I listened to the N Questions Radio featuring Feather Brother, Little Uncle Te, and ONVO President Tiecheng. It sounded quite interesting, with an overall joyful rhythm, but they also discussed some points. I’ll briefly share them here for those interested in listening.
1. Why launch the ONVO brand?
From our understanding, ONVO needs a brand that sells more units, as ONVO’s high-end positioning and pricing can’t achieve this volume.
Tiecheng’s response was essentially the same, broken down into two main points:
- From ONVO’s perspective, ONVO started with a vision like Blue Sky, and for the past ten years, it has been in the high-end category. Blue Sky can’t only focus on high-end.Looking globally, there are about 80 million cars sold per year, with 20% being high-end, 60% mainstream, and 20% entry-level.For a company like ONVO, it is inevitable to enter the mainstream category to serve more users. This has been part of Li Bin’s plan since the early days of the company.
- From another perspective, the user’s perspective, not just the automotive industry but all industries have multi-brand strategies because target audiences and needs differ. It’s unreasonable to address different user needs with a single brand.This is also true for hotels; the same hotel group will launch different brands to cover different demographics. The most successful brands in the automotive industry are all multi-brand.
2. This question was asked by Little Uncle Te: Under what conditions is ONVO L60’s energy consumption better than Tesla’s?
Tiecheng: It’s under the CLTC standard conditions, certified according to national standards. Other speeds were also tested; in some cases, they are comparable, and in some, ONVO performs better.
Energy consumption is complex, starting from the grid. It can’t be judged solely by the instrument panel. ONVO L60 is 555km, and Tesla Model Y is 554km, almost the same. But ONVO uses 900V and SiC, so the energy loss from grid to car is very low.
For example, with a 70kWh battery, if you deplete it and then recharge, the energy from the grid will be more than 70kWh, maybe 78kWh. Lower losses are also part of energy consumption.
3. It was previously mentioned online that ONVO had a more stylish design, but it was scrapped to meet family-oriented positioning. Is that true?
Tiecheng: Yes, it’s true, not a story.
Designers usually create 6-7 designs. It’s not just about having a good-looking blueprint; car manufacturing is engineering. Our engineer said, “Car design is not art; it’s science.”
The European team came up with a very avant-garde design, but its aerodynamic performance was inadequate, so it was abandoned.
4. What about the depth of the ONVO team?
Tiecheng: The depth of Chinese automotive talent and the ability of the Chinese automotive supply chain are quite surprising. Recruitment is global, starting with design interviews, with the director interviewing at least 200 people. Overseas talents are very willing to join ONVO.
Currently, international and European automotive design capabilities are slightly stronger, while Chinese talent excels in engineering and software.
The design teams are based in Munich and Shanghai. The entire vehicle engineering team consists of talents with decades of automotive industry experience, and the software team includes 85% automotive and 15% tech industry talents, leveraging ONVO’s foundation.
5. How does ONVO emphasize cost performance without undermining its high-end brand?
Tiecheng: Going back to basics, any good brand clearly knows “who they are.” Price is just one aspect of a brand, alongside brand image, product, and channels.
A successful brand offers a consistent experience across all touchpoints, regardless of price.
ONVO clearly understands its identity. Price is just one aspect. True success means ONVO is ONVO. This is the core of a multi-brand strategy.
6. Does the second row fold as flat as the Y? Or is there a slope?
Tiecheng: It can fold flat, but with a slight angle, due to the thicker seats.
Today’s discussion focused more on industry and brand aspects, such as why ONVO was launched and the differences between ONVO’s brands. The product points about the L60 mainly concerned energy consumption compared to Model Y and the flatness of the rear seats. We’ll see if there’s more product information in the next part.
