Q1: Today, Voyah launched an official customized ecosystem. Could you explain the reasons behind this and what it means for the industry? We also know how to balance customization and mass production.
Firstly, based on our insights into the younger demographic, younger users have more demand for personalization, which is a form of expression.
Secondly, compared to Voyah FREE, Voyah FREE DNA styling is more exaggerated and closer to the aesthetic of young people. The front intake grille has been reduced, and two side intakes have been added for a more powerful look. The side lines and exterior decoration give a sense of elegance, and the tail embodies a rounded shape.
Thirdly, Voyah FREE DNA has made significant advancements in performance. This is the result of Voyah’s personalized customization ecosystem. Many modification enthusiasts need consistency in their car modifications, and Voyah’s personalized customization ecosystem provides “front-mounted” and “aftermarket” services. This can achieve in-depth communication with users, professional output of customization schemes, mass production-level quality assurance, and four features of customized aftermarket, giving users a “thousands of faces” product experience. Among them, the front-mounted service satisfies the user’s common needs, while the aftermarket service is based on mass-produced cars, tailored to each user’s individual needs.
From an industry perspective, this is likely the first personalized customization ecosystem in the automotive industry. The FREE DNA and Dream Maker models have different partners participating in co-creation, breaking the notion that some electric cars are unsuitable for modification. We also hope to form a distinctive modification culture.
Q2: Regarding sales expectations for our two new models and our first move into electric car customization, what are our market expectations? Also, what other marketing moves will Voyah make in the future?
For the sales volume, Voyah will only produce 3,000 units of the limited edition FREE DNA. This is a trial run, and we may introduce more versions based on market demand.
In addition to the launch of Voyah FREE DNA, we plan to release a third sedan model at the Guangzhou Auto Show in November, completing our lineup of SUVs, MPVs, and sedans. We will introduce even more enriched products in the future. It’s worth mentioning that our third car model should be the first car model in China based on SOA architecture, and we believe it’s worth looking forward to.
Regarding the brand aspect, we plan to hold the Voyah User Night in October.Q3：Currently, in the field of new energy vehicles, in addition to new car makers, there are also established companies such as SAIC and Changan, which have created great market pressures. LanTu was relatively early in the game among SOEs and GOEs, with two models already released. In terms of overall sales performance, we are not particularly perfect and cannot achieve a huge volume. However, similarly ranked SOEs or GOEs, such as Changan and SAIC, have all emerged. What kind of solutions do you have to leverage our first-mover advantage?
As for sales, in June, LanTu saw a growth of 33%, followed by a 50% growth in July, and a double-digit growth in August so far. LanTu’s development momentum has been on the rise every month.
After its launch, the Dreamer has been even hotter than we expected, and is currently in a supply-shortage situation. If the delivery capacity of Dreamer improves, LanTu’s sales will rise to another level.
The new energy track is actually expanding, with significant room for development. Take the MPV market, for instance. In the traditional sense, the MPV market is declining. However, large MPVs and SUVs with six seats, especially those at the luxury level, have seen rapid sales growth, indicating that it is an expanding market.
The transition from gasoline cars to electrification is a global trend. Although the current penetration rate of electric cars is about 25%, from another perspective, 70% of consumers are still driving gasoline cars and have never tried electric cars. Therefore, this market is still very large. LanTu adheres to a long-term vision and prioritizes long-term development. We also have sufficient funding, technology, and talent as strong support.
Q4: In terms of our products and marketing, are we benchmarking more against new car makers or our brothers in SOEs and GOEs?
LanTu is a “new car-making force” with our own mission and positioning. LanTu is a state-owned enterprise backed by Dongfeng, positioned as a high-end new energy brand in China. Our mission is to engage in positive competition with these world-class luxury brands after ABB’s full electrification.
Q5: How does LanTu maintain the pace of launching one new car every year? And how do we get more young people to learn about, become familiar with, and eventually like our brand?
For the first question, LanTu has the industry-leading ESSA architecture, which is the world’s first original high-end intelligent electric architecture and the first domestic electric vehicle architecture that supports multiple power solutions. It has several characteristics:
First, one platform can produce vehicles from A to E grades.
Second, one platform can create SUVs, sedans, pickups, and different categories.
Third, the biggest feature is that the ESSA architecture can not only cover the size range from A to D grade car, but also reduce development cycles from 4-5 years to 2.5 years. At present, there are not many enterprises with such strength globally.
For the second question, we will continue to expand our presence on various social media platforms and leverage KOLs (Key Opinion Leaders) to attract more young people. We will also participate in various events and activities, build a community of loyal users, and create a brand image that resonates with young people.## Question 6: How does Voyah understand and embody the concept of intelligence?
Today, many consumers simply understand intelligence as a car’s system, but in fact, intelligence is much more than that. Voyah understands intelligence not only as a car’s system, but from the entire native architecture, it covers the user’s integrated intelligent experience.
Voyah has an ESSA native high-end intelligent electric architecture and plans to launch the SOA architecture by the end of the year. Without the SOA architecture, it would be impossible to realize all software-defined cars and personalized interfaces. Voyah believes that we should first do the foundation work and simultaneously improve the user experience in human-machine interaction. We adopt self-developed methods on one hand and work together with our ecological partners on the other.
Question 7: Do you have your own ideas and plans for brand building, which is actually asking what is the next step?
I am mainly responsible for two major areas of work. One is brand and public relations, and the other is user operations, which includes APP, community, car system, e-commerce, etc.
The dimensions of competition between Voyah and the new forces of car making are different, whether it is the source of users, the previous car models used, the user’s decision-making factors, or the car usage scenarios they consider are almost completely different. Voyah’s goal is to solve the problem of positive competition after ABB’s comprehensive electrification, which is our original intention.
When developing Voyah FREE, we benchmarked it against Audi Q5L and Mercedes-Benz GLC. If you have driven Voyah FREE, you would find that in terms of handling, performance, space, chassis stability, and comfort, Voyah FREE is very competitive.
In terms of brand building, our current strategy is to first penetrate the marketing of the eight key cities that make up 50% of our sales. The first stop was in Wuhan, and we will also deepen our market development in Beijing, Shanghai, Guangzhou, Shenzhen, Hangzhou, Chengdu, and other cities. Chengdu is the second largest market for Voyah FREE and we attach great importance to this market. From our current perspective, this strategy has achieved good results, and the proportion of our sales in key markets has been steadily increasing.
Regarding youthfulness, in fact, our launch of the Voyah FREE DNA is aimed at attracting more young people. In the future, we will also focus on popular areas preferred by young consumers to align with their preferences. Recently, at the 36th National Film Award Ceremony held in Wuhan, many people also remembered Voyah FREE, which was one of the successes of our marketing.Also, the overall workmanship and mechanical quality of our vehicles are no less than ABB, but we have made significant strides in terms of performance and intelligence. The average transaction price of the Voyah FREE is over 334,000 RMB, while the Voyah Dreamer’s average transaction price exceeds 420,000 RMB. We hope to become a truly high-end new energy brand in China.
Regarding how to improve our luxury brand image, we plan to enhance the experience and feel of every touch point with our users.
Q8: I want to ask about the recent dispute on Weibo about range extender technology. How do you see its existence and value? What will be Voyah’s future power source of choice? As for the second question, this year is considered the “year of MPV” by many, and the Voyah Dreamer was actually one of the early domestic boutique models to enter the market, but we can now see that the MPV market is dominated by other competitors. Does the Voyah Dreamer have any new marketing strategies?
In terms of range extender technology, my view is that there is no best technology or best route. The best route is one that truly meets the needs of users. We believe that the transition from fuel cars to electric cars will take time, and many users still want to maintain their driving habits while enjoying the fun of electric cars. Range extender technology can meet this demand to some extent.
As for power source options, I mentioned three features of the ESSA native intelligent architecture earlier, and there is a fourth feature that happens to be Voyah’s differentiating advantage – we can not only do pure electric, but also output hybrid power technology. The Voyah Dreamer is not just a range extender, it is an intelligent multimode drive. We will maintain our dual power strategy in the near future – pure electric plus range extender/hybrid drive. However, we will gradually switch to pure electric according to user needs.
Regarding the “year of MPV” question, it is indeed true that there are models like Hongqi, Zeekr 009, and DENZA D9 this year. My view is that the MPV market is expanding, not just staying in the same lane as before, so I am not particularly worried.
For the Voyah Dreamer, all marketing strategies ultimately rely on the product itself. We have confidence in the design of the Voyah Dreamer, with its streamlined sedan-like shape, excellent maneuverability among MPVs, and a length of over 5.3 meters that provides the comfort and space typically required in traditional MPVs. Additionally, the Voyah Dreamer has outstanding safety features that can surpass the entire MPV market.
First, our door frame structure is a one-piece hot-formed laser-welded door frame structure with a strength of 2000 megapascals. As you may know, the strength of an airplane landing gear is only 1500 megapascals, so there are no concerns about side, front, or rear collisions.
Second, many companies have not solved the safety issue of the third row of seating in MPVs, but we have successfully addressed this problem. You will see that we have a steel beam in the trunk that serves to protect the third row for the safety of all passengers.In terms of marketing, the Voyah Dreamer has appeared at both the 36th China Film Golden Rooster Awards and the 2022 Entrepreneur Jinggangshan Forum. The Dreamer is a car that is suitable for both business and personal use.
Q9: I have three questions. Firstly, you mentioned that the sales of Voyah have shown a rebound, what do you think the reason for this is? Secondly, we have seen that Voyah has entered the overseas market with the FREE model, what is the plan for the overseas market? Thirdly, the naming of the FREE DNA, Voyah Dreamer, and Voyah FREE models currently seems to have no rules, how is Voyah planning to name future models and ensure sustainability?
Firstly, we need to do the basic work well, such as improving our marketing, channel layout, and sales training, which has had a significant effect. I think this is one of the reasons why sales have rebounded.
Secondly, we first launched in Norway in June this year and received a good response, especially for the pure electric version of the FREE model, which received high praise from professional reviewers. In a test at minus 24 degrees, our range performance was only matched by Mercedes-Benz. Going forward, we will also consider expanding into the European and Middle Eastern markets.
We co-created FREE DNA with our ecological partners, the FREE name has not changed, DNA is the sub-brand of our ecological partner, so they are together. It is also one of the personalized customization results of Voyah’s ecological system.
Q10: We have seen that there is a big difference between the DNA and the regular version at this Chengdu Auto Show, which has overturned the common understanding of Voyah among ordinary users. So, can you tell us more about the design of DNA?
Secondly, is it possible to explore more young people’s sub-markets through the concept of more user co-creation?
There are three key points in the design of the Voyah FREE DNA:
Firstly, the overall design is a fusion of the conch shell shape.
Secondly, the concept of bionics has been applied extensively, especially in the front of the car, which has a sense of future technology.
Thirdly, Chinese cultural elements have been integrated into the design. For example, we named the colors “Tai Chi Black” and “Tai Chi White”. We believe that many young people’s recognition of Chinese culture is rapidly increasing.
With regard to co-creation, we already have several ecological partners, and if the market performs well, we will definitely continue to launch similar products in the future.
Q11: I am curious about the management system within Voyah. As a new brand emerging from the traditional car-making system and serving as a demonstration of reform for Dongfeng Automotive, what new breakthroughs have you made in your own management and organizational methods? Or what difficulties have you encountered during the breakthrough process?
Firstly, we are like a start-up company, or rather, we are a start-up company with a very typical start-up company status.There are a few overall characteristics of Voyah: speed, flatness, and very high level of intensity. In terms of innovation, Voyah should be at the forefront of the mechanism reform of state-owned enterprises. We are a model unit that has been honored with “Double Hundred”. We have done very well in employee stock ownership and equity incentives, which is also an innovation in terms of mechanisms.
We originate from Dongfeng, and are also derived from Dongfeng. How to maintain Dongfeng’s fine tradition, while creating Voyah’s own distinctive management mechanism, and perfecting the system and processes in such a short period of time, is a very big challenge that we have to face.
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.