Decisive Battle In The Second Half Of 2020: The Pattern Is Uncertain, How Does The New Car Making Force Make A Living?

For the new force of car making, the second half of 2020 is opening in a teasing way.

On the one hand, Bai Ting announced that China began to stop production and stop production since July 1st. Wang Xiaolin, chairman of Sai Lin motor car, was put on file. The sale of assets in Bo county was sadly leaving. On the other side, Wei announced that the two quarter single quarter deliveries were broken, and 7 billion strategic investments were planned to be sold out. The sales of the EX5 motorcycle type reached 30 thousand vehicles, and the second Mini production P7 of Xiaopeng started to be delivered. Enter D round financing.

As the tide recedes, the new force of car making is also breaking up at an unprecedented speed.

According to incomplete statistics of twenty-first Century economic report reporters, there are only 10 out of the 50 new Chinese car manufacturers, and this year, only 8 new car manufacturers, such as Wei Lai, ideal, Xiaopeng and so on, have sold new cars. Most other businesses still have no cars to sell.

"For the new force of car making, the pressure this year has been very large, and the new crown pneumonia epidemic has never been overlaid, leading to the difficulties of many enterprises' original plans and the failure to achieve the financing plan. These are the reasons why some enterprises" explode thunder ". In July 6th, Zhang Junyi, deputy general manager and CSO of intelligent enterprise of Ping An Group, said in an interview with the economic report reporters in twenty-first Century.

In the first half of 2020, beatten and Bo County, which had not yet crossed the mass production, collapsed. In the second half of 2020, how to achieve self hematopoiesis and live better will become a new test in front of the new force of car manufacturing.

The pattern is uncertain.

"In fact, the real reshuffle period has not yet begun. For the new force in the car making industry, there will still be a period of continued turbulence in the second half of this year and in the next few years."

In July 6th, Cui Dongshu, Secretary General of the information conference of the national passenger car market, said in an interview with the twenty-first Century economic report reporter that in 2019, the sales volume of the new energy vehicle market in China is only 1 million. When the sales volume of the new energy vehicle market reaches 10 million or even more, the pattern of the whole market will also undergo tremendous changes.

"Objectively speaking, in the second half of 2020, the new force will face more and more pressure." Cui Dongshu pointed out that in China's new energy vehicle market, the real main rival has yet to enter. At present, the joint venture brand and the luxury brand of new energy vehicles are not very strong. In the future, with the intensive launch of the two new energy products and Tesla's continuous market share, there are not many opportunities left for China's new car manufacturing force.

In addition, in the auto industry recovery period, capital has also become the key to the continued operation of the new force. However, in 2020, under the influence of the new crown pneumonia epidemic, resources were concentrated on the head enterprises. More and more new drivers of car manufacturing are facing more severe financing environment.

"From the overall market environment, the new force of car manufacturing is still facing challenges. In order to survive, we must have financing, but the premise of obtaining financing must be performance, and sales volume is the first link. Zhang Junyi pointed out that investors' demand for performance is not only reflected in sales volume, but in the current market environment, investors will take a more harsh view of the new car manufacturers and pay more attention to the profit margins of enterprises.

At the same time, whether the new car manufacturers have core technology, whether the core technology is recognized by the market and consumers is also an important factor determining its development prospects.

"With the overall trend of China's automobile market in the second half of the year, the sales of new energy vehicles will also increase, which is also a development opportunity for the new power of the head car manufacturers." Cui Dongshu pointed out, "but the key is to produce reliable products that can withstand the test of the market and consumers and avoid negative problems."

Similarly, in the view of Shen Hui, founder and chairman of CEO, it will also become a watershed for the new force of car manufacturing in 2020.

"The survival of the fittest is very normal, the new forces also follow this rule, leaving a head enterprise in the development of the market, but it is impossible for a single company to be big, leaving three or four enterprises very normal." In July 3rd, Shen Hui pointed out in an interview with the twenty-first Century economic report reporter.

For the new force of car making, although the final pattern is not yet known, Wei Lai, ideal, Xiaopeng and Wei Ma are now recognized as new vehicles that have the chance to survive.

"Objectively speaking, the financing environment of the whole capital market this year is worse than we thought. But the advantage of Wei Ma is that it has been relatively stable cash flow management, even if a penny does not melt, it can also operate for many years. In an interview, Shen Hui pointed out that as a new enterprise, burning money is certainly impossible. It is the most important thing to build up the basic ability in the stage of burning money.

At the same time, Shen Hui believes that new energy vehicles are ushering in new opportunities for development as Tesla enters the new energy vehicle market and gradually solves the problems of new energy vehicle cost, mileage anxiety and battery safety.

How to make a living?

In Shen Hui's view, although China's new energy vehicle market is at a low ebb, it has huge market potential in the long run.

"After the end of the epidemic, consumers' demand for car purchases has increased, which is also an opportunity for new forces." Shen Hui pointed out that the sales volume of all new forces combined in 2019 accounted for only 6% of China's new energy vehicle market. In the first 5 months of 2020, the market share of the new force has reached 15%.

"The trend of new energy alternative fuel vehicles is very obvious after 2020, one is the promotion of national policies, and the other is younger users' demand for smart cars." Shen Hui judged that this year's new energy vehicle market, especially the growth of new forces, will be more than two digits.

"So we still have to look at the development of the enterprises themselves. If we want to continue the story of car manufacturing, we must make the models well. The great premise for this strategic investment of Hefei government is that the product sales volume is stable and has consolidated a number of consumers and high-end new energy vehicle market demand.

In Zhang Junyi's view, "although the opportunities for the development of new vehicle development still exist, for these enterprises, the most important development in the second half of the year is whether they can get the financing, no matter what way they are through."

However, in face of market changes, it is far from enough for the new force to win the favor of capital. Only by maximizing the efficiency of capital use, can we build and perfect the system and form a benign self hematopoietic capacity rapidly, and at the same time be more open to build an ecosystem with the upstream and downstream partners of the industrial chain and form a unique competitive advantage or business model.

"The first is the ability to design and develop, the second is the ability of supply chain management, and the third is the basic ability of manufacturing. In the early days, 99% of new power companies chose foundry. Now, including Xiaopeng and ideal, they have begun to build their own factories, which proves that the route of building the factory is correct.

In addition, Shen Hui believes that the key to the survival of new vehicles is to be clear about their product characteristics and target users, and at the same time need financial stability to support long-term development.

"Financing is only a short acting drug, but it can not be a permanent solution to life." User growth is very important, cash flow management is very important, gross profit margin is very important, net interest rate is also very important. Shen Hui pointed out that gross margin is negative, which means that the more money is sold, the more the loss is, the easier it is to fall into the trap of death. In the case of sales growth, the growth rate of gross profit margin is sustainable.

"Taking into account the cash flow of enterprises, including gross margins and net interest rates, we hope that it will become the first new vehicle manufacturing force to achieve positive gross margin in the world." Shen Hui finally pointed out.