It's quite surprising how the tables have turned – nowadays, bicycles are more expensive than cars:
The Chinese automotive market is currently experiencing a fierce "price reduction wave," and many have likely noticed it. The most significant impact is felt in the joint venture sector, especially in the sedan market.
The perennial dominators of the A-class sedan market, known as the "Big Three Moms," are facing a substantial challenge, with the "798 Qin" outpacing them in sales.
Even the once-leading B-class sedan, the Camry, faced harsh criticism from netizens just last night when its new model was launched:
Not as good as the Sea Lion and the Han DM-i.
At the grassroots level, the Chinese "grocery shopping cars" are making a comeback, breaking the monopoly of the "Big Three Moms."
At the pinnacle of the pyramid, Chinese brands are reshaping the luxury car landscape, compelling the "BBA trio" to lower prices to maintain sales volumes.
This year, domestic cars have really taken off, kind of like BYD set the tone with the launch of their Han/Tang Glory editions:
"We're gearing up to win the ultimate battle against joint ventures."
Breaking the monopoly of the "Big Three" and moving past the adoration for BBA
A full-scale counterattack is underway, cleverly disguised as a "price war".
At the start of the Dragon year, BYD fired the first shot with their "798 Qin PLUS", and a host of competitors quickly followed suit, with both new and old forces, as well as luxury brands, entering the fray.
Volkswagen, Tesla, NETA, XPeng... In less than a month, over 20 car manufacturers and more than 50 car models have seen price reductions.
Behind this "price war" is a changing dynamic between domestic and joint venture brands, with the most significant shifts happening in the lower-tier markets.
Even with price cuts, the "Big Three" can't seem to hold onto their base anymore.
"The term 'Three Aunties of the Road' refers to the Nissan Sentra, Toyota Camry, and Toyota Corolla. This nickname stems partly from the cars' engine performance and driving habits. On the other hand, it's also because all three models are best-sellers, making them a common sight on the roads.
The Toyota Corolla, in particular, held the title of the world's best-selling car until this year when it was dethroned by Tesla's Model Y."
The Nissan Sylphy has long dominated the domestic Class A sedan market, until the rise of BYD Qin PLUS.
During the "998 Qin" era, it still managed to lower its price to 100,000 CNY through dealer discounts, and then separated the Qin PLUS DM-i and EV models, pretending to still be the sales champion.
After the launch of the Qin PLUS Glory Edition, the Sylphy's sales were far surpassed by the hybrid Qin.
It's even struggling to compete with the EV models now.
After sweeping the A-class sedan market with the "BYD Qin 798," BYD has continuously played its hand by launching a series of Glory Edition models including the Dolphin, Seal, Song series, Han, and Tang, hitting the market at a pace much faster than last year's Champion Editions.
This has put even greater pressure on competitors, especially joint venture brands.
In today's era where BYD proclaims "electric is cheaper than gasoline," the latest response from competitors is astonishing:
Hybrid models are priced 8,000 higher than their gasoline counterparts, with prices exceeding 200,000 CNY, and they're still equipped with the Qualcomm Snapdragon 8155 chip.
It's no joke; this refers to the once best-selling B-class car, the newly launched Camry from last night.
The price and specs have been criticized by netizens, saying, "Hopefully the market will teach Toyota a lesson":
Some netizens commented directly in the comment section:
Might as well check out the Seal dmi or the Changan Qiyuan A07 that launched on the same day.
Have you guys noticed that the users who have given a lot of likes, their IP locations are mostly from the stronghold regions of Japanese car enthusiasts?
Japanese cars used to have a market share of 23.1% in the domestic market, but it dropped to around 15% last year.
When the revamped version of the once-best-selling model was launched, it faced severe criticism from the online community.
The decline of Japanese and joint venture cars is evident.
Not limited to just "daily commuting vehicles," domestic car manufacturers are reshaping the landscape of luxury brands, strategically capturing the joint venture market from both ends with a dual-drive approach.
The Tengshi D9 disrupts the MPV monopoly held by the GL8, while the Huawei-backed Wanjie M9 redefines luxury with technological advancements. The ideal focuses on family users, consistently releasing explosive models in the L series.
During the Chinese New Year, Yu Chengdong addressed issues with the Wanjie M9, prompting some vehicle owners in the social circle to immediately consider selling their cars.
The rise of domestic cars has forced luxury brands to join the "price war".
Cadillac, a second-tier luxury brand, has slashed the price of its CT5 model by 70,000 CNY.
Although "BBA" (BMW, Benz, and Audi) hasn't officially announced any price reductions, it's understood that dealerships are offering significant discounts.
Even popular models like the Mercedes-Benz C-Class, BMW 3 Series, and Audi A4L are available with up to 100,000 CNY off. You can now get a Mercedes C260L for around 300,000 CNY, and that's the drive-away price.
In this situation, netizens jokingly refer to it as if Qin Shi Huang, who unified six states, had predicted today's market:
"The Qin sweeps the six realms" turns out to be Qin PLUS firing the first shot, leading Chinese brands to sweep the six major joint ventures.
More witty netizens can even produce a car comedy show:
"The BYD Price Drop."
A grand comedy production, "The BYD Price Drop," has recently contributed numerous jokes for netizens from both new and existing car owners.
Someone online took a stroll around a nearby BYD dealership and posted a video, marveling at how crowded it was, mentioning that the Qin PLUS discount really boosted foot traffic.
Another netizen commented, "Is that all? At least they still have a demo car. The dealership near my place even sold the demo car."
It's said that due to the rapid sales of cars, when customers come for test drives, there are no available cars, and salespeople end up using their own cars.
After the test drive, the customer is quite satisfied and ready to place an order.
However, when entering the store, it's all about "Qin sweeping across the six realms," but when leaving, it's all about "supporting the Han dynasty" or "the flourishing era of the Tang dynasty."
The customer, attracted by the allure of "798 Qin," originally intended to pay in full for the Qin PLUS. However, they couldn't resist the temptation of the neighboring Han/Tang Honor Edition, which the store also offers with a two-year interest-free loan. As a result, they ended up taking home the BYD Han.
Some car owners, upon receiving their vehicles, don't forget to share videos, humorously referring to themselves as part of the "leek army" and expressing their awareness of the possibility of being betrayed next year.
Some netizens have initiated the "Old Car Owner Scar and Salt Challenge." When encountering friends or online car drivers, especially those who own a Qin PLUS, make sure to ask when they bought it and how much they paid for it.
Then, add a sarcastic remark:
"Even though your features aren't as good as the new model, your car is more worn out, huh?"
Lastly, kindly remind potential car buyers that the price competition is fierce. If you plan to buy a car this year, make sure to confirm the price before officially signing the contract.
Recently, there's been a dispute involving a car owner who picked up their new vehicle in the afternoon, only to discover in the evening that the car's price had actually been reduced on the same day. They approached the salesperson seeking an explanation. The dealership responded by claiming that at the time of the sale, they were unaware of any official price reductions, resulting in the customer overpaying by over ten thousand CNY.
While this may be a humorous anecdote, consumers generally seem to enjoy and welcome these tactics of cutting costs and prices. This is especially true for Chinese car manufacturers, relying on both quality and quantity, pressuring joint ventures and luxury car brands to focus on the needs of the users.
At least in the past couple of years, we haven't heard much about the strategy of "adding a premium to purchase a car," have we?
