Hello, who focuses on the concept of sharing, wants to leverage the two wheeled electric vehicle market of 100 billion yuan. On April 7, hello officially launched three private brand two wheeled electric vehicles, as well as the operating system vvsmart on the two wheeled electric vehicles. In fact, it’s not new for Internet companies to build cars, but Hello is the only Internet travel company that goes deep into two wheeled electric vehicles. With the limited travel market of halo and orange group, travel space can be expanded. In contrast, the market size of electric two wheeled vehicles has exceeded 100 billion yuan in 2020. The market has been controlled by traditional enterprises such as Yadi and Emma for many years. At the end of the transition period of over standard vehicles in many provinces and cities, hello focuses on Intelligent innovation strategy, which may make “stable pattern of electric two wheeled vehicles” become a question.
Make both software and hardware
“New travel dares to build” is the slogan of “build a car” called by hello on April 7. This “build” refers to the launch of its own brand electric two wheeled vehicle. Users can place an order online and pick up the car offline on the Hello app.
Before releasing the vehicle, hello spent a lot of time introducing his operating system vvsmart. Chi Xingde, general manager of Hello electric vehicle business unit, said frankly that compared with electric vehicles, home appliances and mobile phones, electric two wheeled vehicles are less intelligent. The traditional two wheeled electric vehicle industry lacks a bottom OS, each brand product is still in the stage of “single machine, functional machine”, and the overall intelligent penetration rate of the industry is less than 5%.
According to Ma Tianchi, product manager of Hello electric vehicle, vvsmart provides five travel solutions to improve the pain points of users in the five fields of human vehicle interaction, vehicle energy, vehicle safety, after-sales service and travel life. In the future, hello vvsmart system will not only be applied to its own products, but also be open to other brands in the industry.
It is worth noting that in the aspect of human vehicle interaction, hello electric vehicle can realize the induction start of mobile phone and vehicle, display speed, power, mileage and other running states, and also support map navigation, playing music, voice interaction and other functions; in the aspect of endurance, it is equipped with Ningde era g58 large cylindrical battery to improve the endurance of electric vehicle; in the aspect of safety, it can use mobile phone a PP or SMS synchronous battery, vehicle tracking and other early warning.
For the typical Internet enterprise strategy of intelligence and openness, people in the industry have different opinions. Wang Chao, the founder of Wenyuan think tank, told the Beijing Business Daily that “intelligence is a bonus for enterprise competition, but it is difficult for electric two wheeled vehicles to realize intelligence in this market at once.”.
From the perspective of newcomers, intelligence is the tacit choice of technology companies. Founded in 2014, calf electric defines itself as a provider of intelligent city travel solutions, providing intelligent security, intelligent inspection and other functions.
On the other hand, the traditional brand of electric two wheeled vehicle still takes the traditional route, emphasizing the battery life, the number of patents and distributors. Because of the tradition, Wang Chao even thinks that electric two wheeled vehicle is a price sensitive industry with weak brand effect.
Target stock replacement period
Compared with the hot four-wheel car manufacturing in recent years, the two wheel electric vehicle industry is slightly low-key and has received little attention. However, according to the public data of the bicycle association, domestic users of two wheeled electric vehicles are 300 million, and the frequency of sunrise is about 700 million, which can be called the travel market with the highest frequency and the largest demand. The well-known listed enterprises in the industry include Yadi, calf, etc.
“No matter what specialty each family has, for traditional brands and Internet forces, recent years are a good time to launch the electric two wheeled vehicle market.” Li Jinqing, an analyst at Bida consulting, told Beijing Business Daily that his reason is that the next few years will be the replacement period for the stock of electric two wheeled vehicles.
In April 2019, with the launch of the new national standard for electric vehicles, various provinces and cities have successively issued transitional policies for vehicles exceeding the standard. After the transitional period, vehicles exceeding the standard will be scrapped or replaced at a discount. The transition deadline of big cities and coastal provinces is concentrated at the end of 2021, while the second tier cities in the mainland are concentrated around 2022-2023. According to some data, the replacement demand of the new national standard will reach the peak in 2022-2024, and the whole country will usher in a wave of intensive vehicle replacement peak.
According to the prospective industry research institute, the number of electric two wheeled vehicles in China is more than 300 million, of which about 100 million exceed the national standard. According to the policy of transition period and the comparative estimation of electric vehicle ownership in various provinces and cities, it is estimated that the increment of electric two wheeled vehicles driven by the new national standard will be 15 million, 25 million, 30 million and 25 million respectively from 2021 to 2024.
But the market is not only the dividend brought by the new national standard. In 2020, the revenue of electric two wheeled vehicles will maintain double growth, and the unit price and gross profit rate will decrease.
In 2020, Yadi achieved revenue of 19.36 billion yuan, a year-on-year increase of 61.8%; net profit of 960 million yuan, a year-on-year increase of 89.6%. The unit price of main products has declined to varying degrees, among which the average price of electric scooter has decreased from 1690 yuan in 2019 to 1552 yuan in 2020, and the average price of electric bicycle has decreased from 1228 yuan in 2019 to 1118 yuan in 2020. Yadi’s gross profit margin fell by 1.5% from 17.4% in 2019 to 15.9% in 2020.
The revenue scale and net profit of calf electric are much lower than that of Yadi. In 2020, calf Electric will achieve a revenue of 2.44 billion yuan, a year-on-year increase of 17.7%, and a net profit of 169 million yuan.
Sharing is not fun
Focusing on Hello itself again, as an Internet company, the difference of Hello’s car making lies in its understanding of products, hoping to define hardware with software. In the manufacturing sector, hello told Beijing business daily, “we have made up the capacity of the production chain by ourselves, built an electric two wheel lathe factory, and cooperated with partners at the same time. To build the factory, we are considering exploring the digital direction of the production chain.”. However, the person did not disclose the investment scale of hello in the whole electric two wheeled vehicle project.
Wang Chao told Beijing business daily, “OEM is the simplest, but Hello is a company with refined operation. He wants to wring water from the towel. Go deep into the manufacturing process, easy to control, can reduce costs.
But on the other hand, harrow, an Internet entrepreneur, is not good at hardware manufacturing. For this reason, companies such as Baidu and Huawei focus on software. In this regard, Wang Chao believes that “compared with electric vehicles, electric two wheeled vehicles are much simpler, and there is a lot of room for in-depth operation of the Internet. Even if you build your own factory, the investment is not as big as making cars. On the whole, the competition of electric two wheeled vehicles is not as fierce as that of electric vehicles, but it is more difficult to change the pattern. “.
As for the positioning of Hello, it is still a mobile travel platform. Users are more familiar with bike sharing, bicycle sharing, free riding and other travel services. With the addition of the identity of two wheeled electric vehicle manufacturer, perhaps users’ cognition will change.
It has also been pointed out that another dimension of Hello’s advantage is that, as a player of the “Ali” camp, the electric vehicle products launched by Hello may be sold through the take out platform with strong demand, so as to realize the synchronous sales of b-end and C-end.
“In fact, meituan bicycle, Qingju and hailaozao are not only concerned about sharing bicycles on a track, they are more like businesses under big groups, cooperating with big groups to do traffic entry and make up for business shortcomings. Compared with the other two, hello is more independent and has been trying to advance from the sinking market to the first and second tier cities. But compared with the barbaric growth period of bike sharing, the expansion speed of each company has slowed down after the release of the ban on investment, and we are more concerned about horizontal expansion. ” Li Jinqing said.
Beijing Business Daily reporter Wei Wei
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