In recent years, driven by factors such as increasing consumer awareness of environmental protection, preferential government policies, and the rapid development of new energy vehicle technology, China's new energy vehicle market has developed rapidly, which has also brought huge opportunities to the automotive service market. As an industry leader, Tuhu is actively exploring more feasible and cost-effective solutions to provide specialized customized vehicle services for new energy vehicles.
According to the ESG report released by Tuhu on April 25, the company's new energy business transformation has achieved initial results - the new energy penetration rate has exceeded 7%, the number of new energy trading users has exceeded 1.3 million, and the number of battery service orders has exceeded 22,000, ranking first in the industry.
The demand for new energy maintenance is about to explode, and the scale effect opens up the growth space
After several years of rapid development, the domestic new energy vehicle industry has ushered in a historic moment.
According to the latest data released by the National Passenger Car Market Information Association in the first half of April, the national passenger car manufacturers wholesaled 268,000 new energy vehicles, a year-on-year increase of 43%, and the wholesale of new energy passenger vehicles accounted for 50.19%, and the retail sales of new energy vehicles in the new energy market were 260,000, a year-on-year increase of 32%, and the retail sales of new energy vehicles accounted for 50.39%, and the penetration rate of China's new energy vehicle wholesale and retail exceeded 50%.
At the same time, in terms of the number of cars per 1,000 people, China is still a country with a low penetration rate of passenger cars. As the world's automobile factory, China's potential new buyers are still huge.
In fact, the new energy vehicle industry is not limited to supply chain enterprises such as OEMs, battery factories, and parts factories, but also aftermarket players such as 4S stores and independent auto service providers.
Leveraging its 13 years of experience in digital operation in the automotive aftermarket, Tuhu is transforming and upgrading its offline stores and online interfaces, allowing traditional factories to undertake more new energy vehicle maintenance, power battery and charging pile maintenance services, and gradually realize the "oil and electricity repair" of the same store.
According to the data, in 2023, there will be more than 1.3 million new energy vehicle trading users on the Tuhu platform, and the penetration rate of the new energy vehicle market has exceeded 7%.
In addition, the after-sales service of new energy vehicles is also expected to become a new growth point for the company's revenue.
Due to the completely different powertrains, the business model of after-sales service for new energy vehicles is also very different from that of traditional fuel vehicles, and Tuhu has an early insight into the trend of the transformation of the after-sales service business of new energy vehicles, and has made targeted layouts. Since 2021, the company has launched the power battery and electrical equipment maintenance business, and has cooperated with new energy brands such as Leapmotor and BAIC Jihu to provide exclusive services for the new energy market.
In addition to the cost dilution brought about by the scale effect and the early layout of the new energy vehicle aftermarket, Tuhu is also actively introducing more profitable exclusive products and self-controlled products, accounting for 42.4% and 25.9% of its revenue in 2023, respectively.
With its innovative exploration and years of accumulation in the online and offline integration model of the after-sales service market, Tuhu has successfully ushered in a profit inflection point in 2023, achieving the first turnaround in adjusted net profit for the whole year.
In the future, under the combined effect of scale expansion and structural optimization, the logic of Tuhu's profit growth will continue to strengthen, and the growth space will be further opened.
Continue to explore new business formats in the industry Battery service orders rank first in the industry
As an independent aftermarket leader, Tuhu is an industry representative that has set foot in the new energy field in advance. In order to serve new energy vehicle owners, Tuhu has designed an online interface customized for new energy vehicle owners, and created a database of new energy vehicles and related accessories.
On the business side, Tuhu has launched a number of new energy vehicle service projects, covering power battery repair, beauty, modification, chassis replacement, maintenance, etc.
Aiming at the explosive trend of the demand for new energy vehicles, Tuhu has obtained the authorization of battery manufacturers to provide professional battery maintenance services for car owners, such as battery capacity testing and maintenance, battery recycling, etc. At the same time, by formulating a service process that meets market demand, and cooperating with the systematic management of Tuhu car maintenance, the service efficiency of the overall battery maintenance is improved and the maintenance cost is reduced.
According to the ESG report, as of 2023, Tuhu has cooperated with 13 power battery manufacturers and 6 insurance companies in battery after-sales maintenance, and the penetration rate of the company's hybrid vehicle users in the number of hybrid vehicle users in China has reached 9.3%.
The outstanding service capability enables Tuhu to provide exclusive maintenance services under warranty to NEV vehicle owners under the assignment of the battery factory. In 2023, Tuhu will have more than 22,000 battery service orders, a year-on-year increase of more than 60%, ranking first in the industry in terms of quantity, covering more than 280 cities and towns.
In addition, in the face of the rapid growth of new energy vehicles and the new external environment of the superposition of the two waves of younger car owners, Tuhu has also long had a layout in terms of car beauty and modification, which are in high demand for new energy vehicles.
The maintenance business of new energy vehicles is quite different from that of fuel vehicles, and plug-in hybrid vehicles require engine and battery maintenance. In response to the different characteristics of plug-in hybrid vehicles and pure electric vehicles, Tuhu has launched a special service for new energy vehicles, which is upgraded on the basis of manufacturers' maintenance requirements to meet the higher-level needs of new energy vehicle owners.
In July 2023, Tuhu will comprehensively upgrade its auto beauty business, giving priority to the development of first-tier cities such as Beijing and Shanghai, and select high-quality business districts to build new independent Tuhu pure cleaning and beauty center stores, forming a store group with factory stores, including fine washing, beauty kits, polishing and waxing, latte art, window film, car clothing color modification, light modification, etc.
Alleviate the shortage of talents in the industry and participate in the formulation of three industry standards
In terms of the shortage of new energy technician resources in the industry, Tuhu also has a systematic training mechanism. Through this mechanism, Tuhu has been able to continuously deliver new energy vehicle maintenance talents to stores across the country.
According to the ESG report, more than 8,000 technicians have been trained and have different levels of new energy vehicle technology. At the same time, the company assists technicians in low-voltage electrician training, and has helped more than 400 technicians obtain low-voltage electrician certification by the end of 23.
In addition to continuously exporting talents to the industry, Tuhu has also made due contributions to the new energy after-sales industry standards.
It is understood that Tuhu has also participated in the formulation of three standards for the new energy industry, namely the first after-sales service standard for new energy vehicles in mainland China, the first safety inspection standard for new energy vehicles in China, and the first professional skill evaluation standard for new energy vehicle maintenance technicians in China.
Previously, BOCOM International pointed out in the research report that relying on its advantages in brand mentality and supply chain capabilities, Tuhu is expected to replicate its leading position in the field of after-sales services for fuel vehicles in the aftermarket of new energy vehicles.
Huatai Securities also believes that Tuhu's established channels, standardized services, and ecological models in the era of traditional fuel vehicles are still applicable in the era of new energy vehicles, and Tuhu's forward-looking layout and innovative services in the field of new energy may be expected to expand new business growth points, promote the automotive after-sales service industry to move towards a more professional and standardized direction, and ultimately feed its own growth.
In the face of the upcoming explosive growth of the new energy maintenance market demand, Tuhu's forward-looking layout in the field of new business formats will lay a solid foundation for the company to start the secondary growth curve.