment sedans, if Weilai sets the price lower, it will be very competitive. We can also take this opportunity to get information about this sedan as soon as possible.

"That's great! It'll be more impressive to go as a group. By the way, does Mr. Tan's company have a store in Switzerland? You'll have to take care of us then."

"That's no problem. I'll have my staff in Switzerland coordinate the arrangements."

The WeChat group was quite lively. Whether they were going or not, everyone chimed in with their opinions, while others tried to gather information. On the surface, everyone was polite, but in reality, they were all secretly trying to get as much information as possible.

The successful development of the WILAY ES series into a high-end product has given many automakers hope for moving upmarket. No automaker doesn't want to go upmarket, but there's little hope for gasoline-powered vehicles. However, WILAY's success in pure electric vehicles has provided many automakers with some experience.

You can copy it even if you don't know how.

However, the price cuts made before Lunar New Year's Eve put a lot of pressure on some car companies that had already followed suit, especially those models that had already announced their prices.

In addition, the launch of the compact SUV Weilai ES3, which lowered the price to below 30 yuan, also put a lot of pressure on some other models in the market.

"Mr. Tan, what are the projected prospects for the ES3?"

On the same day the ES3 was unveiled, pre-orders were also opened. The official delivery date is still early April. We will use a one-and-a-half-month pre-order period to calculate subsequent production capacity.

"Haha, not bad."

A week has passed since its debut, and the ES3 has performed quite well in terms of pre-orders through the app and major stores around the world. However, due to the Spring Festival holiday, specific figures have not yet been compiled.

The reservation threshold for the ES3 is relatively low. Users can make a reservation by paying a deposit of 1000 yuan (100 US dollars for overseas users), and the deposit is refundable.

This tactic is the same as the pre-order method used when the Edamame 3 was first released, with the aim of stimulating short-term pre-orders.

In addition, unlike the Edamame 3, which requires users to wait about a year after pre-ordering, the first batch of ES3 users with sufficient production capacity only need to wait six to eight weeks.

This greatly stimulated users' desire to book. Paying 1000 yuan and waiting for two months, with the option to get a refund if they didn't want the item, was quite tempting for most interested users.

Of course, for those who opted for the optional extras, they will have to wait a little longer to receive their cars.

In addition, in order to encourage users to use and download the Weilai APP, Weilai came up with some tricks for booking. These tricks will not be anything special a few years later, but they were still quite novel at the beginning of 2018.

For domestic users, the 1000 yuan reservation made through the app is subject to bank deposit interest rates. This means that if you decide you don't want the product before the delivery date, you will receive not only the 1000 yuan but also the interest on that 1000 yuan.

Although the interest is almost negligible, the user experience is completely different, making users who are used to unfair terms and conditions feel very different.

It's not about a few cents; it's about respecting consumers. In this day and age where traps are easily found in contract terms and wording, Weilai has gone to great lengths to maximize user satisfaction.

"Don't you have a specific number? There shouldn't be anything you can't say, right? Tell us so we can share in the joy."

"There's really nothing I can't say, but I don't really know the specific numbers, mainly because the data from the stores hasn't been compiled yet."

Not all users like to download an app they don't use often. Some users still prefer to make reservations by prepaying cash at the store. Weilai has stores in major shopping malls across the country.

Although not many people bought cars during the Spring Festival, many people went shopping. After accelerating cooperation with Meizu's channels, Weilai's number of stores has increased rapidly. Among the users who went shopping and mobile phone stores during the Spring Festival, a large number of them chose to pay a deposit because they were interested in Weilai ES3's pre-order policy.

However, while there are many advantages to the merger, there are also drawbacks. Some stores belong to Meizu's channels. To put it bluntly, Weilai's display vehicles are placed in Meizu stores by leveraging Meizu's stores.

The APP data is clear at a glance, and it wouldn't be difficult for Wei to collect data from his own stores if he really sped up the statistics, but it would be slower for Meizu stores, and Tan Jincheng only knew a rough number.

"But I can reveal one thing: the ES3 is expected to sell around 100,000 units."

"Holy crap, you mean this year?"

"Yes, it should be possible to deliver 10 vehicles throughout 2018."

Although it is the Chinese New Year period, it is impossible for a company to completely stop and do nothing. Wei Lai has a boss who likes to cause trouble at the beginning of the year, which is also a "headache" for employees.

According to the background statistics, Zhang Li only stayed at his home in Hebei Province for less than three days before hurriedly flying back to Ningbo on the third day of the Lunar New Year to readjust and arrange production tasks.

Based on past experience, Weilai once again prepared 5000 standard early delivery models for the ES3. However, after about four days, the number of pre-orders on the APP made Zhang Li realize that the production capacity of these 5000 vehicles might not be enough!

On the morning of the fourth day of the Lunar New Year, Zhang Li started his work, rushing to the factory to readjust the production capacity of various production lines and models. Based on his years of experience, Zhang Li concluded that the ES3 is very likely to become a blockbuster model this year.

At the same time, it is also very likely to be the first domestically produced new energy vehicle to achieve annual sales of over 10 units. To date, no domestically produced new energy vehicle, including those in the A00 class, has achieved annual sales of 10 units.

Of course, no new energy vehicle model in the world can achieve annual sales of 10 units. Tesla delivered 10.31 units in 2017, but that was the combined sales of several models.

However, Tesla's current production capacity is a constraint. If production capacity were unrestricted, the annual delivery volume of the Model 3 could easily reach 10 units. Considering that Tesla's production capacity could be ramped up in 2018, delivering 10 Model 3 units in a single year would be easily achievable. Even so, it would be very exciting if the ES3, or even Tesla in general, could become the second new energy vehicle company in the world to achieve 10 units delivered in a single year for a single model.

After much deliberation, Zhang Li boldly reduced the production capacity of some models, increasing the initial production volume of the ES3 to 10,000 units.

Faster vehicle delivery for users will inevitably attract new users, as no one wants to wait indefinitely.

"So does that mean Wei Lai's sales of new energy vehicles have doubled this year?"

Damn it, this kid got away with it again. The sales of Yuechi A1 had already declined significantly this year, and at the supplier conference before the new year, this kid didn't have high expectations for this year's sales either. Is this kid holding back such a big move?

"It's not that exaggerated, but it should be easy for the overall sales of new energy vehicles to exceed one million this year. An overall growth rate of 50% should be quite easy."

"In that case, it seems that Mr. Wang should have a much better year."

Another company to envy. BYD hasn't had a good time in recent years. Despite its massive scale, its annual sales have remained stable at 40 to 50 units for a long time, without any breakthroughs.

While its contemporaries Great Wall and Geely have both surpassed one million in sales, and even the younger Weilai Auto has achieved annual sales of over one million vehicles, the company that first announced its million-level sales target has yet to break through.

To date, BYD's sales record remains at 51.98 units in 2010. Since its transition to new energy vehicles, its annual sales have never exceeded 50 units.

Perhaps only Chery, which is constantly embroiled in internal strife, shares a similar fate. Chery, which has been fiercely competing with its internal factions and models, has also been struggling in recent years, with executives leaving and its various brands frequently fighting amongst themselves.

The rapid development of Weilai in recent years is largely due to the lack of competitiveness of its rivals.

Large state-owned automakers have become complacent and complacent, relying on the profits from joint ventures. Apart from Great Wall and Geely, the performance of other established domestic brands has been mediocre. In addition, a number of second- and third-tier automakers have been eliminated, resulting in most of the market share being seized by Weilai.

This period of time was not one or two years, but four or five years, which gave Wei a lot of room for development.

While major automakers were still copying and imitating, Weilai entered the track of independent design from the very beginning. Through independent design, it developed its own style and won market recognition by continuously optimizing its production lines and services.

"I'm not so optimistic. Please stop teasing me. But Xiao Tan's new car is indeed beautiful."

The boatman was quite clear-headed and unaffected by everyone's compliments and jokes. He knew very well why BYD couldn't sell as well as Wei, but knowing it didn't help much, as this was not something that could be resolved in a year or two.

In recent years, Weilai has been promoting the smart factory project and learning advanced management concepts from Europe and the United States. The equipment invested in the factory and the management of the production system are very advanced. The newly launched Lotus Jiangcheng Gigafactory even broadcasts car manufacturing live on the Internet platform around the clock.

Through live streaming, users can clearly see how cars roll off the production line, from the welding workshop to the painting workshop, and then to the assembly process of the whole vehicle.

This thing is absolutely amazing for users both at home and abroad.

On YouTube, the live stream clips of the Lotus Jiangcheng factory are very popular and have a very high click rate. In addition, the Lotus Jiangcheng factory has taken a unique approach by investing in various infrastructure facilities, making the entire factory area look very beautiful.

With its beautiful environment and industrial charm, this guy actually started selling tickets to the factory, allowing unrestricted visits from outsiders. For just 50 yuan, you can tour the Lotus factory and experience how a world-class supercar rolls off the production line. This is quite an attraction for consumers with an affinity for industrial design.

Turning a factory into a "tourist attraction"—only this guy would do something like that.

This delighted the people of Jiangcheng, especially the Jiangcheng cultural and tourism sector. The rise of the tourism economy has prompted cultural and tourism departments in various places to try every means to attract tourists, and Jiangcheng, with its long history and culture, is one of the choices for tourists.

Now, with the addition of the Lotus factory as a high-quality tourist attraction, it can attract more tourists. In the few months since its operation, the Lotus factory tour program has indeed attracted many tourists from all over the country. During the Spring Festival, many tourists who traveled to Wuhan specifically went to see the Lotus factory.

Among these tourists are many families traveling together; these tourists are unlikely to visit only one factory and leave immediately after their visit.

Chinese people tend to have a strong sense of "since we're already here," which is a common sentiment.

It is said that the Meishan Island plant, which is currently undergoing expansion, the Shanghai battery factory, and the Weilai Luzhou production base all have similar plans, and the cultural and tourism departments of these three places have been actively coordinating with Weilai.

By using live streaming to create an industrial park model, the Lotus factory attracted a lot of attention and also brought considerable exposure to the Lotus brand, allowing domestic consumers to learn about Lotus's history.

There are many benefits, but achieving them is not so simple. Visitor visits must not affect factory production, and live streaming puts every corner of the car company under public scrutiny.

Among the viewers of live streams from car factories, there are quite a few knowledgeable people who can clearly see whether there is any cutting corners, the condition of the workers, and what equipment is used for production.

A well-broadcasted show can indeed generate a lot of buzz, but without a solid foundation and the ability to build a smart factory using cutting-edge technology, which company would dare to do that?

Nowadays, despite the rising sales figures of car companies year after year, everyone is doing pretty much the same thing, and it's not much better. Only companies like Tan Jincheng, who are wealthy, have plenty of money, and can control their operations well, would dare to do something like this.

Of course, there are also reasons related to their philosophy. Take Dizi for example, they follow the same path as traditional domestic car companies, which is to use cheap human resources to reduce costs and use manual labor instead of machines for things that can be done manually.

At the same time, the equipment is relatively outdated, and the workers on the production line are like screws. How could they dare to do live broadcasts in such an environment?

Besides, even if they wanted to do a live stream, they wouldn't have resources like Tan Jincheng. It's not easy to present the entire production line of a large automobile factory clearly and completely in front of a live stream camera.

With the support of a series of internet resources such as DJI, Hikvision, Orange Group, and Orange Live, as well as years of experience in live streaming large-scale events and a good relationship with CCTV, Weilai has the ability to handle live camera shots that is comparable to that of major television stations.

What appears to be a simple live broadcast is actually a combination of traditional media, internet media, physical factories, and high-tech companies.

When it comes to marketing and enhancing brand influence, this kid has really mastered it.

It's easy to imagine that if Weilai's car factory followed this model and presented itself to consumers through live streaming, Weilai's influence would be greatly enhanced.

"Of course we have to do this."

After Zhang Li returned and adjusted the production tasks, Tan Jincheng gradually got into factory mode. Although he was chatting with everyone in the group chat, he was actually in the car factory in Weilai.

The leaders of Beicang Cultural Tourism have been paying close attention to the Lotus Factory tourism project since it began operation. The Spring Festival holiday in 2018 was the first time the Lotus Factory tourism project faced the test of a major holiday.

The performance was excellent. During the seven-day Spring Festival holiday, the factory received a total of 960 visitors, exceeding its usual capacity. Under normal circumstances, the Lotus factory opens to the public 16 to 20 times a month, with each session limited to 20 groups of guests.

During the seven-day Spring Festival holiday, the Lotus factory will be open to visitors every day, with the specific number of visits adjusted according to the number of reservations.

This long holiday also indirectly serves as a test of the Lotus factory's capacity to accommodate visitors.

"If you're going to do it, then hurry up and figure out a way. The district can provide subsidies for this."

The performance of the Lotus factory has shown Beicang Culture and Tourism something different. As an industrial port city, the term "tourism desert" might be controversial if applied to Ningbo, but it is absolutely fitting for Beicang.

Tan Jincheng's imaginative model of combining live streaming with tourist reception has been proven successful and is considered a treasure by Beicang Cultural Tourism.

"Huh? What kind of subsidy?"

Tan Jincheng was speechless. The head of the Culture and Tourism Bureau had been following him around like a hawk these past few days. Whenever Tan Jincheng came to the factory, this guy would come knocking on his door.

"Ticket subsidy? I know that the 50 yuan ticket fee that your Lotus factory collects is actually not profitable, and you could even say it's a loss; don't worry, we'll cover that cost."

Charging 50 yuan for admission is just setting a threshold; it doesn't actually make money. After the visit, the Lotus factory gives away small gifts to customers. These are all Lotus brand-related items, which can be considered a form of brand promotion.

"Oh, you're in such a hurry?"

"It's urgent, of course it's urgent. Mr. Tan, you can't let this matter fall on Shanghai or Luzhou first, especially Shanghai. They don't lack tourists, so let them be last in line."

"As for Luzhou, that can't really be considered your hometown. You're from Beicang now, so you have to look after us."

Luzhou doesn't have many good tourist resources. There's a joke on the internet that Luzhou's best tourist resource is Luzhou South Railway Station, where you can take the high-speed train to Huangshan.

"Alright, alright, I'll have my assistant follow up on that."

Tan Jincheng was speechless. A high-ranking leader like him followed him around every day just to talk about this.

(End of this chapter)