Who would have thought that the first big drama of the 2024 Auto Show, the Beijing Auto Show, would detonate the audience and the media's perspective.
On April 22, a grand pre-sale event opened a new chapter for BAIC Jihu. ARCFOX Alpha S5, a new pure electric vehicle model, with its multi-faceted technological innovation and an astounding pre-sale price of 200,000 yuan, has truly taken root the concept of "technological equality" of BAIC Group.
Just 11 days ago, ARCFOX Motors also brought another technical feast. In Beijing Jihu Motors, it unveiled the industry's first full-stack ecological self-evolution technology system - the new architecture of Darwin 2.0 technology. The pre-sale of the ARCFOX Alpha S5 is the first model under this new technology architecture, and its appearance is undoubtedly the best interpretation of the new technology architecture.
Immediately afterwards, Huawei's Yu Chengdong's official announcement at the launch conference of the new M5 pushed BAIC Jihu to the forefront. The S9, an executive sedan jointly built by Huawei and BAIC, will be officially unveiled at the Beijing Auto Show and is expected to be launched this summer.
This series of blockbuster news made BAIC Jihu shine at the 2024 Beijing Auto Show and become one of the most eye-catching car brands. Many car critics and consumers are surprised by the rise of BAIC Jihu, however, the success of all this is not accidental.
In the past year, BAIC POLAR Fox has been accumulating new potential energy with rapid development momentum. They have in-depth insight into the scenario-based needs of users, and gradually establish their own technical advantages from the perspective of technical security and stability. For example, the all-round safe aurora battery they created put forward the strict requirements of "three zeros", which not only set a new standard for the industry, but also expanded the battery safety to a more complete safety system.
It is the unremitting pursuit of excellent quality that makes the ARCFOX Alpha S5 equipped with the fourth-generation front and rear dual motors of Jifeng Power, with a total power of more than 530 horsepower and a wheel-end torque of up to 7000Nm, and a 000 acceleration time of only 3.7 seconds, which is comparable to the performance of the Porsche 911.
And this seems to be developing very fast, but in fact, the rise of BAIC Polar Fox is not achieved overnight. This is because they have found their own development ideas, begun to build user brands, take user needs as the core, and lead to strong R&D capabilities through scenario-based car manufacturing, and then establish product advantages.
Looking at this road now, it can fully ensure that BAIC Jihu can find the certainty of future development.
From geek to user brand
In the past, BAIC Jihu was the more serious and tough "engineering man" in the hearts of consumers, it adhered to world-class quality, top manufacturing system and global partners, and every product seemed to have been tempered. The cooperation with Huawei's HI model has made it famous in the geek circle. However, the market is realistic, and although the research and development of the stuffy head is good, the market performance is not satisfactory.
In the face of this challenge, BAIC Jihu did not choose to stick to it, but actively sought change. Through in-depth market research, they found a new breakthrough - scenario-based car manufacturing. This is not just a concept, but a deep insight into the diverse and personalized needs of young consumers. As a result, BAIC Jihu began to change its strategy, from a simple product manufacturer to a brand co-created with users.
As the new generation of consumers has had their needs for cars change dramatically. The car is no longer a mere means of transportation, but has become a "third place" after the home and office. ARCFOX Motors keenly captured this and began to customize the vehicle according to different scenarios and needs.
This shift did not happen in a vacuum. Relying on BAIC Blue Valley's core competitiveness in the fields of vehicle integration, three-electric system and intelligence, and drawing on the product development model of ICT companies, it has created a unique "scenario-based car manufacturing" path for ARCFOX Automobile. This path has enabled JiHu to achieve a differentiated breakthrough in the homogeneous market.
In particular, the Alpha T5, which was born under the concept of "scenario-based car manufacturing", has achieved good results in the market. It has excellent performance in many aspects such as space utilization, safety protection, and health standards, and has brought a strong impact to young users with ultra-high cost performance.
In order to meet consumers' pursuit of quality of life, JiHu has not only made breakthroughs in intelligent cockpit technology, but also comprehensively optimized ride comfort. In cooperation with Tsinghua University, we have launched a color design that conforms to the aesthetics of the Chinese people, as well as a high-end audio system, creating the ultimate audio-visual enjoyment for users.
The implementation of this series of measures has allowed BAIC Jihu to taste the sweetness of the rapid development of the market. According to the data, in 2023, the cumulative sales of BAIC Jihu will increase by 138% year-on-year. This achievement not only proves the success of JiHu in following user needs and adhering to the scenario-based car manufacturing route, but also highlights the great impact of this route on its sales growth and market position.
Nowadays, the rise of more and more emerging brands and the success of the transformation of traditional brands are treating consumers with the transformation of "user perspective". This means that only by discovering the needs of users and finding ways to let users obtain value in consumption is the foundation of brand creation, and can we also gain market opportunities in the new era.
BAIC JIHU is right to do this, because in the context of enterprises entering the stock era from increment, a deep understanding of "users" can create new value, and only then will they not fall into involution and zero-sum competition.
User needs are key
In order to satisfy the thirst of young people for speed and passion, the Alfa S5 that has opened pre-sale adopts a large fastback design with low drag elements, breaking the drag limit of the world's production cars with an amazing drag coefficient of 0.1925Cd. This not only demonstrates the design strength of ARCFOX, but also reflects its deep insight into young people's pursuit of the ultimate driving experience.
However, JiHu's pursuit is not limited to speed. In the age of electrification, fast doesn't mean everything. ARCFOX's goal is to create a fast and stable car, so that drivers can experience speed and excitement while enjoying comfort and convenience. To this end, ARCFOX has carried out a comprehensive innovation of vehicle technology, and the "Darwin 2.0 Technology System" is the result of this effort. The Alpha S5's Jifeng Power and Lingyun chassis gather the wisdom of Jihu people, and are committed to bringing users a more intelligent and humanized driving experience.
In fact, the success of BAIC ARCFOX Alpha S5 is not accidental, but stems from its deep understanding and accurate grasp of user needs.
A number of models launched last year are closely related to user needs, showing the ingenuity of ARCFOX. For example, in response to people's desire for health and nature in the city, ARCFOX has launched two "forest" series models of the Alpha S\T Forest Edition, and its original forest oxygen bar mode has brought users an unprecedented comfortable experience. The Alpha S Advanced Edition is equipped with Huawei's ADS 2.0 intelligent driving system to achieve high-end intelligent driving and create a new way of travel for users.
What's more worth mentioning is that ARCFOX has also launched customized models such as Koala through the concept of "scene-based car manufacturing". Koala pays attention to the scenes of women and family life, and creates healthy, safe and convenient high-quality travel products from the perspective of mothers, pregnant women and other groups. This user-centered design concept has made ARCFOX the most consumer-friendly car brand.
As Dai Kangwei, President of ARCFOX Automobile of BAIC Group, said, "Each product of ARCFOX Automobile is to meet consumers' travel experience and empower happiness in specific needs and user scenarios."
It is precisely these products that keep up with user needs and continue to innovate that have enabled BAIC Jihu to achieve impressive sales performance in 2023. A total of 30,016 new cars were sold, of which 8,004 were sold in December, which became the main driving force for BAIC Blue Valley's sales growth.
The core of the development of Internet enterprises is digital assets, and all digital assets are derived from the needs of users. Returning to the rigid needs of users, enterprises can analyze the usage scenarios, motivations, and pain points of user needs one by one through data analysis, and develop products and services based on these obtained information to meet the needs of users.
This is the key to the rise of a user brand enterprise.
Now looking at the performance of BAIC Jihu, it perfectly fits the trend of focusing on user needs.
Long-termism to realize user value
In the increasingly fierce competition in the new energy vehicle market, the BAIC POLAR Fox brand is like a dark horse, with its excellent products and unique market strategy, it has gradually occupied a place in the hearts of consumers. Behind all this success is BAIC Group's deep understanding and unremitting pursuit of user needs.
BAIC Group is well aware that only by truly respecting and understanding users can it win the market. Therefore, they not only listen to their users, but also do everything they can to solve their needs. This user-centered concept is the embodiment of BAIC Group's long-termism.
In April this year, BAIC Group put forward the concept of "craftsmanship as the heart, technology empowers quality equality", and plans to invest 100 billion yuan to promote the development of new energy and intelligent fields. The group will focus on investing in smarter, more energy-efficient and safer areas to create scientific and technological innovation achievements and improve quality equality. At the same time, BAIC Group regards the ARCFOX brand as an important carrier to achieve "quality equality", and has decided to "use the power of the group" to support its development.
This move demonstrates BAIC Group's firm confidence and long-term planning for the future market.
In terms of product research and development, BAIC Blue Valley has jointly invested in the establishment of a joint venture with leading enterprises in the industry such as CATL, Jingneng Technology and Xiaomi Automobile to invest in the construction of intelligent manufacturing factories for battery cells. This in-depth cooperation with industry leaders has enhanced the market competitiveness of BAIC Blue Valley products and laid a solid foundation for long-term sustainable development.
With the blessing of the concept of "scenario-based car manufacturing", ARCFOX Automobile's products have been renewed and accelerated. Since the beginning of this year, a number of new models and upgraded versions have been launched to meet the diversified needs of different consumers. At the same time, BAIC Blue Valley Magna Intelligent Manufacturing Base has introduced Magna's world-class manufacturing standard system to ensure world-class quality manufacturing in terms of management mechanism, quality control, and cost control. This ultimate pursuit of quality is another embodiment of BAIC Group's long-termism.
At present, BAIC Blue Valley has built a world-class supplier system and established cooperative relations with more than 70 of the world's top 100 suppliers. This strong supply chain integration capability provides strong support for the development of the JiHu brand.
BAIC Blue Valley strengthens its channels and service network to cover major markets. At the end of last year, JiHu added 58 new channel outlets, bringing the total number to 244. In 2023, the sales volume of JiHu will exceed 30,000 units, becoming a new milestone. At the same time, the international market is actively expanding.
On April 26, BAIC Blue Valley released its 2023 annual report and 2024 first quarter report. According to the annual report, BAIC Blue Valley's total annual operating income was 14.319 billion yuan, a year-on-year increase of 50.50%. Cash flow improved, financing was stable, and performance picked up. In 2023, BAIC Blue Valley will sell 92,172 vehicles, a year-on-year increase of 84%. The ARCFOX brand has become the main driving force for sales growth, with 30,016 new cars sold throughout the year, doubling its growth and becoming a pioneer in BAIC's new energy market.
According to the first quarterly report, in 2024, Jihu will launch the Alpha T & Alpha S models, and upgrade other models to enhance market competitiveness and provide support for market expansion and sales increase.
At present, BAIC Group's long-termism is not only reflected in the deep understanding and long-term planning of the market, but also in the high attention and full support for user needs. They know that only by truly respecting and understanding users can they win the market, and only by insisting on giving priority to user value can they achieve sustainable development.
As Feng Weidong, the author of "Upgrade Positioning" and the founding partner of Tiantu Capital, once said: "This is an era of serious information overload, it doesn't matter who you are, it matters who customers think you are." The market is not only competition-oriented, but also user-oriented. Only by starting from the user can we create new value, rather than falling into a zero-sum competition of life and death.
According to Maslow's hierarchy of human needs, everyone's needs are divided into three levels, and the brand value system can also be divided into three levels: functional needs, emotional needs, and value realization. A user-driven brand can allow users to meet and realize their needs at these levels.
In the long run, because user brands can meet the needs of different levels in different social groups and at different stages of life, the satisfaction of user needs can be gradually stabilized, so as to ensure sustainable development. Engagement, sociability, and continuous co-creation of content...... and other user brand means, for the young Generation Z or the new middle-class consumer group, has increasing value and significance.
In this regard, Dai Kangwei was deeply touched, he said that for consumers, this is the best era, and for manufacturers, this is the era that needs the most firm faith, "because on this runway, for us Jihu Motors, we have never tried our best, only to go all out."
It's not so much about innovation as it is about returning to the roots of the brand. Because the original brand is based on the product to meet the needs of consumers, due to humanistic care and value resonance, the acceptance of consumers for products and business logos continues to increase, and finally the spread of word-of-mouth.
Therefore, BAIC Jihu, which has found the long-term route of user value, has the certainty of development.