02/27 2025
581
Will it finally break through this time?
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On February 25th, Ideal Auto officially unveiled the exterior design of its maiden pure electric vehicle, the i8, marking the commencement of the company's renewed offensive in the pure electric segment following the success of the MEGA.
So, how does Ideal Auto plan to navigate the luxury pure electric market? Are there any successful precedents worth emulating?
At present, Tesla stands as the sole trailblazer in the luxury pure electric arena, having sold 1.79 million vehicles globally last year, unequivocally leading the pack.
The performance of traditional luxury brands like BBA in the pure electric market has been less than stellar. They've resorted to price cuts to boost sales, yet faced issues like spontaneous combustion, tarnishing their brands.
Among domestic new luxury brands, besides Zeekr and NIO, the rest have delivered average performances. Last year, both Zeekr and NIO sold 220,000 vehicles, with Zeekr narrowly edging out NIO.
Zeekr's success is largely attributed to the Zeekr 001, a shooting brake. Its upcoming model, the Zeekr 007GT, is poised to make its debut, with Zeekr vowing to focus on shooting brakes for the next century.
NIO's success speaks volumes, backed by its innovative battery swapping technology.
However, strictly speaking, Zeekr and NIO can only be considered "moderately successful" due to certain limitations in their development models.
Other domestic new luxury brands have largely failed in the luxury pure electric market, such as LanTu and AVIATAR, which have primarily relied on hybrid vehicles for breakthroughs.
Even strong players like Huawei Auto have struggled to crack the pure electric market, also relying on extended-range vehicles for advancements.
As for Xiaomi Auto, while its current SU7 model has performed well in the market, and the upcoming YU7 garners high expectations, the accompanying plagiarism accusations have somewhat tarnished its image.
So, how does Ideal Auto intend to play its hand this time around?
Regardless of the technical route, as the currently top-performing domestic new luxury brand, Ideal Auto's strategy in the luxury pure electric market is of utmost interest to all stakeholders.
According to Electric Drive's observations, from the 25th to the 26th, Ideal Auto hinted at at least five key actions:
First, Strengthening Marketing
Those in the new energy vehicle industry understand the importance of marketing.
In the past six months, Li Xiang has only posted five Weibo updates, one about Ideal Auto's 5 million yuan donation for the Tibetan earthquake, and the other four in the past two days, three of which focused on the i8, and the remaining one comparing Ideal AD Max V13 with Tesla FSD V13.
This synchronized effort extends to other platforms, including WeChat.
In summary, these operations have effectively captured public attention, ensuring a strong start for the i8.
Ideal Auto has always excelled in marketing, a rare talent. While this has made its models well-known, ultimate sales success hinges on product strength.
Additionally, the other four updates contain deeper implications, which we will delve into later.
Second, Adjusting Posture and Expanding Mindset
Historically, domestic new luxury brands have often displayed disdain towards Tesla, the market leader in luxury pure electric vehicles, to assert their superiority.
However, Li Xiang and Ideal Auto are the exception, adopting a humble approach.
"Friendly communication between auto companies is crucial!" Li Xiang revealed on the 25th, "Initially, the Ideal i8 was set to be unveiled on February 27th. Upon learning that Xiaomi's 'Double Ultra' launch event was also scheduled for the 27th, to thank Lei Jun for his past support and avoid any misunderstandings, we chose to 'make way' for Xiaomi's event after consulting with them."
Li Xiang's gesture was met with Lei Jun's gratitude.
Lei Jun responded, "Thank you, Li Xiang. I wish the Ideal i8 great success! Together, Xiaomi and Ideal will propel the development of pure electric vehicles in China."
On the 26th, Li Xiang further shared, "Eleven years ago, I received the key to the Model S P85 from Elon Musk, becoming one of the first Tesla owners in China. Tesla has always been our benchmark in smart electric vehicles, demonstrating advanced capabilities in electric technology and intelligence, and seriously investing in global charging infrastructure to address user charging challenges."
Simultaneously, Ideal Auto's official WeChat post on the 26th about the i8's side view directly referred to Tesla as a "good role model."
Regarding Ideal Auto's wave of friendly interactions, Tesla has yet to respond. It's a pity that leaders of Chinese and American new energy luxury auto brands missed this opportunity for engagement.
In essence, whether making way for Xiaomi's launch event or paying tribute to Tesla, Ideal Auto has maintained a humble posture in the luxury pure electric market, showcasing a broad mindset.
Specifically for the i8, Ideal Auto aims to learn from Tesla with humility and create its first pure electric SUV from scratch.
Third, Enhancing Infrastructure
To succeed in the pure electric market, especially the consumer segment, addressing user charging concerns, commonly known as infrastructure, is imperative.
Past interviews with Li Xiang reveal that when Ideal Auto first ventured into the pure electric market with the MEGA, infrastructure wasn't a top priority.
After reflection, Ideal Auto accelerated its infrastructure development.
As of February 23rd, Ideal Auto's supercharging network comprises 1,862 stations nationwide, covering 31 provinces, 214 cities, and 9,940 charging piles.
From February 10th to February 23rd, Ideal Auto opened 12 new supercharging stations and added 74 new charging piles.
Li Xiang revealed yesterday, "By the time the Ideal i8 launches, our goal is to establish over 2,500 self-operated supercharging stations and over 15,000 supercharging piles nationwide, ensuring our pure electric users can roam without charging anxiety."
Fourth, Advancing Autonomous Driving Technology
It's no exaggeration to say that advanced autonomous driving is the most valuable product strength in the current new energy luxury market.
For Ideal Auto to penetrate the luxury pure electric market, it must excel in advanced autonomous driving.
After nearly a year of rapid development, Ideal Auto's autonomous driving technology has caught up swiftly. According to Electric Drive's previous hands-on comparison, Ideal Auto's advanced autonomous driving surpasses Huawei's.
"I've heard that many media outlets and KOLs are currently testing Tesla FSD. We welcome comparisons between Ideal Auto and FSD anywhere in the country," Li Xiang stated yesterday, addressing the recent buzz around Tesla FSD's China landing. "Moreover, the newly upgraded AD training model based on 10 million Clips will be fully rolled out tomorrow. We are confident in Ideal AD Max V13 against Tesla FSD V13!"
Fifth, Refining Product Positioning
From a viral founder to a broadened development mindset, and then to emphasizing new product strengths like marketing, infrastructure, and autonomous driving, Ideal Auto has completed the "Tesla loop" in the luxury pure electric market.
Or we can say that Ideal Auto has established the core elements of Tesla's pure electric vehicle manufacturing.
There is a difference, though – product positioning. Ideal Auto positions itself as a family-oriented brand, while Tesla is more technology-focused.
Tesla's success indicates that its product positioning isn't flawed, so what about Ideal Auto's pure electric positioning?
It's too early to tell.
Regarding the MEGA, despite initial setbacks, sales have since surged, reaching a record high of 1,255 vehicles in December last year.
This demonstrates that Ideal Auto's capability in building pure electric vehicles isn't an issue. However, it's worth noting that compared to the L series of extended-range vehicles, the MEGA's market performance isn't yet impressive.
So, where lies the problem? Or what's the biggest difference between Ideal's extended-range and pure electric offerings? It's the power – no range anxiety and the ability to travel long distances.
In other words, if high-speed charging and energy consumption issues are resolved, Ideal Auto's pure electric vehicles will rival its extended-range counterparts. In urban and high-frequency usage scenarios, pure electric vehicles might even outperform extended-range ones.
Infrastructure becomes the linchpin in advancing Ideal Auto's pure electric strategy.
Of course, it's not about blindly expanding infrastructure and expecting breakthroughs in the pure electric market. Coordination between infrastructure, users, and the market is crucial, ensuring that as infrastructure grows, sales increase simultaneously. If infrastructure expands but sales stagnate, the investment loses its meaning, potentially leading to financial woes and operational turmoil.