In the past, automakers extensively deployed across multiple segments to capture market share, ranging from low-end to high-end vehicles, from internal combustion engine (ICE) cars to new energy vehicles (NEVs), and from A0 compact cars to MPVs. As the automotive market accelerates its internal competition, the incremental market strategy of "having more children to fight better" has come to an end. The benefits from automakers' large-scale expansion have been continuously eroded by repeated investments and resource wastage, gradually exposing the shortcomings of bloated organizations and overlapping investments. Automakers that have "branched out" in their product matrices are now strategically reducing homogeneous brands, shifting resources to advantageous brands, and initiating a centralized combat mode. Recently, automakers such as Geely, Great Wall, SAIC Volkswagen, and SAIC-GM have optimized and consolidated their brand layouts, embarking on a path of "subtraction".

1 Geely Holding Merges Lynk & Co. into ZEEKR

One of the most talked-about brand mergers recently is the integration of Lynk & Co., a subsidiary of Geely Holding, into ZEEKR. An Conghui, CEO of ZEEKR, stated that competition and overlap in pricing, operations, and investments between the two brands have led to internal strife and external criticism. Although Lynk & Co., as Geely's premium brand, was established earlier, its market prospects for both ICE and pure electric vehicles remain uncertain. Only the Lynk & Co. 07 and Lynk & Co. 08 EM-P hybrid models are relatively popular. Subsequently, Geely positioned ZEEKR as its mid-to-high-end market player focusing on intelligence, outperforming many new energy vehicle startups due to its smart driving and user experience that better meet market demands.

An Conghui noted that after the integration, the dual-brand strategy will be maintained to maximize market coverage. However, there will be a reconfiguration of models and energy solutions, with a clear division of labor. Additionally, Geely Holding has optimized the shareholding structure of Lynk & Co., with ZEEKR now holding 51% and the remaining 49% retained by Lynk & Co. In terms of model planning, ZEEKR will focus on mid-to-large vehicles, with medium-sized vehicles emphasizing pure electric and large vehicles emphasizing hybrids. Lynk & Co. will primarily target small-to-medium vehicles, with small vehicles focusing on pure electric and medium vehicles on hybrids. In fact, as early as February this year, Zhejiang Jirun, a subsidiary of Geely Automobile, sold its 45% stake in ReBlue to Geely Qizheng. This asset transfer is likely aimed at better synergizing with Geely Qizheng's Yiyi Interconnection Technology Company in developing battery swapping services.

In October, Geely's premium pure electric brand Geometry was merged into the Yinhe brand due to factors such as lower-than-expected market performance and persistently low sales, existing as a sub-series of smart, high-quality compact cars under the Yinhe brand.

In November, media outlets reported that Geely Holding's new energy pickup truck brand, Radar Auto, would be integrated into the Geely Auto Group. Radar Auto will become a first-tier organization within the Geely Auto Group, with its head, Ling Shiquan, reporting to Gan Jiayue, CEO of Geely Auto Group. Following Radar, the joint venture brand Yizhen Auto will also be integrated into Geely Auto, although Geely has not yet responded to this rumor. It's worth noting that Geely Group has numerous passenger vehicle brands, including Geely, Volvo, Polestar, Lotus, Geometry, Yinhe, ZEEKR, Lynk & Co., and LEVC (Yizhen Auto), often joked by outsiders as "having more children to fight better." With the current slowdown in market growth, the multi-brand strategy struggles to achieve differentiation, leading to resource waste. Brand integration helps reduce internal consumption and avoid self-competition in the market.

2 R Auto Returns to Roewe

In October, SAIC Passenger Vehicle also announced that R Auto, which spun off from Roewe three years ago, would return to the SAIC Roewe brand. According to the plan, R Auto and IM Motors will serve as the "binary stars" for SAIC Motor to compete in the high-end new energy vehicle market. However, R Auto has struggled to break through in the electric intelligent race since going independent, with sales of its two models, the R Auto F7 and R Auto R7, facing difficulties. Earlier, R Auto was also hit by negative news such as layoffs, salary reductions, and the disbanding of its intelligent driving team. Currently, SAIC Passenger Vehicle has officially initiated the integration of R&D, marketing, customer service, and other dimensions between Roewe and R Auto. Additionally, 35 Roewe dealerships and 12 R Auto dealerships have been integrated into Roewe-R Auto dealerships.

3 Ora Migrates to Great Wall

In the same month, Ora, a subsidiary of Great Wall Motor, announced that the Ora APP is expected to cease operations by the end of December, with related service functions migrating to the Great Wall APP. Industry insiders analyze that this may be due to Ora's poor sales and profitability over the past two years, as well as considerations of cost reduction. Integrating apps helps save operating funds and management costs. Besides the APP migration, Ora also shares sales and after-sales channels with other Great Wall Motor brands. It is reported that some Haval dealers in certain regions have started selling Ora Hao Mao models, with after-sales maintenance also conducted at the same stores. Industry insiders analyze that the integration of Ora and Haval channels is a signal of brand integration.

4 Skoda Jointly Operates with SAIC Volkswagen Dealers

Apart from Ora being integrated into other Great Wall Motor brands for sales, the joint venture automaker SAIC Volkswagen has also included Skoda in its dealership network. This "joint operation mode" is primarily promoted in areas not yet covered by Skoda's network channels, with existing dealers maintaining independent operations, aiming to enhance Skoda's market coverage. Previously, Skoda strategically contracted its Chinese automotive business, with production, channels, and brand operations being integrated into the SAIC Volkswagen system for overall coordination. In terms of production lines, Skoda shut down its first plant in Anting, Shanghai, and now shares the Changsha and Nanjing plants with SAIC Volkswagen. Regarding dealer networks, most of Skoda's distribution channels have been integrated into SAIC Volkswagen, operating in a "store-in-store" format. Sales, maintenance, financing, and other services are all handled by SAIC Volkswagen, with Skoda-related businesses and employees also entering the SAIC Volkswagen system.

5 Chevrolet and Buick Merge Sales Networks

SAIC-GM, another joint venture brand under SAIC, is also facing rumors of brand integration. Recently, there have been persistent rumors of "GM selling Buick to SAIC and Chevrolet exiting China" and "the possible merger of Buick and Chevrolet dealer networks, likely to be called the 'Buick-Chevrolet Business Unit.'" However, Lu Xiao, the new general manager of SAIC-GM, stated that speculations about the future of Buick and Chevrolet brands are merely rumors. Recent media visits have revealed that Chevrolet dealers in Tianjin have already merged their sales with Buick dealerships due to capital chain shortages. Sales figures do not lie; according to statistics, Chevrolet's cumulative sales this year have fallen to 41,531 units, with only two new energy vehicle models suitable for the market. With ICE vehicles unsellable and new energy vehicles receiving little response, SAIC-GM still favors Cadillac and Buick brands in both new energy research and development and marketing strategies. Coupled with SAIC Motor's gradually declining market performance, it is already overwhelmed.

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