Author: Nie Yiyao
“What’s wrong with ride-hailing? Toyota is in Japan, Mercedes-Benz is in Germany, and they are heavily used as taxis, but it doesn’t affect their ability to be high-end and luxurious.”
A year ago, when faced with industry-wide questioning of GAC Aion’s sales figures, which included a considerable number of ride-hailing cars, GAC Aion’s leader Gu Huinan was hard-pressed to defend against accusations of having a low-end image.
Since then, this member of the local national team that dared to “embark on the new four modernizations” has accelerated its upward trajectory. Technologically, it has worked tirelessly on the foundation of “three electric” vehicles. In terms of product development, it has launched new models in less than half a year, with each one being a Plus version that generates ongoing discussion. In terms of operations, it has pushed for mixed reform and listing, with a cacophony of gongs and drums. In terms of marketing, it has enjoyed a soaring popularity and dazzling brilliance.
After a combination like this, what do you think happened? GAC Aion’s 2021 terminal sales volume was 123,660 units, a year-on-year increase of 119%, exceeding its full-year target of 100,000 units. Among the members of the national team that are creating new brands and impacting the “new four modernizations,” GAC Aion is clearly the most highly recognized and best-performing one on the market currently. Compared to the new force “wey.x,” it has achieved comprehensive crushing of sales, with the only difference being the new brand’s inferiority in terms of intelligence.
However, savvy Guangdong people have considerable intellect, and on January 1, 2022, just after announcing its satisfactory sales performance, GAC Aion launched its high-end model, the AION LX Plus, which is touted as a “technological nouveau riche,” taking advantage of the momentum.
If you look closely, you’ll notice that GAC Aion has not only applied its most advanced “three electric” technology to the AION LX Plus, but its intelligent configuration is also taking a beating against “wey. x.” GAC Aion is clearly determined to use the AION LX Plus to eradicate its brand’s low-end stigma, and to establish itself as the new industry benchmark by creating a high-end image.
AION LX Plus, with a price tag of over 400,000 yuan, has solid “muscles.”
AION LX, which was launched in November 2020, was originally the highest-end model in GAC Aion’s AION series, with a price range of 200,000-300,000 yuan. After a year, the upgraded AION LX Plus was released and its price went up a notch, entering the 300,000-400,000 yuan range.
In the 400,000-yuan price range led by Nio, which has established a “high-end, luxurious” image, GAC Aion finally broke in and boldly challenged it, mainly because it overcame the difficulties of applying its long-rumored “silicon-carbon sponge cathode battery technology.”Cracking and applying this problem can enable the energy density of the battery pack to reach over 205 Wh/kg, realizing a huge 144.4 kWh battery capacity and bringing a range of up to 1008 km in one go. Compared with NIO ET5, which was recently launched and comes with a 1000 km range, AION LX Plus only has an 8 km difference according to the official statement, making it even more impressive.
According to GAIC Aion’s official statement, the “silicon sponge negative electrode technology” enables the silicon negative electrode inside the battery to be soft and elastic like a sponge, limiting and buffering silicon’s expansion and contraction during charging and discharging, preventing it from breaking. Meanwhile, it also helps the silicon negative electrode to store more energy by functioning like a sponge that can absorb water. Anyway, this technology sounds really impressive.
Another impressive aspect that makes AION LX Plus deserving of its RMB 400,000 price tag is that this vehicle is equipped with three 2nd-generation intelligent variable focus LiDARs. The 2nd-generation intelligent variable focus LiDAR uses micro-electromechanical systems (MEMS) technology, which can control the emitted laser more precisely and produce a denser point cloud when scanning the ROI area.
Compared to other models in the market that are equipped with LiDAR, such as NIO ET7, BAIC BJEV ArcFox αS HI, and Xpeng P5, NIO ET7 is equipped with one dual-rotating mirror LiDAR, whose vertical resolution can be precise to 0.06°; BAIC BJEV ArcFox αS HI has three rotating mirror LiDARs with a vertical resolution precise to 0.26°; Xpeng P5 has two prismatic LiDARs, and its vertical resolution is accurate to 0.2°.
The AION LX Plus is equipped with three 2nd-generation intelligent variable focus LiDARs, which can achieve dynamic adjustment of vertical resolution from 0.2° to 0.05°. Whether it is the generous configuration of providing consumers with 3 2nd-generation intelligent variable focus LiDARs from the start or the vertical resolution of these LiDARs, the AION LX Plus can be seen as dominant.
Under the guidance of the flagship features of endurance and intelligent driving, the AION LX Plus has been fully upgraded in aspects such as the cockpit and services. The luxurious configuration includes Nappa leather seats, second-row leg supports, a 10-speaker ALPINE sound system, a 15.6-inch high-definition central control screen, and the latest ADiGO 4.0 intelligent IoT system. New intelligent technologies include voice control driving mode, energy recovery, vehicle control, IBCM touch-free start, brand-new AR panoramic navigation, and DMS+OMS cabin monitoring, all of which aim to create “China’s most high-tech luxury car” with the AION LX Plus.
The Guangdong people who pursue sales and value practicality have also shown sincerity towards user rights (all in the name of deals) in this comprehensive attack on the high-end luxury market with the AION LX Plus. For instance, free lifetime warranty and basic maintenance for both the battery and vehicle, as well as free lifetime data flow and roadside rescue services for users. Car owners are provided with industry-leading personalized private driving lessons at home, teaching them one-on-one to use intelligent driving assistance systems.
GAC AION has established a high-end brand image and sounded the horn of entering the high-end intelligent electric vehicle market. If consumers respond positively to the AION LX Plus, this model will undoubtedly become an important turning point in its path of high-end development, with significant meaning.
GAC AION as a Model is Worthy of Being Referenced by the National Team
In the pursuit of the “New Four Modernizations” road, the national team has been entering the intelligent electric vehicle market in recent years, with numerous contenders including Dongfeng Landing, SAIC Zhi Ji and Fei Fan, GAC AION, BAIC Arcfox, and most recently Changan Oneway. This proves that the “New Four Modernizations” wave is unstoppable, and only by quickly integrating and adapting can we respond to the new era and survive.
Currently, GAC AION is developing the most steadily among members of the national team. With technology, products, and markets, it has already begun to achieve self-reliance and surely has prospects.
Moreover, GAC AION’s development has a clear path: having a technological reserve (especially in the “three-electric” technology aspect), then developing products. After the product sales climb, it goes public through mixed ownership reform to seek greater and more flexible development space, further promoting the brand’s progress.
The current performance surely has its reasons. For large traditional automakers, especially state-owned ones, change is the most difficult. Gu Huinan once frankly said, “I’ve been building fuel vehicles for decades and still work on engines. Now, they want me to make electric vehicles. Isn’t that like shooting oneself in the foot? However, if you don’t make changes, the times will change you.”Human beings need to be awake to make progress. In recent years, Guangqi Aion has maintained a comprehensive layout, mutual cooperation, and efficient promotion in technology reserve, product lineup, operation mode, marketing services, and other aspects. This may be related to Guangzhou’s location on the forefront of China’s reform and opening up, which has nurtured a sensitivity to new things among Guangdong people and an ability to manage and be pragmatic.
For example, when the core topic of electric vehicles revolves around indicators such as “driving range, battery safety, and 0 to 100 acceleration,” Guangqi Aion had already been focusing on “three-electric” technologies and was not shy about packaging and promoting the results of each stage. Moreover, while being practical, Gu Huinan also dares to promote goals that may be achieved in the future, not only daring to speak of “leading-edge technology,” but also daring to promote it. Therefore, each time they announce a new technology, such as the “magazine battery,” “6x fast charging technology,” and “sponge silicon negative electrode technology,” it attracts attention from the industry.
When the topic of electric vehicles began to shift towards smart cars represented by intelligent cabins and intelligent driving, Gu Huinan, who was still calling for “not only focusing on software-defined cars, but also emphasizing the importance of hardware,” had quietly already cast his vote and brought Guangqi Aion into the ranks of intelligent vehicles. Therefore, Guangqi Aion, with a pace that does not lose to new forces, has embarked on a series of displays of skills in automatic parking, man-machine interaction, and other aspects.
For example, in terms of products, Guangqi Aion should be the national team member with the most abundant product line ranging from CNY 100,000 to CNY 400,000. For different user demands, they have also pioneered the “plus” and “non-plus” versions for each product. Of course, there are still some deficiencies, such as too many products concentrated on SUV models, with only one compact sedan AION S.
Furthermore, in terms of marketing, this is probably the most valuable aspect for other national team members to learn from Guangqi Aion. Guangqi Aion is really good at marketing and promotion. In recent years, it has been understood that the market trend is to focus on young people, but being able to maintain a frequent pace and interact with young users like Guangqi Aion is really rare, at least among national team members, not to mention being able to engage with users in such a trendy and cool way.
Although young consumers born in the 1990s and 2000s may currently have a lower absolute consumption power compared to those born in the 1970s and 1980s, their purchasing power is often at the core of the family. Therefore, the trendy and fancy core technologies, intelligent experiences, and entertainment extensions that young people like should be regarded as a benchmark by automakers, always displayed and conveyed to young people.
Is marketing important? It’s very important. Guangqi Aion’s marketing skills can already rival those of new forces, and this is something that other national team members should really learn from.
This article is a translation by ChatGPT of a Chinese report from 42HOW. If you have any questions about it, please email bd@42how.com.