On February 10th, IM Auto launched its second vehicle, the LS7, which includes six models priced between 309,800 and 459,800 Yuan. Information about the highlights of this car and driving experiences have been summarized in the article “What is IM’s Capability to Enter the Crowded Market?” by our test drive. On the first day of its listing, we were invited to participate in a group interview with IM Auto’s joint CEO, Liu Tao, to exchange ideas on topics of interest to the users.
Interviewee:
- IM Auto Joint CEO Liu Tao
Question: IM LS7 is a product with many bright spots, it uses high-quality materials, and has excellent features. What do you think is the most worthy feature to promote LS7?
Liu Tao:
The super-large dome of IM LS7 is indeed very attractive to users. The most basic perception of an SUV is “sitting high and seeing far.” SUVs are for conquering the world, and the view is undoubtedly the most critical. The previous SUV view angle was about 24 degrees, which already surpassed sedans; now, the 106-degree view angle of the LS7 is definitely crushing. As soon as seniors and children in the family sit in it, they can immediately feel that the friction is equal to zero, making it irresistible. However, in addition to the “sunroof,” LS7 also has strong driving control as a technical foundation; driving control is the bottom label of the IM brand.
In the Internet era, long boards are prevalent in attracting attention, but we do not recognize this value judgment, which cannot go far. Cars are different from mobile phones. The phone is “you carry the phone,” and you are its master, but the car is “the car carries you.” It carries the happiness of a whole family. The cost of trial and error of the vehicle is high. If there is a safety problem, there is no chance to try again, not to mention large refrigerators or televisions. After all, a car is a machine that travels at high speed on a public road.
Somebody asked how LS7 achieved its front dome view, heat insulation, and C919 models. Firstly, benchmarked with MODEL X, we found the best dome supplier overseas and discovered that MODEL X’s sun protection treatment was not sufficient. Through a series of efforts by SAIC, we found the domestic leading supplier, which is the supplier for the bullet train, C919, and glass of a domestic jumbo jet, and has special techniques. Due to the support of SAIC, we cooperated to produce this glass.>Q2: Will such a great car as the IM LS7 drive a group of domestic high-end suppliers to become world-class suppliers? What is the consideration behind the All-Star chassis?
Liu Tao:
Based on the advantage of SAIC Group’s system, IM Motors has a strong domestic high-end supply chain system. The world’s best car lamp company, Huayu Vision, the supplier of the world’s largest interior solution, Yanfeng, and NTN transmission shaft (with a market share of over 50% in China) are important industry endorsements that help create the strong product power of the IM LS7.
Currently, the most advanced car lamp comes from Huayu Vision. We have the advantage of priority use and there will be some protection. For example, DLP/ISC, are the most precise and smallest particle lamps in the industry.
Another example is Carlog, which is vehicle rule-level, has three cameras, 180 degrees, 4K, 150 million pixels. Shunyu specially set up a special research group for IM to overcome the development difficulties. There are many brands that also want to use Carlog system, but IM also has some protection.
Building a supply chain for an ultimate experience will elevate domestic suppliers to a higher level, which is certain.
For example, the dome glass not only needs to be large but also cannot be exposed to sunlight or heat. This is the most critical performance requirement. Such large curved glass needs integrated molding, and it is certainly challenging to overcome. Ordinary glass sinks naturally, and the mold relies on gravity to sink. The arc of the glass that can be manufactured is very limited. The front dome of the IM LS7 is not only large but also curved. The difficulty of manufacturing is extremely high, using the mold that increases heat pressure through natural sinking. An even greater challenge is the three-layer silver plating with nine layers of protective film. The hardness of the silver plating changes, and the pressure suppression challenge after glass heating will be very high…of course, once mastered, it will be a technological high point.
The IM LS7 has joined forces with not only domestic high-end suppliers but also world-class suppliers. Currently, some components rely on brand self-research, which is very risky. Taking air suspension as an example, why does IM spend a lot of money to purchase the air suspension system from Continental in Germany? The core lies in the large amount of algorithm deposition in the system.
Software algorithm deposition and hardware algorithm deposition are the same. Continental’s tire formulation has surpassed several hundred years of development, and its hardware logic has also undergone millions of kilometers and hundreds of vehicle models of verification. The air springs of domestic suppliers are also very good but they still don’t meet the requirements of this scale. Therefore, we would rather spend twice the price to choose the air springs of Continental from Germany. As a high-end luxury SUV that attaches importance to driving control in the 400,000-level, we must be responsible for the product and cannot deceive users. This is the bottom line of our values.Translate into Markdown English text without changing the HTML tags inside it, only output the corrected and improved parts, without any explanation.
Unlike mobile phones, the biggest barrier to entry in the automotive industry is the full custom integration of all systems. Germany Continental air suspension is based on 100+ years of understanding rubber, control, pressure, and there are many core patents. At the same time, closed and open air suspensions are two generations of products, and the price difference is logical. How to choose should be in line with the true characteristics of SUV. We have chosen a closed structure that has a fast adjustment speed, less affected by external factors, but higher cost. The closed adjustment speed only takes more than ten seconds, faster than the open speed, and not affected by weather, humidity, altitude and other factors.
For example, the battery is also very difficult. What kind of battery does the LS7 use for the same car model in the 300,000 price range? The entire series of CATL (joint venture between SAIC and Ningde Times) and the entire series of ternary lithium. Everyone knows that CTAL batteries must be top-notch. Although second- and third-line batteries have cost advantages, their technology level is still improving. Before they reach our standards, they can only be temporarily excluded.
> Q: The LS7 configuration of IM has indeed shown a high cost performance. I wonder how the pricing strategy of the LS7 is considered?
Liu Tao:
The most important consideration is certainly to face the market directly.
When users purchase vehicles, they mainly consider several dimensions: price, configuration, experience, and quality. In the product planning stage, we mainly think from the user's thinking of buying a car, fully consider according to the user's dimensions, and make in-depth benchmarking against competitors to form a probable product strategy.
The main consideration is twofold, first is user demand. Not simply analyzing "what configuration users want," but thinking deeply about "what kind of experience users want." For example, if users want to sit high, see far, and be safer, we will select key configurations based on this goal and build the product.
Secondly, in the process of product planning, the "product concept" in the initial stage is very important, which is the starting point of rational and emotional thinking.
For example, the concept of IM LS7 is the space yacht. Space has two meanings, one is space, and we want to create an atmosphere in the sky that requires vision, air suspension, zero-gravity seats, and even a steering wheel. We have even tried a scheme where the steering wheel completely recedes into the center console, and the parts have been made, but it was not ultimately used due to regulatory factors. There is also CMS (Camera Monitor System, electronic rearview mirror), and the parts have also been made. After everyone test-drives the IM LS7, you can observe that there is a reserved position above the front door panel for the deployment of CMS technology.
Another layer is space. We hope to extend the concept of multidimensional and variable space in-depth.
To cope with market competition, the coil must be rolled. However, the coil must have a fundamental thinking and do what needs to be done. For example, in terms of driving control, the coil of self-driving must be pushed to the limit, and it must be rolled until others can’t roll anymore. This is a tribute to professional driving skill.
Many brand people follow the trend and think that high-end cars must be equipped with air suspension, which can be said to be “ignorant”. The value of air suspension in cars is relatively small and will reduce the feeling of driving control. The core label of IM L7 is driving control. Therefore, we choose four-wheel steering instead of air suspension; On the other hand, in the LS7 luxury SUV model, the value of air suspension is maximized. This is where we want to roll and where we roll to the point, a professional coil.
What really needs to be done is the user experience. If the configuration is rolled, but the user experience is poor, it will definitely not work. To truly solve the pain points from the user’s perspective is the real solution.
Q5: From the launch event of the IM LS7, it seems that everything is the best. We think in reverse, this will make the price of the car too high, and many people will feel expensive. In addition, why is there such a big price difference between Pro and IM LS7 Lux?
Liu Tao:
The first is about cost. The automotive industry is a scale effect. If the volume is rapidly increased to an appropriate scale, the ability to adjust prices is also a strong market demand. On the other hand, high technology does not necessarily mean high price. It is essential to choose the right high-tech new technology suitable for this product, which will also increase the controllability of the price.
For example, the ultra-large front skylight glass of LS7 is indeed more expensive than ordinary glass, but if it is scaled, the cost will quickly come down.
Another example is the display screen. Because of previous cooperation experience, suppliers have more confidence in IM. They actively provide higher resolution, higher color resolution, and better interactive experience screen solutions, which are even lower in cost than before.
LS7 Pro is really worth it. Almost all systems are the most forward-looking, and the latest upgrades have been made for systems such as lidar, electric door, lighting, etc. Pro can be said to be the ultimate choice in the ultimate, tailored for users who like to explore and experience new technologies.
Overall, the cost of LS7 is definitely not low. We are truly conscientious in making cars. What we hope is that users can directly perceive the value of high-end configuration through the experience of IM LS7 and understand the value of IM brand that is difficult to return once experienced.> Q6: Building a valuable product is difficult, but it is even harder to demonstrate this value in the market. I think maybe it’s the biggest challenge we face regardless of whether we are proactive or not. What are your thoughts on this matter?
Liu Tao:
If we talk about pure product competition, it’s hard to compare since you have your own unique features and I have mine. Instead, let’s try to look at value from the user’s perspective.
Ideally, is a typical example. Not only does the product manager understand the user’s experience and feelings very well, but the execution is also very decisive. The supply chain is actually their weakness, but their ability to maintain a stable supply in such a short period of time is indeed impressive. However, from the user’s point of view, I think users are divided into different tiers. L9 currently has a large share of the market in China’s third- and fourth-tier cities, which are vast regions in the north. From the user’s perspective, there are two core purchasing logics: first, electric cars are still not friendly to the north’s winter, so models with internal combustion engines for extended range may be more popular; second, Ideally has a relatively high influence in third- and fourth-tier cities, and users who want to spend 400,000 yuan to buy a car may indeed consider Ideals first.
However, in first- and second-tier cities, users will want more and better choices. Users understand that, in a sense, simply having all the features doesn’t necessarily mean the car is top-notch. “Having” doesn’t mean “good,” and “having everything” certainly doesn’t mean “having the best in everything.” For example, air suspension costs twice as much as the ones produced domestically in Germany; Bose is not the best in terms of car audio systems. Someone who truly understands will know what it means to have seismic and magnetic suspension, which has many levels, and the people who really know their stuff will understand. I think leading consumption, especially in first-tier cities, still requires buying the top configuration rather than the full configuration.
Ideally’s brand positioning is a luxury electric vehicle, and we must have the top configuration. We provide “Experience-First Targeted Coupons” to our users using our expertise. For example, computing power is actually a very core product value logic. Is having four Orin chips necessarily better? Today, simply stacking computing power cannot solve the user experience pain points. Stacking computing power may impress those who don’t understand it, but it comes at the cost of electric energy consumption; if the communication between boards is not solved properly, it will bring enormous challenges to data and software, causing more pain points for the user experience. Therefore, reasonable targeted coupons, coupons focusing on user experience, are the real solution.
Q8: Carlog for Idealy may be a high-level configuration feature. Everyone is using promotions, targeted ones, professional ones, and only we have it. Can Idealy set up a one-click sharing function for video platforms that only exist as a value-added feature of upgrading configurations? Does Idealy have any considerations for this, or any operational ideas in the future?## Liu Tao:
Concerning the development of Carlog, trends represent the most magical force behind it, and no one can stop it. In reality, the two-hour driving period is a social vacuum during which it is difficult to have good interaction through media or video. What would the experience be like for today’s video age or post-video age when you shoot a video and share it? We believe that when you are playing with Carlog in Tibet and want to share it with your family, you can share the real-time scenario of your playing in Tibet from the first person perspective. This is a very important future system based on in-vehicle socialization, including mobile phones. Of course, sharing loops are also important, but increasingly more design concepts are in this direction. The development is step by step, and several small steps are required before reaching that level. To this end, we have made sufficient technological preparations. The 180-degree ultra-wide angle and triple-camera of Carlog will undoubtedly make sharing during the driving process more secure, more elegant, and more personalized. I believe that the socialization platform of the future has enormous potential.
The user experience is always the most direct perception. Currently, sharing Carlog within the APP ecosystem is ok, but sharing it on Douyin or Video Number is difficult because of platform limitations. Although we can spend more costs to resolve the issue, ultimately when the ecosystem gets underway, they cannot keep us from satisfying the creative desires of automotive mobile media. Although today is a spark, it has not yet formed a prairie fire. I believe there will be more manufacturers that will be willing to develop proactively.
Q9: L7 is a mid-large sedan, and LS7 is a mid-large SUV. Are there any smaller products? Can you reveal the positioning and launch time of the new car?
Liu Tao:
In the second half of this year, we will still launch a brand-new mid to large-sized SUV, which is positioned against the Model Y. Other more compact models also have corresponding plans. The third and fourth models are mainly positioned against the Model Y and Model 3, respectively; the fifth model is more about thinking and finding solutions for the future.
Q10: The LS7’s front passenger position eliminated the glove compartment so that the seat could be folded and put in. As a state-owned enterprise, this kind of innovation is very bold. What is the thinking and the story behind it?
Liu Tao:
First of all, our company, although backed by a state-owned enterprise, has 100% complete independently operating rights.
Translation
Next, innovation is like a balance that requires a careful balance between trade-offs. When considering the folding seats and the removal of the glove box, the main goal is to strike a balance between two options.
When we can truly make the seats in the concept car fully foldable, the entire space will be completely transformed and redefined in a magical way. The benefits derived from this far outweigh the loss of a glove box. Besides, I can fully utilize the central armrest, the mysterious space beneath the rear seats, the second layer of the trunk, and the storage box beneath the screen, which completely surpasses the value of a glove box.
The design of the folding front passenger seat was set as a core product direction 24 months ago. On the one hand, this is in response to user’s demands, and on the other hand, it is a core concept of the overall product, which is to create a scenario-based experience of the front and rear space occupied by the right-hand passenger and the zero-gravity rear seat. We did several things:
Firstly, creatively equipped a set of SUV’s longest electric slide rails ever seen in the passenger compartment on the right side, which measures up to 1,955 mm in length, and opens up the layout to form a cross rail for the front and rear seats.
Secondly, in order to tuck the front passenger seat under the glove box, we cancelled the glove box on the one hand, and made some special designs for the CCB (Cross Car Beam) on the instrument panel to free up space on the other hand.
This was a difficult task to carry out, but from the perspective of the project, it was a decision that was made at the core of development, and all product development was done around this. Once the decision is made, we will commit to it and make it happen.
Q11: What is the current situation of blind orders and locked orders for IM LS? What is the current production capacity and can it guarantee user delivery in the future?
Liu Tao:
First of all, on the blind order situation: when the IM LS7 was unveiled on December 20, it already reached 3,000 units of blind orders within one hour; and as of yesterday, the order volume has exceeded 12,000 units. In addition, last night’s order situation exceeded our expectations again. The official website and app were under great pressure within a short period of time, indicating that users are very concerned about the LS7.
In terms of production capacity, this is probably the most confident thing for IM. SAIC produces and sells six to seven million vehicles annually, and its supply chain capability ranks among the top globally. Many leading factories, including Huayu Automotive, have given a green light to IM’s cars, and are providing the best resources to IM.
Q12: Many brands have some brand tags in users’ minds, such as NIO’s lifestyle. What brand tags does IM want to imprint on users’ minds? In addition, has there been any change in users’ perception of the brand since it was established?## Liu Tao:
Mobile phones and the Internet are markets dominated by strengths, but in the automotive industry, each panel must be long, and each brand must have its own super-long panel.
For the Ji-Intelligence (Ji) brand, this super-long panel must be “driving control,” and it must be the driving control of the new world. The requirements of driving control for electric cars are actually very high. If the driving control experience of an electric car is good, it will be difficult for users to return to gasoline cars after using it, which is the difficulty to return once used. But if an electric car cannot handle the power of a supercar smoothly, it is better to let users go back to gasoline cars. “Driving control” is also the core tag of Ji LS7, a mid-to-large luxury SUV. It can stimulate users’ desire to explore and conquer, allowing them to appreciate the beauty of mountains and rivers while also providing good off-road performance on poor road conditions. It can even handle the air suspension on the Qinghai-Tibet Plateau, which is the underlying logic and uniqueness of Ji LS7.
Regarding users’ perceptions, let me give an example. We were deeply moved by a user of Ji L7, a woman in her 40s from Shandong Province who had studied in Germany. She said that this car was designed with masterful proportions at a glance. Another aspect is the tuning, with track-like feeling that is one in ten thousand by top masters worldwide. We chose a difficult and correct path for driving control because of the high cognitive threshold. It requires experiencing the race track, and even a long and profound experience with the car before users can understand the best value of this car. We are moved by the fact that car-savvy users truly understand and appreciate Ji, and promote it effectively.
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.