During the Republic of China, "electrification" appeared extremely frequently, and some people said that "if you don't read the electricity, then the Republic of China has no history." At that time, "electrification" was equivalent to today's "open letter", and the people of the Republic of China had to electrify when they came to power, electrified in the lower field, electrified in commendations, electrified in condemnation, electrified in crusades, and electrified in peace talks... For the wave of new car manufacturing, the open letter and internal letter also reflect the many bumps faced by the entire new force in the car-making mileage.
Among the letters of various new forces, He Xiaopeng, chairman of Xiaopeng Automobile, can be regarded as a small person with internal letters, and frequently sends internal letters. Just on February 13, an internal letter from He Xiaopeng was transmitted from inside Xiaopeng Motors, which emphasized, "2019 is the quality year, delivery year and operation year of Xiaopeng Motors." At the same time, He Xiaopeng's letter not only has important guiding significance for Xiaopeng Automobile, but also has a reference for all new car-making forces.
At the beginning of the internal letter, it is still He Xiaopeng's affectionate title of "Xiaopeng Classmate". In the main text, He Xiaopeng analyzed the new energy vehicle market environment and the overall economic environment in 2019, and finally pointed out the key investment direction of Xiaopeng Automobile in this year.
About subsidies
For the new energy vehicle market, He Xiaopeng believes that the new energy subsidy decline policy in 2019 will be announced soon, in which He Xiaopeng wrote that "the substantial decline of the national land subsidy", combined with the information circulating on the Internet such as "subsidy decline of 50%" and "the cancellation of the land subsidy", there is a great possibility of a significant decline in subsidies in 2019.
Previously, various car companies have adjusted the price of vehicles. For example, from February 1, Xiaopeng G3 adjusted the price after subsidies, increasing by 200-34,000 yuan. Xinte Automobile also increased the price of two products before the holiday, with an increase of 5,000 and 6,000 yuan respectively. Weilai Automobile has also officially launched a subsidy policy for ES8, subsidizing users who purchased NIO ES8 in February this year.
For the subsidy decline, He Xiaopeng believes that "this is a greater benefit to the long-term development of Xiaopeng Automobile: the market will eliminate those electric vehicles and enterprises that only want to obtain electric licenses and expect to quickly profit from subsidies, and instead rise to more intelligent and more high-quality electric vehicles; the substantial decline of the national land supplement, electric vehicle companies do not need to advance too much cash in the national land supplement, which will make our cash flow situation better; the intelligent differentiation of Xiaopeng Automobile will be greater differentiation in many functional electric vehicle systems." ”
He Xiaopeng believes that the crisis is also a turning point, and smarter and more high-quality electric vehicles will stand out, but for most new car-making forces, the subsidy decline crisis is greater than the opportunity. Looking back at 2018, subsidies have gone through a transition period. After the transition period, there are higher requirements for the mileage of vehicles and the energy density of batteries, and because of this, it has caused a serious impact on enterprises with weak core technologies such as Zhidou and Zotye.
For example, in 2017, Geely Zhidou sold 42,484 units, and in 2018, sales were 15,336 units, a year-on-year plunge of 63.9%. In 2016, the total sales volume of Zotye new energy vehicles was 36,999 units, in 2017 it was 36,979 vehicles, and in 2018, Zotye wanted to challenge the annual sales target of 80,000 new energy vehicles, and the actual result was that the cumulative sales volume for the whole year was 33,872 vehicles, which began to show negative growth.
About the big picture
2018 is a recognized capital winter, for 2019, He Xiaopeng believes that "for China and even the world, it may be a year of economic pressure." Whether it is a small manufacturing enterprise or an Internet giant, they are talking about winter, and even some of them are laying off employees on a considerable scale. He Xiaopeng personally predicted that "the bottom of the economy and confidence will recover, possibly until 2020." ”
Capital winter, most enterprises choose to shrink, save energy to survive the winter. After discussion, the president's office of Xiaopeng Automobile unanimously agreed, "This may be a good opportunity for Xiaopeng Automobile to accelerate development and practice the internal strength of the system, and when everyone shrinks, a little crazy, a little more investment, may get better and greater returns later." ”
It is reported that the regulatory documents submitted by NIO to the US SEC on January 29 show that NIO intends to issue a total of US$650 million of convertible senior bonds. If NIO exercises the over-issuance right or the additional issuance right, it may raise $750 million. In February, WM Motor had completed a Series C financing of 3 billion yuan. In the three years since its establishment, WM has raised more than 20 billion yuan in total.
Previously, Xiaopeng Automobile said that it would obtain financing of 30 billion yuan in 2019. Up to now, Xiaopeng Automobile has completed the B+ round of financing, with a total amount of 10 billion yuan and a valuation of nearly 25 billion yuan.
As we all know, car manufacturing is a cyclical and long industry that requires a lot of money. Some industry experts predict that most new car-making forces will not survive 2020. The capital winter is one of the important reasons. Xiaopeng Automobile chose to "a little crazy, a little more investment" in 2019, I don't know whether friends choose to follow up, or shrink?
The focus is on twofold
Strategically, in terms of specific tactics, He Xiaopeng said that in 2019, the management level will focus on two aspects.
First, continue to increase investment in the research and development and innovation of the strategic direction, and try to subtract from the exploration of businesses, products and projects that are not related to strategy. He Xiaopeng said, "In the entire Xiaopeng Automobile team, more than 50% of the students who maintain independent research and development and innovation systems account for more than 50%. ”
Second, improve efficiency and strengthen cost awareness.
In addition, He Xiaopeng said that Xiaopeng Automobile will establish sales centers, service centers and supercharging stations in more than 30 cities this year. He hopes that all Xiaopeng employees, through the circle of friends or when friends gather, help the company to recommend 2-3 friends, classmates, experts to Xiaopeng Automobile, and find or pay more attention to relevant resources.
Attached is the original text of He Xiaopeng's internal letter:
Happy Chinese New Year and power up together!
Dear Xiaopeng students,
happy New Year! Happy Year of the Pig!
The fulfilling 2018 has waved away with us, I believe that every Xiaopeng student has spent a happy, happy, and safe Spring Festival, today is the first day of work in the Year of the Pig, I am glad that all Xiaopeng students have returned on time, let us welcome the new year together!
In 2019, for Xiaopeng Automobile, it is the year of quality, the year of delivery, and the year of operation. After the 2018.12.12 launch, in just over a month, we have accumulated a large number of large orders, and have real practice and great improvement in delivery efficiency, quality improvement and OTA capabilities. From the end of this month, we will enter the stage of large-scale production and delivery, we must make twelve points of efforts, the quality, delivery, service and operation of the work is done well, so that every owner of Xiaopeng Automobile is satisfied with our goal!
2019 is a year of policy adjustment for all new energy vehicle enterprises. I believe that we will soon see the final announcement of the new energy subsidy policy, which has led to an increase in the challenge of all electric vehicles compared with the competition of fuel vehicles. However, I believe that this is a greater benefit to the long-term development of Xiaopeng Motors: the market will eliminate those electric vehicles and enterprises that only want to obtain electric licenses and expect to quickly profit from subsidies, and instead rise to more intelligent and more high-quality electric vehicles; the sharp decline of national land compensation, electric vehicle companies do not need to advance too much cash in the national land supplement, which will make our cash flow situation better; the intelligent differentiation of Xiaopeng Automobile will be greater differentiation in many functional electric vehicle systems.
2019 may be a year of economic pressure for China and even the world. We have seen that both small manufacturing companies and Internet giants are talking about winter, and even some of them are laying off workers on a considerable scale. As early as the beginning of 2017, I had predicted that the period from the end of 2018 to the end of 2019 would be a period of great pressure on the economy, and now it may take a little longer for the bottom of the economy and confidence to recover (I personally think it will take until 2020). However, after discussion, the president's office of Xiaopeng Automobile agreed that this may be a good opportunity for Xiaopeng Automobile to accelerate development and practice the internal strength of the system, and when everyone shrinks, a little crazy, a little more investment, may get better and greater returns later. So, what are we going to do well in 2019? As I shared at the annual meeting, the company's management level will focus on the following two aspects:
1) Continue to increase investment in R&D and innovation in the strategic direction, and try to subtract business, products, and projects that are not related to strategy; all students know that we recruited 2,100 new employees in 2018, accounting for nearly 70% of R&D personnel. We decided to further invest in our own R&D in the strategic direction of focus and plan to recruit 5,000 people in 2019. I firmly believe that independent research and development, especially intelligent research and development and operation, is the core engine of Xiaopeng Automobile's differentiation and globalization in the future. We decided that in the entire Xiaopeng Automobile team, more than 50% of the students maintained independent research and development and innovation systems. One of our investors, DSTYuri, told me that in the past 50 years of replacement and iteration, only when the proportion of research and development is guaranteed at a considerable proportion can it stand out and endure.
2) Improve efficiency and strengthen cost awareness: In everyone's daily work, are we constantly pursuing more efficient completion of work? Is it possible to avoid unnecessary waste? In the process of talent recruitment, can we reduce the headhunting fee by 50% through in-house push? When you need off-site support, can the travel that used to require 3 people be adjusted to a business trip of 1-2 people? In marketing, have we really chosen the most efficient way to promote us? Are we insisting on exploring new retail to reduce the investment of offline sales stores? Even Internet companies need to start thinking and learning about lean management and operations.
Here, I would also like to ask all students to start from themselves and do two small things within their reach.
1) Please try to help the company recommend 2-3 friends, classmates, and experts to Xiaopeng Automobile through the circle of friends or when friends gather. The specific recruitment position requirements can be https://app.mokahr.com/recomm