The 21st Guangzhou International Automobile Exhibition officially opened on November 17th. The development of smart cars and new energy vehicles is not only a revolution in transportation, but also a change in lifestyle and mindset. With the continuous upgrading of competition in new energy vehicles, more new products and technologies will appear before the public. This year’s Guangzhou Auto Show will be themed “New Technology, New Life,” showcasing the latest technological achievements brought about by the development of smart cars, as well as the new changes it brings to consumers. In response, different executives have expressed their views. Liu Yongchao, deputy general manager of Chery Automobile Marketing Company, said that the development of new energy in recent years has been very rapid, including smart technology and many other cutting-edge innovations such as intelligent driving systems, smart cabins, etc. In recent years, users have felt a bit too much pursuit, and this year should be a return to rationality, an affirmation of Chery’s technology. Of course, we have also made a lot of efforts in marketing, including terminal marketing systems, network systems, and we have internally divided into three major teams, as well as developing marketing in new media, including user operation optimization and iteration. There has been a significant advancement in the entire marketing aspect. For the Chery brand, the Wind Cloud is the starting point for new energy. We hope to use the brand accumulation of Wind Cloud and Chery’s technological reserves to launch 11 new products within two years, opening the new energy path for Chery.
The following is a transcript of the interview Sina Auto: First of all, thank you, Mr. Liu, for taking the time out of your busy schedule to come to the Sina Auto booth. Today, I would like to understand what the Chery brand’s lineup is like at this year’s exhibition and what the highlights are. I would also like to focus on the fact that we recently launched the Fengyun series. From the perspective of the group, what is the significance of Fengyun to the group? Liu Yongchao: First of all, participating in this Guangzhou Auto Show, we are one of the four major brands, and after the Shanghai and Chengdu auto shows earlier this year, we are jointly participating in this year’s Guangzhou Auto Show. For Chery, this is a moment of comprehensive electrification. Therefore, we have a total of 16 new energy products from the four major brands on display. As Mr. Yin mentioned earlier, although we are a bit late, we have coincided with this point in time. The entire electrification process has arrived, and our technological reputation and products are ready. Therefore, all four major brands have come to the Guangzhou Auto Show, which is the lineup for this exhibition. Why is it called Fengyun? Fengyun is Chery’s first product. We often say that 20 years ago, Chery’s Fengyun stirred the entire Chinese auto market. At that time, we started with independent innovation. Now, it is the era of new energy. We have brought back Fengyun to prove that after more than 20 years of development, China’s auto industry has independent capabilities, especially in the era of new energy, we are at the same frequency or leading. This year, there is also a milestone in exports. Chinese brands are number one in the world, and with new energy, we are also number one globally. Therefore, with the arrival of Fengyun this year, we want to start another wave in the auto industry. However, this time, the wind is coming from the East, which affects the whole world. It is different from twenty years ago. At that time, we were in a learning phase. Now, it is an opportunity, and the whole Fengyun was born from this big background. For Chery brand, Fengyun is the starting point of electrification. We hope to use the brand accumulation of Fengyun and the technical reserves of Chery. We also plan to launch 11 new products within two years to open the new energy path of Chery. Sina Auto: Well, you just mentioned that Chery’s sales performance is very good. What do you think are the reasons behind this good sales performance? Liu Yongchao: Many people have been asking this question this year, and we are also thinking about it. Of course, marketing is one aspect, but I think it is more about user recognition of technology, or a rational return. In recent years, things have been quite chaotic, but this year, it seems that users are becoming more rational. Users are returning to a more rational view of technology and products because new energy has developed rapidly in recent years, including intelligentization and many other cutting-edge technological innovations, such as intelligent driving systems, smart cabins, and so on. In recent years, users have been pursuing too much, but this year should be a return to rationality and a recognition of Chery’s technology. I think this is the core. Of course, we have also made a lot of efforts in marketing, including terminal marketing systems, network systems, and the development of new media marketing. We have also optimized and iterated user operations, and there has been significant progress in the entire marketing aspect. So, there are many reasons. After a substantial increase in 2017, this year has seen another significant growth. From January to October, we sold 1.45 million vehicles, with Chery alone exceeding one million, which is indeed a new high. I would say that the overall market this year is basically stable, with Chery’s sales increasing by over 40% from January to October compared to the same period last year. Both sales and momentum are good. I think ultimately it is the user’s recognition of Chery’s technology, which is the biggest core. Sina Auto: Alright, we have one last question. Actually, you just mentioned that there have been quite a few changes in the automotive market this year. Based on this, we have summarized some key points. We would like to ask you to pick one or a few to express your thoughts: first, traditional cars and smart technology; second, current traffic and long-term thinking, or user value and corporate organization; or the current situation of dealers and changes in distribution channels; and finally, the outlook for 2024. Please pick one and elaborate on it. Liu Yongchao: Let me talk about 2024. I think we’ve talked a lot about 2023 already. Everyone says this year has been particularly challenging, and indeed there have been significant changes. Many people expected it to be good, but in reality, market performance hasn’t been as good. So, everyone feels tired and challenged. As for 2024, I think we should still focus on technological innovation, be user-oriented, capture user needs, resonate with users, and deliver some products and services that exceed expectations. This is the most crucial. Of course, smart technology is definitely a future direction. In the past, we emphasized design, appearance, and aesthetics, but based on this year’s performance, all aesthetics have been particularly stunning. So, I think next year’s trend will be in the direction of smart technology, which should be where all brands will showcase their strengths. Sina Auto: Weibo has hot searches, and everyone checks it every day. We have summarized several hot topics this year. Please pick one to express your opinion. Liu Yongchao: Let me talk about traditional cars. I personally think that although there is intense competition in new energy vehicles, traditional cars definitely have their market and demand. Although the proportion may not be as large, I think there is still a certain demand. Like a niche category, in reality, many people still enjoy the roar of a traditional car engine and like that feeling. Is the 200,000 traditional car the last bastion? I don’t think so. I believe there is still room for exploration in traditional cars. Sina Auto: Alright, thank you, Mr. Liu. Thank you, Mr. Liu.