NIO's 10th Anniversary: Two New Vehicles, Challenging the Toughest Industry Problems | Focus Analysis
Author | Han Yongchang Zhang Bowen
Editor | Zhang Bowen
Flagship sedans and high-quality compact cars are two vehicle types that are recognized as the most challenging in the automotive industry.
The former requires a stunning design, top-notch materials, and a recognized brand value. In China, it is difficult for any automaker to gain market recognition for a flagship sedan.
The latter requires a unique positioning, an exquisite appearance, and a very high cost performance. The success of BMW MINI has led many automakers to imitate, but no one has been able to surpass it.
However, on the tenth anniversary of NIO, Li Bin simultaneously released a flagship sedan and a high-quality compact car at the "Auto Industry Spring Festival Gala" NIO Day.
First is the ET9. As a flagship executive sedan, Li Bin calls it the technological crystallization of NIO's ten years. This car not only has to face traditional powerhouses like the Audi A8L and BMW 7 Series, but also has to compete with domestic models like the Yangwang U7 and Zunjie S800. The pressure is considerable.
Secondly, there is the Firefly, which aims to build the best compact car for global users. This task is even more arduous. Even though NIO investigated the driving habits and needs of 17 countries during its development, it is still uncertain how much of NIO's capabilities this car can exert under the constraint of cost performance.
In any case, NIO's courage is admirable. After all, no automaker dares to challenge the two most difficult problems in the industry at one press conference.
「 ET9 Fully Equipped with Higher "Cost Performance" 」
The ET9 was the first to debut at NIO Day.
NIO ET9
The core technology of this car lies in the mechanical architecture and digital architecture. The former includes vehicle hardware such as the chassis and the three power systems, while the latter is the computing platform, sensors, software protocols, etc.
In the mechanical architecture, the Tianxing fully active suspension and the industry's first mass-produced wire-controlled steering are very advanced.
In the most intuitive driving experience, the "Champagne Tower Challenge" that amazed everyone at last year's NIO Day was mass-produced as scheduled this year. This is why NIO calls the ET9 the "Comfort of Stratospheric Cruise".
In terms of power, the ET9 is equipped with a 100-degree battery pack, which can provide a range of 650 km. The all-domain 900V high-voltage architecture also brings a faster charging speed, with a peak charging power of up to 600kW.
The digital architecture is even more crucial. The core of the ET9 is the central computing platform composed of 2 Shenji NX9031 chips and Qualcomm Snapdragon 8295, which integrates and unifies the cross-domain functions such as intelligent driving, intelligent cabin, body domain, and power domain.
Simply put, the central computing platform is the "brain" of this car. It can mobilize all sensors and actuators, and enable every component and every function of the ET9 to be continuously upgraded and highly customized.
This architectural combination also brings stronger safety redundancy. For example, in the high-speed tire blowout test of the ET9, Li Bin personally sat in the test vehicle and conducted the test at a speed of 170 kilometers per hour. The tire was completely punctured, but the vehicle body remained stable.
The design of luxury models shows its strength in details. What tests the ET9 is not only the internal technology, but also the external details.
The two vertical panoramic sunroofs are the unique "Sky Island" of the ET9, which is NIO's unique design with a very transparent view. The central administrative bridge that runs through the front and rear rows is equipped with a 360° stepless adjustable administrative desk, specially designed for business people.
The most thoughtful part is that NIO's seats are all embroidered. Li Bin said that the entire vehicle has 200,000 stitches, with a proper density.
ET9 Seat Stitches
The speakers of the ET9 are also very distinctive, using the linked coin pattern. This is a commonly used decorative pattern in ancient architecture and dyed fabrics. Li Bin also gave the explanation of "rolling in wealth" at the scene.
In addition, ordinary seat heating can no longer meet the needs of the executive flagship. NIO makes every part of the ET9 that is within reach heatable, whether it is the steering wheel, armrest, or footrest, etc. This is also the thoughtful part of the ET9.
Of course, for the press conference, or for the expectations of NIO, the ET9 still has two slightly insufficient points. One is that the intelligent driving capability is not specifically reflected, and the other is that the self-developed large cylindrical battery is likely to have been cancelled.
But for an executive flagship sedan, these two points are only minor issues, and the flaws do not outweigh the virtues.
Not to mention that NIO even provides ET9 owners with a driver. In the initial launch rights and interests of the ET9, it includes 3-year full-scenario driver service (50 hours per year) and 3-year business travel pick-up and drop-off service (12 times per year).
This is the top-level configuration of the executive flagship. This is also why NIO can build a rare luxury brand in the Chinese automotive industry in just ten years.
The ET9 already has the strength to compete closely with the Audi A8L and BMW 7 Series, and even when compared to the Zunjie S800, it is not inferior. But the price is cheaper, which may also be the reason why Li Bin is confident in setting its monthly sales at 1,000 units.
The overall price of the ET9 is 788,000 yuan, and 660,000 yuan after BaaS. In addition, NIO has upgraded some configurations and launched 999 limited edition models for the initial launch, with a price of 818,000 yuan.
In the high-end executive flagship sedan segment, the ET9 is already extremely "cost-effective".
「 Firefly at 148,800 Yuan, Hard to Make Big Profits 」
After the ET9, the Firefly makes its appearance. This is NIO's third product line after the Ledao, a high-quality compact car with a smaller size and a lower price, targeting MINI and Smart.
Almost all Chinese automakers know that compact cars are difficult to build, with low prices and low profits. In today's market environment, the boundary between the concept of a high-quality compact car and the concept of a high-cost-performance low-price compact car is not actually that clear.
In other words, although it is claimed to be targeting the two high-quality compact cars, MINI and Smart, which already have a certain impression in the minds of consumers, it may accidentally become a competitor to models like the BYD Seagull, Geely Xingyuan, and Baojun KIWI EV.
Therefore, Li Bin set an "irrational" price for the NIO Firefly: 148,800 yuan.
What does this price mean?
In NIO's system, the bare car price of the Ledao L60 under the BaaS battery rental plan can start from 149,900 yuan. It is only 1,100 yuan more expensive than the much smaller Firefly.
NIO wants to tell everyone: When buying the Firefly, don't focus on cost performance. What you are buying is an exquisite urban life.
From a pure product perspective, the Firefly is a good car.
The Firefly Actual Vehicle
In terms of appearance, it seems that the designer referred to Honda's HONDA E and the iPhone Pro Max product line in recent years. The design of the headlights makes it difficult not to associate with the compound eyes of insects. It may not be very beautiful, but it is quite recognizable.
Inside the car, probably due to the use of a rear single motor, the front space that is vacated creates a large enough front trunk, which is enough to make all NIO owners envy. The airbags inside the car and the parking assist function shown in the press conference video imply that this car has a rather high level of technological configuration.
NIO deliberately made a video to prove that the Firefly is more flexible than the current pure electric MINI and Smart.
More importantly, probably when it is actually launched next year, NIO will use its most skilled at BaaS battery rental plan on the Firefly to maximize the "cost performance" of this car.
The pricing of 148,800 yuan is a guise to raise the market's positioning expectations for this car.
The price under 100,000 yuan after the BaaS battery rental plan is the greatest competitiveness of this car. Whether it is the pure electric MINI that has been significantly reduced in price or the Smart 01/03 that is sold at a low price by dealers in secret, the Firefly appears to have a higher cost performance.
Does it seem that the Firefly is stable? Not necessarily.
In the compact car market, the difficulty is not what the car is like, but the market itself. In China, the compact car is not a consumer market with a very strong demand.
In big cities where exquisite compact cars are most needed, for ordinary users, owning a small car requires considering not only the cost performance of the car itself, but also other hard costs such as license plates and parking. Ordinary Chinese families are still some distance away from owning a second car. Zeekr, which is good at turning niche models into popular "street cars", also has to face the "failure" of its own exquisite compact car, the Zeekr X. The terminal price has dropped to around 130,000 to 140,000 yuan, and the monthly sales volume is only hovering around 1,000 to 2,000 units.
Therefore, it is difficult for NIO to make big profits by relying on the Firefly.
But what NIO can do is to provide the market with a truly high-quality and strong-product-force high-quality compact car. This is a good thing for the increasingly homogeneous and boring Chinese automotive market.
With the Firefly, the Ledao, the NIO, the compact cars, the sedans, the shooting brakes, and the SUVs, this is also a complete product line that a mature automaker like NIO, which has been established for 10 years, should have.
Hope the Firefly can succeed.
「 Written at the End 」
As of today, NIO has one main brand and two sub-brands.
The main brand NIO is responsible for breaking through the price ceiling and replacing BBA; the Ledao is responsible for stabilizing sales volume and gross profit, bringing more cash flow; the Firefly is for the global market and is NIO's tentacle to go overseas.
This year, the sub-brand Ledao launched a new car, the L60, but it did not meet expectations at the market terminal. The price war in the electric vehicle industry has lasted for two years, and sales data is like rowing against the current. If you don't move forward, you will fall back in the rankings.
NIO focuses on long-termism, but no automaker can ignore short-term sales volume and profits. Li Bin has bet on these two new cars today.
The ET9 obviously can consolidate NIO's brand position, but if the Firefly cannot become a new growth pole, NIO may have to be better prepared for a more difficult next year.