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The price is on sale! Zero-running car purchase policy when pushing the limit

2024-04-22 Update From: AutoBeta NAV: AutoBeta > News >

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AutoBeta(AutoBeta.net)03/03 Report--

After ideal car and Tesla opened the new year's time-limited car purchase discount, zero-running cars also started time-limited car purchase activities. As can be seen from the official posters, the event can enjoy a discount of up to 17000 yuan, involving C11, C01, T03 and other models.

The specific activities are: from January 10, 2024 to January 31, 2024, buy 23 C11Magi C11 Super extended range, 23 C01 C01 Super extended range and other models, pay 5000 yuan deposit can enjoy 5000 yuan cash discount, up to 5000 yuan optional fund, 30000 Mall energy points and up to 8000 yuan financial discount. The biggest discount is the purchase of C01 pure electric 717 smart version can also have an exclusive 12000 cash discount, combined with a maximum discount of 17000 yuan. In addition, the official also launched a test drive success gift, transfer to introduce the success gift and other time-limited rights.

In fact, zero-running cars have been offering time-limited discounts frequently since last year. The most recent offer was on December 1 last year, when officials celebrated the eighth anniversary and launched a discount. During the period from December 1, 2023 to December 31, 2023, you can enjoy a cash discount of 5000-17000 yuan for placing orders. Specifically, users can enjoy a cash discount of 5000 yuan for the purchase of 2023 zero-run C11 pure electric, C11 extended C01 pure electric and C01 extended-range car models and a maximum of 5000 yuan optional fund. If you choose to book the 717 Smart Edition, you will be able to enjoy a cash discount of 17000 yuan. Zero running T03 can enjoy a cash discount of up to 10,000 yuan. From September to October last year, zero-running cars also introduced a time-limited preferential subsidy of up to 10,000 yuan for zero-running T03 models. After the comprehensive subsidy, the price of zero-running T03 models was as low as 49900 yuan.

Of course, the frequent introduction of time-limited discounts for zero-running cars has something to do with the fact that car companies are starting a price war. After all, since Tesla fired the first shot at a big price reduction at the beginning of last year, the "price war" in the automobile market has also been opened, and more and more car companies have joined the price war. In 2024, the price war has not stopped.

Tesla opened the time-limited welfare again on January 1st. He can get an insurance subsidy of 6000 yuan to buy a Tesla Model 3 rear drive car, and before the end of January to buy a Model 3 drive car, the maximum discount can be up to 22000. As a reference, the original price of the Model 3 rear-drive version starts at 261400 yuan, but it costs 255400 yuan to pick up the car before the end of January. In addition, even the ideal car, which has not cut prices, has launched discounts for 2023 models. As for the price reduction, ideal car responded to the price reduction in order to start the transition of product renewal ahead of time.

In addition, the price reduction of zero-running cars has something to do with its own desire to increase sales. As a second-tier new power brand, the cumulative sales of zero-running cars in 2023 reached 144155, an increase of 29% over the same period last year. It is worth noting that although synchronous growth has been achieved, it still falls short of the official target of 200000 vehicles a year, with an annual sales target of only 72 per cent.

At the same time, zero-running cars, like most of the new car-building forces, are still losing money. Relevant data show that the operating losses of zero-running cars from 2019 to 2022 are 730 million yuan, 869 million yuan, 2.868 billion yuan and 5.109 billion respectively, with a total loss of 9.576 billion yuan in four years. The latest figures show that zero cars posted a net loss of 986 million yuan in the third quarter of last year.

Zhu Jiangming, CEO of Zero cars, said at the earnings briefing that with the continued implementation of cost reduction measures and the growth of sales, the manufacturing costs of Zero cars still have room for continuous decline, and the gross profit margin is expected to improve to some extent in the fourth quarter of 2023. At the same time, it also said that for zero-running cars, sales are the most important, hoping to balance the relationship between gross margin and sales. This year, we will strive to sell 30,000 vehicles a month, with a target gross profit margin of between 5% and 10%.

Although the price reduction can bring a certain increase in sales, but with the increasingly fierce competition for new energy vehicles, in order to maintain high-quality growth in the highly competitive car market, we have to fight a value war in the end. In the follow-up, whether zero-running cars can stand out in the price war remains to be seen.

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