The emergence of new energy vehicles is subverting the product and price system built by traditional fuel vehicles. In the past, consumers could only buy entry-level compact cars for 150,000 yuan. Nowadays, new energy vehicles are breaking the traditional price shackles to meet the diversified needs of users.
On April 14th, smart launched a new version of its two product lines, Elf #1 and Elf #3. Among them, the official retail price of Elf #1 starts at 154,900 yuan after renewal, while the official retail price of Elf #3 starts at 164,900 yuan after renewal.
Focusing on the label of "light luxury and trendy fun", smart has entered the 150,000-level market at a price. In the face of the increasingly involuted electrified vehicle market, what pressure does smart's strong entry bring to peer competitors?
150,000 yuan market: high pressure, greater market
From the brand's point of view, it is a risk for smart to choose to enter the most competitive 150,000-level market at this time. You must know that this interval can be described as a battleground for car companies, not only traditional car manufacturers have built a good foundation here to stabilize their exclusive consumer market, but also new entrants are eyeing the game and are ready to take the opportunity to enter.
In the fuel vehicle market, joint venture brands firmly occupy the initiative in the 150,000-200,000 class automobile market, including popular models such as Lavida, Accord, Camry, and Suteng.
In the new energy market, BYD covers this segment with a variety of models, including Song PLUS DM-i, Song Pro DM-i, Han DM-i, Han EV, and Tang DM-i. At the same time, there are many popular models such as Deep Blue SL03, Leap C11, Qiyuan A07, Volkswagen ID.3, Nezha S and so on.
In addition to the above models will have the most direct competition with smart in terms of price, there are also some new entrants. Earlier, the media exposed a new sub-brand of Xpeng Motors, named "MONA", with a price range of 100,000-200,000 yuan. Xpeng's intentions are obvious enough to get a piece of the pie in this highly competitive "deep water area". According to the official statement, the new brand will be unveiled at the Beijing Auto Show in the near future.
According to the data released by the Passenger Association, in 2023, the cumulative sales of smart will be 67,024 units, of which 42,292 will be sold domestically, accounting for 63%, and 24,732 will be exported, accounting for 37%.
On the other hand, it is the smart brand's keen control of the market trend and its strong confidence in the market in this range. According to data also released by the Passenger Car Association, in 2022, the price of 100,000-150,000 yuan for passenger cars in mainland China will be the core main market for sales models, accounting for 33% of sales, while the price of 150,000-200,000 yuan will reach 17%.
By 2023, the price of mainland passenger cars will still occupy the core consumer market from 100,000-150,000 yuan, accounting for 34%, and the price of 150,000-200,000 yuan will also increase to 17.5%. In terms of proportion, the 100,000-200,000 level basically covers half of the market in the price range of the entire automotive industry.
For smart, the continuous downward exploration of brand prices will indeed have the "light luxury" image of the brand for a long time to a certain extent, but it will also greatly increase the brand's recognition and attract more consumers.
To borrow the official words of smart, this is the repositioning of the two products based on the domestic market. According to the market environment and user research, some configurations are optimized in the new version to better meet the actual consumption needs of users.
smart seizes the pure electric small SUV market, and the pressure is on the beam MINI?
In the face of fierce competition in the domestic new energy vehicle market, price adjustment has become a topic that major brands cannot avoid.
In March this year, smart launched a limited-time car purchase right for its two models, including the Elf #3 with a maximum discount of 66,000 yuan and the Elf #1 with a maximum discount of 48,000 yuan, with a discount until April 30. Among them, smart elf #3 offers 48,000 yuan of optional and upgrade rights, up to 6,000 yuan of financial subsidies, and up to 12,000 yuan of mall purchase funds.
The smart for its two models of renewal, the price directly into the 150,000 yuan level, similar to the "disguised price reduction" in the car company strategy is not uncommon, especially the current rapid development of the new energy vehicle market, more and more brands into the market, price wars one after another, increasingly fierce competition.
How to stand out in this market?smart chooses to attract more consumers by adjusting its prices, so as to expand its market share, which is also a reasonable plan for the brand to adapt to the new market demand.
However, in the eyes of the industry, smart's current round of adjustment of the new car price may be related to the upcoming beam MINI. In other words, it will bring quite a challenge to the beam MINI.
After nearly five years of planning and layout, the two blockbuster models of Beam MINI are about to be unveiled. It is reported that both electric vehicles are positioned as pure electric small SUVs and will be unveiled at this year's Beijing Auto Show. ACCORDING TO THE PLAN, THE COOPER IS EXPECTED TO BE LAUNCHED EARLIER THAN THE ACEMAN, BUT BOTH MODELS ARE SCHEDULED TO BE COMPLETED IN 2024.
For a long time, smart and MINI have seen each other as strong contenders. After the makeover, the two sides not only fought from the era of fuel vehicles to the era of pure electric vehicles, but also backed by two traditional automobile giants, independent brands and German car manufacturers.
Although the new beam MINI car has not yet officially landed, the two have too much involvement in terms of brand power, product power and market positioning, and it is inevitable to grab the market.
In order to be able to occupy the upper hand position in the competition with peers, the two smart new cars not only emphasize that they are more affordable in price, but also work configuration. It not only continues the "sensibility and sharpness" design aesthetics of the Mercedes-Benz design team. At the same time, it is also equipped with smart Pilot Assist intelligent assisted driving system, as well as the "Inspiration Planet" smart OS full-scene digital ecological vehicle machine system, which really puts the concept of "equal rights in science and technology" into the hands of every consumer.
The arrival of the new smart Elf #1 and Elf #3 is bound to help the brand stand out in the fierce new energy competition market, improve the entire brand layout, and attract more consumers by having more children and fighting.