Dialogue with Liu Zhanshu: Lantu Auto does not do "Wei Xiaoli"

  Landmap’s mission is to compete head-on with fully electric Mercedes-Benz, BMW, and Audi.

  Reporter Du Qiaomei, reporting from Chengdu

  "Lan Tu should not become Wei Xiaoli, nor will it become Wei Xiaoli, nor will it become Avita and Zhiji. Lan Tu has its own mission and positioning."

  On August 26, at the just-opened 2022 Chengdu International Auto Show, Liu Zhanshu, who joined Lantu in a low-key manner and served as the deputy general manager of Lantu Automotive Sales and Service Co., Ltd., publicly accepted for the first time, includingWhen interviewed by reporters and other media, the brand positioning and mission of Lantu Automobile were reaffirmed.

  Data show that on July 17, 2020, Dongfeng’s high-end new energy brand Landmap, which has been brewing for nearly two years, was officially unveiled. As an important strategic layout of Dongfeng Company, Yoyah is not affiliated with any independent passenger car brand under Dongfeng. It is an independent new high-end brand with an independent development strategy, business model, organizational structure, and leadership team.

  "Lantu calls itself the" new strength "of car manufacturing. It is an enterprise born with the support of central enterprises and positioned as a high-end new energy brand in the country. Lantu’s mission is to compete head-on with ABB after it is fully electrified," Liu Zhanshu pointed out.

  However, Lantu, which was born two years ago, experienced sluggish sales growth after entering 2022.

  The latest monthly FMCG data released by Dongfeng Group shows that in July 2022, the total sales volume of Lantu automobiles was 1,793 units, and the cumulative sales volume in the first seven months was 8,375 units. If the mass production starts in August 2021, the cumulative sales volume of Lantu automobiles has been 15,166 units in the past year.

  As a high-end electric brand built by Dongfeng Company with the strength of the whole group, Lantu is not under little pressure. Especially in the second half of this year, with the new brand of "Wei Xiaoli", the second-tier new force Nezha is running up and attacking, and the independent car companies are collectively attacking the high-end of smart electricity. Mercedes-Benz, BMW, Audi and other traditional luxury companies are accelerating their electric transformation, and Lantu will also welcome more competitors.

  It is worth noting that at the 2022 mid-year work meeting held on July 8, Lantu Automobile sorted out the key work in the second half of the year, put sales work in the first place, and adjusted the sales target to 31,000 vehicles, challenging 37,000 vehicles.

  Subsequently, Lantu Automobile ushered in a major overhaul of its executive team.

  It is reported that Liu Zhanshu, who was responsible for user relationship development in Extreme Krypton, joined in June this year, responsible for user relationship development and user operation.

  "At present, Landmap has three major pain points, the first is the problem of popularity, the second is the problem of prestige, the third is the problem of sales, and these three are the core problems." Liu Zhanshu told reporters that in response to the current problems, the current strategy of Landmap is to make breakthroughs in key cities, and to make breakthroughs in key platforms, key regions, and key groups.

  In Liu Zhanshu’s opinion, the current sales momentum of Landscape is always upward, the popularity of Dreamer after listing is also higher than expected, and it is still in a state of shortage. With the delivery capacity enhancement of Dreamer, Landscape’s sales will go up another level.

  "Lantu adheres to the long-term approach. At present, this track has just undergone a new round of reshuffle, which is equivalent to the first 100 meters of the marathon. Lantu is happy to see competition. In addition, the Lantu automotive industry also has enough funds, technology and talents to support this track to take the long-term approach," Liu Zhanshu told reporters.

  In addition, in response to the young and personalized needs of the market, Lantu released the first personalized customization ecology of Chinese brands at this auto show, and the "customized version" of Lantu FREE DNA was launched simultaneously with the Dreamer private customization version.

  According to the introduction, Lantu Automotive Personalized Customization Ecology provides two services: "front loading" and "rear loading". Among them, the front loading meets the common needs of users, and is co-created by Lantu with users and ecological partners before mass production; the rear loading is based on mass production vehicles, Lantu meets the individual needs of each user, and adopts customized solutions such as kit customization and boutique customization. At the same time, Lantu Personalized Customization Ecology provides a co-creation platform for all ecological partners.

  According to the plan, in the second half of this year, Lantu will continue to enrich its product matrix, and its third model and first sedan will be officially unveiled at the Guangzhou Auto Show in November.

  The following is a transcript of the interview, with excerpts:

  "" (Hereinafter referred to as" 21st Century "): At this Chengdu Auto Show, the products of independent brands in the high-end new energy field have been released one after another. Is Lantu facing pressure and challenges? How to consolidate the first-mover advantage?

  Liu Zhanshu: In June, the sales volume of Landscape increased by 33% month-on-month, and in July, it increased by 50% month-on-month. So far in August, the double-digit growth is completely no problem. At present, the sales momentum of Landscape has been upward. The popularity of Dreamer after its listing is also higher than expected, and it is still in a state of shortage. With the delivery capacity enhancement of Dreamer, the sales volume will go to another level.

  The high-end new energy track is actually getting bigger, and the market will not get smaller because more products appear. Take MPVs as an example, traditional fuel MPVs are a declining market, but six-seat medium and large MPVs and SUVs, especially luxury models, are on the rise. Lantu is not worried about having more competitors.

  At the same time, the trend of the global automotive industry is to shift from fuel vehicles to electrification, but the current penetration rate of electric vehicles is 25% -35%. From another perspective, 70% of people are still driving fuel vehicles. This market is still very large.

  At present, this track has just undergone the first round of reshuffle, which is equivalent to the first 100 meters of the marathon. Lantu is happy to see the competition. In addition, the Lantu automotive industry also has enough funds, technology and talents to support this track to take the long-term approach.

  "21st Century": From a product and marketing perspective, is Landmap more a benchmark for new car makers or central and state-owned enterprises?

  Liu Zhanshu: Lantu calls itself the "new strength" of car manufacturing, because the genes are different. Lantu is an enterprise born with the support of central enterprises and is positioned as a high-end new energy brand in the country. Lantu’s mission is to compete head-on with ABB when it is fully electrified.

  Therefore, Lan Tu should not become Wei Xiaoli, nor will it become Wei Xiaoli, nor will it become Avita and Zhiji. Lan Tu has its own mission and positioning.

  21st Century: What challenges does Landmap face in marketing?

  Liu Zhanshu: At present, Landscape has three major pain points. The first is the issue of popularity, the second is the issue of prestige, and the third is the issue of sales. These three are the core issues.

  In terms of communication, Lantu’s current strategy is to focus on key cities for breakthroughs. The first step is to focus on 8 key cities that account for more than 50% of Lantu’s total sales. The first stop is Wuhan, and the second stop is Beijing, Shanghai, Guangzhou, Shenzhen, Hangzhou, and Chengdu.

  To key platforms, key regions, key people, a city breakthrough, the current sales of key markets has been increasing, which has great benefits for the improvement of the efficiency of the map.

  Landmap FREE was developed against the Audi Q5L and Mercedes-Benz GLC, and its workmanship and mechanical quality are no less than ABB’s in terms of handling, performance, space, and even chassis stability and comfort.

  In addition, Lantu is currently one of the most expensive brands among its own brands, hoping to become a truly high-end new energy brand in China.

  "21st Century": How do you see the recent debate on extended-range and plug-in hybrids in the market? What is the future path of Landmap?

  Liu Zhanshu: There is no best technology or the best route problem, the route requested by the user is the best route. The process of switching from fuel vehicles to electric vehicles does not happen overnight. Many users still want to maintain the driving habits of fuel vehicles and enjoy the fun of electric vehicles. These user requests are still there, and the range extension takes into account this demand to some extent.

  Landmap products are derived from ESSA’s native architecture, which can not only be used for pure electric but also for hybrid technology output. Dreamer is not a simple range extension, but an intelligent multi-mode drive. Landmap has recently maintained a dual-power strategy, that is, pure electric plus range extension or intelligent multi-mode drive two lines in parallel, and gradually switched to the pure electric market.

  "21st Century": What are the reasons behind the launch of the official customization ecology at the auto show? How to balance large-scale production and personalized needs?

  Liu Zhanshu: Firstly, based on the insight into the young people, the younger the user’s demand for personalization is more; secondly, the customized version of the model is more exaggerated than the original, the traditional air intake grille on the front face is reduced, and two air intakes are added on the side. The elegant body lines and outer surrounding decoration are selected on the side of the body, which makes the overall sense of strength stronger, which is very popular among young people; thirdly, the performance of the customized version of the model has been greatly improved.

  Through pre-modification, it meets the common needs of some users, and more personalized needs include personalized customization of afterwear.

  From an industry perspective, this is the first front-loading custom ecosystem in the automotive industry. Both FREE DNA and Dreamer have different partners participating in the co-creation. Lantu hopes to strengthen the custom ecosystem or the modification culture of electric vehicles, and change the prejudice in the industry that "electric vehicles are not suitable for modification".

  21st Century: What are the market expectations for FREE DNA and Landmap Dreamers?

  Liu Zhanshu: Landscape FREE DNA is limited to 3,000 units. This is the sales expectation. Landscape is testing the waters with Landscape FREE DNA this time. If the performance is good, more different versions will be launched in the future. In the end, it depends on the performance of the market.

  "21st Century": This year is considered the first year of new energy MPV. How do you see the competition in the industry?

  Liu Zhanshu: This year is indeed the first year of new energy MPVs. Not only are there Hongqi, JK-009, and Tengshi D9, but the MPV market is expanding, not competing in the original track, especially in terms of safety. Dreamers are very competitive.

  In terms of target market, the Dreamer focuses on business scenarios and is also a car that is well-suited for families.

  "21st Century": What are Lantu’s next plans for products and technologies?

  Liu Zhanshu: The Chengdu Auto Show released FREE DNA, and the third flagship model will be released at the Guangzhou Auto Show in November this year. It will also be a flagship sedan. So far this year, including SUVs, MPVs, and sedans, the first step of Lantu’s product layout has been completed, and we will launch more rich products in the future.

  In terms of technology, the third model will be the first model based on the SOA architecture in China.

  "21st Century"; What are your plans for the overseas market?

  Liu Zhanshu: Lantu landed in Norway in June this year and is currently considering expanding into the entire European and Middle Eastern markets.