In the first three quarters, BAIC new energy has built hard support for long-term development
On October 27, BAIC Blue Valley (SH.600733) released the third quarter report that the operating income in the first three quarters of 2023 was 9.308 billion yuan, an increase of 63%. At the sales level, in the first three quarters of 2023, the company sold 54,753 units in the industry's general price reduction promotion and fierce market competition, an increase of 91%.
Throughout the first three quarters of 2023, the scale of production and sales of the new energy automobile industry has expanded in an orderly manner, the level of technological innovation has continued to improve, and models that meet the personalized needs of users have emerged, effectively filling the market gap. On September 20, the "polar Fox Koala" created by BAIC Blue Valley was listed, which caused the attention of many family consumers. This is the world's first intelligent parent-child car, creating a new benchmark level in health, safety and convenience, and the parent-child travel track created by the car is suddenly heating up.
In addition, BAIC Blue Valley also launched the polar Fox Alpha S and T forest version, showing the ultimate insight into user needs, the accurate development of application scenarios and other capabilities. In addition, the successful listing of the first version of the polar Fox Alpha S firmly solidified the advantages of BAIC Blue Valley in the high-class intelligent drive mass production.
At the same time, BAIC Blue Valley continues to deepen cooperation in the industrial chain, actively promotes innovation to explore the sea, and lays a solid foundation for the development of the fourth quarter of 2023 and 2024.
Make scene to build cars, open up a "golden track"
As the world's first intelligent parent-child car focusing on the needs of parent-child travel scenes, polar Fox Koala has devoted itself to creating a parent-child travel solution integrating appearance level, safety, health and convenience. This new model, known as the "surface child walking magic" by netizens, has also helped BAIC Blue Valley successfully open up a new category of "Smart Parenting Vehicle" SPV(Smart Parenting Vehicle).
Since the Chengdu Auto Show opened in August this year, polar Fox Koala has received 5,206 orders in less than a month, which can be said to be "rapidly popular", which comes from the polar Fox car team in the product development stage on family travel, especially the new era of treasure mothers demand for in-depth research.
At the beginning of the design, BAIC Blue Valley team was very concerned about the health of Bao mother and baby. Focusing on the maternal and infant level safety and health needs of parent-child travel, Jihu Koala took the lead in responding to the "Mother and Child friendly Car" group standard issued by the China Maternal and Child Health Association, conducted exclusive development and design of cabin materials, baby seats, functional configuration, etc., and created an extremely safe and healthy baby cabin with more stringent material selection and safety indicators, setting a new industry standard for parent-child travel. To this end, the polar Fox Koala won the five-star authoritative certification of "mother and baby friendly car", becoming the first model in the industry to win this honor.
The reason why polar Fox Koala can take the lead in the parent-child travel market is thanks to the "third space" concept focused by BAIC Blue Valley. According to this concept, in the era of intelligence and electrification, the connotation of the car has long been not limited to transportation, but has become a third space alongside the home and office. The application of the concept has created an advanced car building model from "product-centric" to "user-centric", so that polar Fox understands users better and can accurately meet the individual needs of users.
Double promotion of product channels, polar fox expand market boundaries
At present, the competitive pattern of the new energy vehicle market has not yet been established. As a high-end intelligent electric vehicle brand created by BAIC Blue Valley, Polar Fox Automobile will grasp the key window period of the domestic high-end brand track, rapidly enhance brand awareness of Polar Fox, constantly deepen product layout, strengthen channel distribution, enhance brand image, and enhance user stickiness.
In line with the idea of "scenario-based car making", Jihu Automobile provides "a good car + subdivided population experience solution" for the market, creates a new species of intelligent network connection, realizes the breakthrough of the ultimate single product, drives the establishment of a new model and a new strategic system, and builds a new industrial ecology.
Based on the core competitiveness in the field of vehicle integration, three-electric system and intelligence, BAIC Blue Valley will promote more high-end electric technology landing, thus, polar Fox automobile can quickly change the iteration of polar Fox Alpha S and T forest version, polar Fox Koala and other models. According to the plan, in 2023 and 2024, Polar Fox Automobile will launch seven new products in succession with the concept of scene building cars, and gradually realize the complete transformation of product strategy from competitive products to scene applications.
In the long run, polar Fox automobile will broaden the target population, relying on the rapid development advantages of the skateboard platform, create more extreme cost and more distinctive scene-based products, add personalized versions, and cover a wider range of products.
Fundamentally speaking, polar Fox Automobile will jump out of the Red Sea of hardware homogeneity competition and take the lead in creating the next generation of intelligent mobile terminals for the segmented population.
In terms of marketing, Polar Fox Automobile will use "upgrade", "optimization" and "sinking" as the keywords of channel construction, and add Pop channels on the basis of Center store +Space store in 2022, and open up third and fourth line blank markets according to the corresponding product characteristics.
As of the end of September 2023, there are 112 polar Fox auto dealers and 214 operating stores, including 81 Center stores, 111 Space stores and 22 Pop stores, covering a total of 67 cities, with a coverage rate of 100% in first-tier cities, 79% in second-tier cities and 70% in third-tier cities. In the future, Jihu Automobile will continue to improve the channel layout, keep up with the rhythm of the market, and provide users with a more comprehensive service experience.
Deepen industrial chain cooperation and anchor world-class quality vehicles
As a pioneer in the new energy automobile industry, BAIC Blue Valley has vigorously strengthened independent research and development, on the one hand, in-depth cooperation with leading enterprises in the industrial chain, constantly breaking through technical barriers, and laying the foundation for the next high-quality development.
This year, BAIC Blue Valley and "old partner" Huawei cooperation has been deepened. On August 14, BAIC New Energy, a subsidiary of BAIC Blue Valley, and Huawei announced that they would carry out intelligent election cooperation on the basis of existing strategic cooperation, and the initial model was positioned as a high-end intelligent pure electric car. In order to meet the needs of new model design and production, the company will upgrade the existing BE22 platform to create a new generation of high-end pure electric intelligent connected vehicle platform of BAIC new energy, and the upgraded BE22 platform products will be produced by Beijing high-end intelligent ecological Factory.
Baic New Energy is an early partner with Huawei. In 2017, the two sides signed a cooperation agreement, put forward the common vision of "two strugglers, a world-class good car", and the two sides jointly set up a project team code-named HBT, and many engineers of Huawei project team are stationed in the Blue Valley headquarters of BAIC New Energy. Since then, the two sides have signed two consecutive cooperation agreements to deepen and upgrade.
In the field of power batteries, the cooperation between BAIC new Energy and the brand Ningde Times has ushered in key progress in the near future. On October 17, the two sides signed an agreement that the polar Fox will be equipped with the Shenxing supercharged battery, which can achieve more than 700 kilometers of battery life and full temperature range fast charging, meaning that the polar Fox will take the lead in the era of new energy vehicle supercharging. In addition to cooperation at the product level, the two sides also plan to tackle technical problems such as supercharge heating, battery pack level ultra-fast charging, long battery life and lightweight consideration.
The cooperation between BAIC New Energy and Ningde era has a long history, dating back to 2009. During this period, the cooperation between the two sides in supply, technology development, standard setting, after-sales service and other aspects has been deepened, and through a series of high-level and deep integration results, the development of China's new energy vehicle industry has been guided. This time, the joint achievements of the two sides in the field of 4C supercharged batteries will help the electric vehicle industry fundamentally improve the user experience, break through the industry bottleneck of charging anxiety, and thus promote the industry to enter a new era of supercharge.
In terms of intelligent driving, BAIC New Energy and Bosch advanced intelligent driving project was officially launched in October. According to the strategic cooperation framework signed by BAIC Group and Bosch in the past, the two sides will mass-produce and develop high computing power platform and medium computing power platform to achieve high-speed NOA/ urban NOA advanced intelligent driving function, and will maintain the market competitiveness of polar Fox brand products in 2025 and 2026, and continue to guide the position of advanced intelligent driving.
To explore the sea and open up new routes for growth
In 2023, BAIC Blue Valley will open a new territory in overseas markets, take the lead in breaking through and opening up a new growth channel.
On October 8, BAIC New Energy and TURING Company of Japan officially signed a letter of intent for high-level intelligent driving product cooperation,TURING company will be based on the polar fox Alpha S model to meet the needs of the Japanese market intelligent changes, the initial cooperative model is planned to enter the Japanese market in 2024. In addition, the two sides will also explore the commercialization of autonomous driving technology in the Japanese market in the future.
On October 9, Polar Fox Auto signed a cooperation agreement with the United Arab Emirates Ben Omer Holding Group Co., LTD. (referred to as "Ben Omer Group"), and the two sides plan to jointly explore the two Middle East markets in the United Arab Emirates and Saudi Arabia, and Polar Fox models will become the main products of the sea. According to the agreement, the Ben Omir Group will purchase the polar Fox model to complete the certification in the Bay area, develop the emergency call system in the Bay and verify the adaptability of the high temperature environment, so as to prepare for the formal introduction of Polar Fox products.
Looking back at the road to the sea of BAIC new energy, it is not achieved overnight. As early as ten years ago, BAIC Group opened the international strategic layout. In the past ten years, as carbon reduction and sustainable development have become global issues, the development of new energy vehicles in the global market has brought a steady stream of opportunities to the sea for BAIC New Energy. Today, BAIC New Energy is taking the trend to develop overseas high-quality partners, through the export of vehicles and innovative cooperation, the road to the sea.
As early as the beginning of this year, some people predicted that new energy vehicle sales are expected to maintain a growth rate of 30% to 40%, which is expected to become the world's first new energy vehicle annual sales into the tens of millions of countries. According to the Ministry of Industry and Information Technology data, in the first three quarters of this year, China's new energy vehicle production and sales completed 6.313 million and 6.278 million, respectively, an increase of 33.7% and 37.5%, which can be described as strong momentum.
However, the current external environment is still complex, structural problems are still prominent, consumer demand still has huge room for expansion, and the overall operation of the industry is still facing greater pressure. In the face of challenges, BAIC Blue Valley chose to focus on product quality, accurate insight and meet the personalized needs of users, continuous layout, and expand the market with a "perseverance" mentality.
