Lead

'Convergence' and 'divergence' have opposite definitions but are not necessarily contradictory, especially in the current era of accelerated development of new automobiles and the new 'four modernizations'. No automaker dares to go against the trend. 'Preserving commonalities, highlighting individuality, and shaping a brand' has become the goal pursued by many manufacturers. However, achieving a balance between 'sameness' and 'difference' is a technical skill.

Produced by | Heyan Yueche Studio

Written by | Yun Li

Edited by | Hezi

Total 2284 words

4 minutes to read

Following the launch of the Roewe D5X DMH, Roewe has recently embarked on a nationwide tour of deliveries.

Vehicle deliveries were once mundane events, often adorned with flowers, ribbons, red carpets, and other formalistic decorations. For new car owners, these ceremonies were more about ritual than substance. Such deliveries were straightforward and efficient, allowing dealers and owners to get right to the point without unnecessary formalities. To this day, 'flower presentation' and 'group photo' remain the mainstay of new car deliveries.

△Roewe D5X DMH has recently embarked on a nationwide tour of deliveries

However, with the advent of new automobiles, deliveries have evolved into elaborate spectacles, offering refreshing variety but gradually diluting their authenticity. Whether this is good or bad is debatable, but one thing is certain: the grandeur of these ceremonies reflects deeper considerations and inclusions.

'Convergence' Reflected in Delivery Ceremonies

The delivery ceremony for the Roewe D5X DMH in Shanghai gathered representatives from the city's first batch of car owners. The event featured creative craft activities, check-in stations, and more, creating a relaxed atmosphere reminiscent of a car enthusiasts' gathering. The delivery ceremony transformed into a sense of belonging among car owners, further validating their purchasing decisions and fostering a sense of product loyalty.

From an effectiveness standpoint, transforming mass delivery ceremonies into car enthusiasts' gatherings has transformed them into carriers for consensus-building and continuous promotion.

△Roewe D5X DMH delivery scene in Shanghai

The combined momentum generated by the manufacturer and car owners undoubtedly pushed the event to new heights, with the product highlights of the Roewe D5X DMH being emphasized repeatedly. For instance, the vehicle employs a VGT variable geometry turbocharger, EGR exhaust gas recirculation technology, and deep Miller cycle technology, all of which share a technical heritage with the Porsche 911 (according to official sources). Its engine boasts a peak thermal efficiency exceeding 43%, operating in its most fuel-efficient range for 80% of the time. In the 'Extreme Heat Marathon – 2000km Plug-in Hybrid Endurance Challenge,' it achieved a real-world combined range of 1748km and an average fuel consumption of 3.4L per 100km, outperforming popular vehicles of the same class and type. Additionally, it features a cage-type body structure, with 79% high-strength steel and 44% ultra-high-strength steel. The Roewe D5X DMH also supports 6kW of external power supply, compatible with various high-power outdoor equipment.

Judging from the manufacturer's sustained output, the delivery ceremony resembled a meticulously planned product promotion session. The Roewe D5X DMH took center stage, while car owners, who should have been the protagonists of the delivery ceremony, inadvertently played supporting roles. These new car owners became vital elements in the Roewe D5X DMH's quest for popularity and continuous buzz generation, revealing the commercial essence of mass deliveries.

After competing on product innovation, the industry has shifted to competing on format. 'Complicating simple tasks' and turning 'deliveries' into a new business have become new trends and customs, with more and more brands following suit. Quantifying the substantial impact of such grandiose delivery events on boosting sales is challenging, but when elaborate delivery activities become a trend, automakers must ponder whether to join in or stay out.

△Delivery ceremonies complicate simple tasks

Does Roewe Have Independent Thoughts Beyond the Industry?

From Roewe's perspective, delivering vehicles with flair does not necessitate a large-scale production. In fact, according to the manufacturer's data, cumulative sales of the Roewe D5X DMH in Shanghai have just surpassed 100 units since its launch. From a market perspective, regional sales are still in their infancy. So, does Roewe have independent thoughts beyond the trend of elaborate deliveries?

Throughout the event, Roewe demonstrated a commitment to 'service enhancement.' Staff responsible for the delivery process arrived early and meticulously controlled each aspect to ensure professional service standards. From vehicle inspection to function demonstrations, Roewe staff addressed every detail of the delivery process. The manufacturer emphasized, 'Roewe is fulfilling its promise of 'everything for the customer,' striving to provide high-quality service experiences throughout the entire vehicle lifecycle, from purchase to usage.'

'Delivering exceptional service throughout the entire process' is Roewe's manifestation of 'divergence.' In an era of severe product homogenization and increasing service value, refining services while creating quality vehicles is more conducive to shaping a brand's core competitiveness.

△Roewe prioritizes 'service' in its marketing

What sets Roewe apart from many other manufacturers is its ability to excel both superficially and substantially.

Roewe repeatedly mentioned its status as a 'national automobile manufacturing team,' believing this label better prompts it to fulfill its national responsibilities and uphold its commitment to 'not exploit customers or backtrack on promises.'

The 'Super Safety Commitment' launched by SAIC Roewe on July 4th was reiterated at the event. Core benefits like 'burn damage compensation with a new car within 20 working days,' 'lifetime warranty on battery, motor, and controller, regardless of the first owner or annual mileage,' and 'service policies benefiting all new and existing car owners, including Roewe D5X DMH, Roewe D7 EV, Roewe D7 DMH, and Roewe iMAX8 EV,' solidify new energy vehicle owners' usage guarantees. Roewe avoids wordplay and genuinely addresses users' concerns and pain points.

Undeniably, Roewe pursues independent branding and differs from private capital in automobile manufacturing. It maintains its original aspiration in product development and service creation, truly achieving a balance of sameness and difference.

△Roewe achieves a balance of sameness and difference

Where is Roewe's Breakthrough Point?

Roewe has achieved a fusion of 'convergence' and 'divergence,' but even so, how can it break through the 'sales bottleneck'?

In the first half of 2024, Roewe sold a total of 61,616 new vehicles, with an average monthly sales figure exceeding 10,000 units, which is not too shabby. However, individual vehicle sales reveal structural issues in Roewe's sales efforts. Among them, the Roewe i5 contributed 23,348 units, while the Roewe D7 accounted for 18,643 units. Among the remaining models, only the Roewe RX5 with 6,563 units and the Roewe i6 MAX EV with 5,009 units performed relatively well.

Except for the RX5, which still has a significant share of private car sales, the models with decent sales figures heavily rely on the Shanghai market, ride-hailing services, and B-end users.

△Where is Roewe's breakthrough point?

In other words, the number of effective retail orders for private customers in Roewe's first-half sales was limited, and its top-heavy sales structure lacks long-term sustainability. Moreover, it is challenging to establish stable sales outside Shanghai, making Roewe appear relatively passive.

Commentary

Given the current era and policy environment, automakers must follow trends while fostering unique product strengths. Even state-owned automobile manufacturers, which face open competition amidst ongoing state-owned enterprise reforms, must do so. SAIC Roewe is no exception. While integrating into the broader environment, maintaining one's true identity and independent thinking are fundamental principles for Roewe. However, what Roewe needs now is to establish a solid foundation and find a breakthrough point for sustainable and healthy development.

(This article is originally written by Heyan Yueche and cannot be reprinted without authorization)