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NIO online "only rent but not sell", Li Bin: vehicles will eventually become services

2024-11-17 Update From: AutoBeta autobeta NAV: AutoBeta > News >

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AutoBeta(AutoBeta.net)10/08 Report--

On the evening of October 7, local time, NIO Berlin 2022 was held in Berlin, officially opening services in Germany, the Netherlands, Denmark and Sweden. It should be noted that different from the previous domestic car sales model, Lailai only launched a "subscription model" in the four European countries, renting but not selling. In short, users only have the right to use the vehicle. Users in the above-mentioned markets in the four countries cannot buy Ulay models directly, they can only obtain them through subscription.

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When talking about why the new model of "rent only but not sell" should be implemented in Europe, Li Bin, CEO of Xilai Automobile, said at the NIO Berlin 2022 media communication conference that vehicles will eventually become services and, in the final analysis, consumer goods. Users used to have a lot to worry about. NIO hopes to simplify the interface of user services and turn the car into a service through various attempts.

Li Bin said that making a subscription is a very long-term thing, and the subscription model has been thought about for a long time. On the whole, there is more controversy about subscription at home than abroad. The European market has a high acceptance of the "right to use" and "subscription model". Li Bin believes that because of different tax systems and consumption habits, long-term rental of high-end models is a more mainstream consumption pattern in the four countries that open subscription business. when the local Lulai team system, infrastructure construction and service system are mature, it will be easy to increase the option of selling cars, but it will not be easy to switch from selling cars to subscriptions.

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According to reports, the "subscription model" of NIO's layout in the four European countries means that users can choose models with different configurations and different battery capacity to subscribe according to their own needs, with a lease period of at least one month and up to five years. That is, it is divided into two options: long-term subscription and short-term subscription, in which short-term subscribers can cancel their monthly subscription at any time two weeks in advance, and can change their subscription vehicles at will, and the monthly subscription fee will be reduced with the increase of vehicle age; while long-term subscribers can only choose a fixed model with a subscription period of 12 to 60 months, and users will enjoy a lower and fixed subscription fee. If the user does not terminate the subscription after the subscription expires, Ulai will renew the subscription automatically in accordance with the flexible subscription terms. The subscription price is generally between 1000 euros and 1500 euros per month, depending on the subscription method, model configuration, battery capacity, etc., in addition, the subscription price of the same configuration model will fluctuate slightly in different national markets.

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As one of the recognized leaders of the new power car-building enterprises in China, Lai Automobile has the most product planning among the new power car-making enterprises. At present, it has a total of six models: ES8, ES6, EC6, ET7, ET5 and ES7, all of which are priced at more than 300000 yuan. According to the plan, the three new models of ET7, ET5 and ES7 will be the first to launch in four European markets, of which ET7 will start delivery on October 16, ES7 and ET5 will start delivery in January and March 23, respectively. At present, the European market of Xilai Automobile has changed the name of the ES7 model to "EL7", which may be affected by Audi's previous lawsuit against the ES6 and ES8 models, although the previously sued model is not ES7, but considering that the naming strategy of the above models is consistent, industry insiders say Wei will change the naming or in order to avoid legal disputes with Audi.

In June, Audi filed an infringement lawsuit in a Munich court, accusing its ES6 and ES8 models of infringing the trademarks of Audi S6 and S8. Audi said the naming of the ES6 and ES8 models violated the trademark rights of the Audi S6 and S8 models. In response, a spokesman for Audi confirmed the lawsuit at the time, while a spokesman for NIO said he did not comment on the ongoing lawsuit. Audi China later responded to the media that Audi headquarters believed that the name of the model chosen by the company in the European market violated the Audi brand's trademark rights in Europe, which has yet to be clarified at the legal level. At present, the above lawsuit has not been decided yet.

As for the reason for the name EL7, NIO said that since the beginning of the company, it has persisted in originality and made a systematic reflection on the naming of the model, and has started to apply for global registration since 2016, and has been successfully registered in China, Europe, the United States and other markets. Unfortunately, Audi questioned the name of the ES8/ES6 model and filed a lawsuit in Germany. In view of the protracted litigation, in order to avoid affecting the interests of users in Europe, NIO decided to use the name EL7 in Europe for now. NIO will continue to respond to the ongoing trademark litigation in Germany.

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Although NIO does not have a high sense of existence in the global market, "global business" is the general direction of the development of domestic car-building new forces and new energy car companies in recent years. As one of the new car-building forces, NIO began to lay out other markets except the Chinese market as early as last year, and entered the Norwegian market in May 2021. In September of the same year, ES8 was officially listed in Norway and started user delivery, which is also the first European market opened up by NIO Automobile. In December 2021, Ulai released the 2022 development plan, and the products and system-wide services in 2022 will be officially launched in Germany, the Netherlands, Sweden, Denmark and other countries. This entry into the four European markets is also a further action carried out by Ulai in Europe. So far, Lulai has established a network of authorized service centers in five major European cities, namely, Norway, Germany, the Netherlands, Denmark and Sweden. By 2025, NIO also plans to enter more than 25 countries and regions.

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