Li Bin: The price will become more and more expensive in the future, and the ET5 of 300,000 yuan is the cheapest NIO!

Li Bin said that ET5 is the cheapest NIO you can afford, and the future product layout is going up, and the product pricing will become more and more expensive.

All new power enterprises want to survive, the high-end path is relatively easy, from the design, research and development, production, manufacturing, sales, the difficulty of producing entry-level models and high-end models The difficulty gap is not as big as imagined.

However, compared to the entry-level model, the profit per car of the high-end model is much higher than that of the entry-level model.

Especially in the case of extremely difficult sales, high-end models can stand out and earn huge profit margins for enterprises, so Li Bin said that there is no need for entry-level models to exist, and ET5 is the most entry-level model launched by Weilai.

Weilai has only one sales channel, that is, through the official APP, the entry of NIO ET5 without any configuration, the guide price has been close to 300,000, after the optional part of the configuration, the price of NIO ET5 can reach 350,000, such a price is already more expensive than the Audi A6L entry model.

In Weilai's product system, sedans have ET5, ET7, SUVs have EC6, EC7, ES6, ES7, ES8, and Weilai also plans a new ET9 model, from the parameters of the press conference and the information revealed, the pricing of this model will reach 700,000, which has exceeded the current BMW i7 650,000 terminal price.

In the third quarter of 2023, NIO's net loss was 4.56 billion, a decrease of 24.8% quarter-on-quarter, the gross profit increased to 8%, and the cash reserve reached 45.2 billion.

Li Bin is one of the earliest founders of the new forces, but he still has not achieved "ashore" in the real sense, and an important criterion for evaluating the success of a company is whether the company can make stable profits.

Obviously, NIO, which is not priced low, has taken the longest time, but it still has not come out of the abyss of loss.

One reason is that NIO's long-term investment in R&D, coupled with various hard costs, has led to huge annual expenses for the company, and the other reason is that it has spent huge amounts of money on daily after-sales and battery swap business.

The track of pure electric vehicles is relatively narrow, especially the market growth of pure electric cars is huge, the market sales of ET5 and ET7 are not good, and the better sales model in the NIO system is ES6, because it is the model with the highest fit between the design concept and Chinese culture, and the best space performance.

There is nothing wrong with taking the high-end route, for NIO, the sales pressure of entry-level models is not less than that of high-end models, and the same investment must be in a market with richer profits and relatively less competitive pressure to maximize the value of the enterprise.

BBA's electrification transition is a failure, whether it is the i-series, e-tron series or EQ series, there is no competitiveness in the high-end market, especially in the context of the pure electric incremental route that has been determined, whoever can lead in design, quality, technology, autonomous driving and reputation will be able to succeed in the high-end market.

Taking a step back, in fact, NIO already has successful models, for example, NIO ES6 has annual sales of 60,000 units, as a pure electric vehicle model with a low configuration and no optional landing price of nearly 350,000, it is already the sales champion in the market segment.

Compared with other new forces, NIO has spent a lot of energy to operate the market segment, coupes and sedans have completed the planning, and a lot of time has been spent on the construction of battery swap stations and service systems.

Li Bin's strategy is to adhere to pure electric, high-end, battery swap unchanged, has been recognized by a part of the user group, ET5 is indeed the cheapest NIO, 300,000 bought pure electric cars, from the perspective of the end market, has been more expensive than the 3 series, A4L these traditional luxury cars.

What NIO wants to create is actually a better user portrait than BBA, which is used to enhance brand value and bicycle profits, and in a sense, there is nothing wrong with that.