Lynk Co 2016 01 Concept
Several automakers have talked about launching new brands for connectivity and mobility services; Geely just went ahead and made Martin talks to Conghui Kahl on the new Lynk 2016 saw many sub-brands mobility services announced by major automobile manufacturers are preparing provisionally for a future built around not yet proven and untested new business models.
These new brands will house activities such as carpooling, parking services, connectivity and other new and growing business models, service-oriented, and will work to OEM with different levels of formality of brand badging and grille.
Free2Move is sub-brand of the PSA group for mobility services and new models; Daimler EQ house a new generation of electric vehicles and connected; Smart Mobility is offering Ford and GM's strategy revolves around the Maven mark the time of writing, VW is yet to announce the name of its 13th brand, but there should be a similar initiative.
The cautious approach of the Western manufacturers long timelines, long-term goals and slow ramp-up might just have been too small, but the unveiling in Berlin in October 2016 the new Lynk Co brand saw Huangzhou, China based Geely Auto on surge beyond the competition, with a physical product, a launch date and a clear strategy built around smart mobility, sharing and connectivity.
Unveiled a new brand in Europe by a Chinese OEM sales globally clearly Geely is ready to launch a Chinese car brand to the world, but the world is ready for a Chinese car brand.
We do not think Geely Auto cars that Chinese cars, said a Conghui, President and CEO of Geely Auto We design and produce international cars that have a hint of where they came from all Geely Auto Generation 3 0 car You see hints of Chinese history, architecture and culture But while these are nice, the overall experience of the driver gets is a global car.
Lynk Co vehicles were designed from the start to be designed European, European engineered and produced and marketed globally Co Lynk The vehicles will feature electrified powertrains and will be the hottest cars in the world, designed for consumers urban, modern, tech savvy.
We do not think of Geely Auto cars like Chinese cars all Geely Auto generation 3 0 cars, you will see hints of Chinese history, architecture and culture, but the overall experience is a world car .
The first model, the 01 is a compact parent SUV Geely Auto, Zhejiang Geely Holding Group ZGH acquired Volvo Car Corporation in 2010, and close cooperation between Swedish and Chinese manufacturers provides access Lynk Co to Volvo and Geely jointly developed the 'compact modular architecture CMA; 01 and all future models Lynk sit Co CMA.
The company says that 01 is the coolest car ever, in part through partnerships with Microsoft, Alibaba, Ericsson, and of course, Volvo Car Targeted technophiles users who buy cars online the or in stores belonging to retail locations, the company aims to sell 500,000 units between Q4 2017 when the first sale cars in China and 2020.
The company has good reason to be ambitious Geely Auto was a record month in October, with sales growth 94 years on-year to nearly 100,000 units, and it has increased its 2016 sales target twice during year, from 600,000 units to 650,000 units, then again to 700 000 units in 2017, it has its sights on one million units.
Much of the design and engineering was done in Sweden to China Euro Vehicle Technology Center CEVT with a brief for cars to have a Northern European idea; high-end cars at affordable prices, they will be positioned between Geely and Volvo.
CEVT is one of a number of global locations Geely 10,000 engineers and 400 company's designers are located in the global design studios in California, Shanghai, Gothenburg and Barcelona, and R & D centers in Gothenburg, Coventry, Hangzhou and Ningbo.
The new world order based on automotive industry, among others, connectivity, mobility services and sharing economy is uncharted territory, making it difficult to guarantee success at this early stage, but necessary to be ready This Sá play along, indicates with Lynk Co we can come to this new opportunity and with a business model that is primed for today's world this means connectivity and flexibility in terms of how people buy and use cars we firmly believe that this is the way the industry is going, and we want to co Lynk out before this opportunity and enjoy.
Designed to operate without concessions, focusing on a subscription contract and a further emphasis to be announced on the sharing and co Lynk mobility services seems to have been conceived as a brand for people who do not want to buy cars.
I would not say that Lynk Co is for people who do want t buy a car, counters One is for people who want more flexibility in how they access their car, who would share their wishes with their friends, family or colleagues or even rent it to other users Lynk Co one of the ways we're facilitate this is moving towards a digital key physical keys are a thing of the past.
All Lynk Co cars always connected to the cloud, making them Lynk Co cars part of the Internet of Things, allowing you to use the internet when you are in the car or remotely control your car.
As for how to sell cars to a new generation of consumers in China and in the West, a said the company has identified the key factor as young people living in permanent online They became integrated in a connected world People wait connectivity, not just when they are at home or at work but also in their third space, their car, so it was natural and essential for us to grasp this trend and develop a model that s appeal to consumers.
Lynk Co will have its own dedicated application market, open to developers with key API application programming interfaces and SDK software development kits to create services related to connectivity and products Shareable locks are just something we looking at, but as they say, the world is our oyster at this stage.
Lynk Co vehicles were designed from the start to be designed European, European and global engineered production and marketing.
Car sharing is an important aspect of the business model Co Lynk Think about it, says a 95 times cars just sit around and if there was a way to loan safely or share it seems there less crazy a few years now we're sharing our lives on social media, sharing our homes on AirBnB and share our musical tastes on Spotify if we could share our cars too.
Regarding the sharing economy, Lynk Co can watch Geely Auto's parent company Zhejiang Geely help ZGH Holding Group has for some time to explore sharing ZGH offers a 24 000 vehicles in 12 Chinese cities called Zuo Zhong you, that allows people to rent micro pure electric cars Yuan 20-25 US 2 90 US per hour March 63 users can reserve cars by phone or via the application and collect a car from their local distribution center when finished, they return the car or put it in another center.
One cites the example of someone flying from Shanghai to London When they land, they need a car to visit a friend in the suburbs and they can see the Co enforcement Lynk there is a car available Heathrow airport as part of the Co Lynk network, they can rent this car for a period and return later or a pre-arranged place to consider it as a community of users Lynk Co notes Year.
Another service ZHG implemented is Cao Cao, a mainly Geely Auto service sharing tower application that works mainly with new electrical energy or clean vehicles, and uses drivers directly-employed currently available in five cities throughout China with over 8,000 cars in service, OEM has the ambition to grow further Cao Cao.
The Co Lynk vehicles will feature electrified powertrains and will be the most connected cars in the world, designed for urban and modern consumers, technophiles.
As previously reported, several manufacturers have announced sub-brands mobility services to accommodate their downstream activities in order to capitalize on the revenue available to non-related companies after the vehicle left the dealership Many readers will remember with a smirk or a grimace the efforts of vehicle manufacturers in recent decades when they tried to capture revenue by rental car downstream and maintenance of vehicles, for example, companies that know how to make money selling cars may not be able to generate enough income from the sale of packaged services and concepts is that all car manufacturers be able to compete downstream in the automotive industry of the future.
In China, Geely customers were already waiting impatiently for new Geely products, says a I think the Co Lynk market is unique for us, we control APIs and SDKs and opened the developers we have also set up a large part security Add to that the auto finance company that we have with the French BNP bank, which will serve first Geely and Volvo dealers, but would later go also to other brands.
Some of the major manufacturers could be intrigued if not concerned about the challenge Lynk Co, but all vehicle manufacturers have been shaken in recent years by attempts of non-automotive technology companies to enter the automotive industry, the number of new entrants in the automobile industry in recent years is a testament to the exciting way the sector is, accepts Tech companies are undeniably creative, but many people underestimate the height of the threshold in the industry automotive and long-term investment it needs in the design, R & D and operations.
The Lynk Co's business model is unique to the industry's business model of the current car moving cars from the factory to the dealership to the end user is more than 100 years, and it is changing with the development of new technologies to Lynk Co, the disturbance is clearly the name of the game, and the company aims to challenge and redraw all the chain.
Echoing comments by many as a senior manager about it, one said, in many cases, we look at technology companies as potential partners rather than competitors and traditional industry made significant progress in technology.
The success in the new mobility market to accept and adapt to the culture around new concepts such as mobility and open procurement sharing have long been a stranger to the automotive industry, but they are at the heart new business mobility.
Recent years have seen a real change in automotive business thinking, alright A They are much more nimble and creative than they were once s out of necessity, because the world and consumer look how cars change our cars are open and accessible to developers, and our API and SDK are available to make the most of what is essentially a computer on wheels for our brand Lynk Co.
We also work on the architecture of the CMA to develop new ways to streamline production while bringing to market the most competitive products possible.
95 times cars just sit around and if there was a safe average loan or share seems less crazy a few years ago now, we're sharing our lives on social media, sharing our houses on AirBnB and share our music tastes on Spotify.
Unsurprisingly, given China's thrust on new energy vehicles, energy powerplant replacement group is at the heart of the strategy of Geely Auto Group, said in a November 2015 we launched the Initiative blue Geely in which we announced that 90 of our vehicles will be new energy with prices at the same level as conventional gasoline powertrains This includes Lynk Co. vehicles
The company plans to reduce its fleet average fuel consumption of less than five liters per 100 km equivalent to short-term 56mpg, before the demands of the Chinese government, and notes Year, against the cries of our competitors who think this goal is too difficult to achieve.
By 2020, the OEM aims to reduce average fuel consumption January 8 to January 5 liters per 100 km of driving, we're really aiming to push the envelope of what can be achieved in the framework of 'Blue Geely Initiative, we're promoting three core technologies, namely HEV, EV and PHEV About 65 of our sales come from HEV and PHEV, and 35 sales of electric vehicles.
In electric vehicles, the company has some experience, said a Geely Emgrand The EV sedan can already travel 253km 157 miles in a combined environment, and around 330 km a stable road speed at a cost of US Yuan 223000 32360 that the local and national government support in some areas up to 50 Our future electric vehicles will be lighter, recharge faster and go further per charge at a lower cost in the Beijing area alone we sell around 1,500 vehicles Emgrand electrical month, so I think we're off to a good start.
Also high on the priority list for both Lynk Co and Geely Auto indeed at the heart of our technology goal is autonomous driving for Lynk Co, technology is at the heart of the car we have ever logged cloud production hundreds of gigabytes of data every day, we have aid to high-end driving to help the driver in everyday driving and finally, when the laws allow, we will go to driving full autonomy transition to autonomous driving can not be rushed Fortunately, we have a close relationship with world leaders in safety and autonomous driving Volvo so we will be able to share resources.
Lynk Co is for people who want more flexibility in how they access their car, which might want to share it as they want with their friends, family or colleagues or even rent it to other users Lynk Co.
Designing new business models and ideas is something put in motion concepts that will be crucial in the long term, but offers very little in the way of generating short- and medium-term revenue is a very different question of an agreement any company that wants success in the long term should make long-term paris and we are fortunate to be re come to this from a healthy position, and with a history of making bold moves that paid.
In the early 1990s, when our founder and chairman, M. Li Shufu, decided he wanted to enter the automotive sector, state enterprises were the only companies licensed to make cars a little more two decades later we are the largest PRIVATE automaker in China in 2007, we reorganized our whole approach to the brand, away from a focus on low cost to beautifully designed, high vehicles quality If you look at where we are now, it is clear that movement has paid too.
The business model of the current car moving cars from the factory to the dealership to the end user is over 100 years and is now changing with the development of new technologies.
It could be argued that the creation of an entirely new brand adds complexity rather than using Geely and Volvo A explains the rationale for the decision Geely Auto positions itself more as a mass market brand We expect that sales at about 700,000 units this year and probably around 900,000 to one million next year.
Lynk Co Geely Auto Group offers truly global, targeting the future mid-market models Lynk Co will be sold in China, Europe and the United States so we let them go ahead with the latest technology and powertrains that will eventually be used in the Geely brand.
Volvo is a brother company Geely Auto Group and is also a teacher The president has always pushed for the Tiger return to the mountain It means let Volvo do what he does best make vehicles safer, smarter about the market and which works especially well just watch Volvo's sales figures, which are at a record high in the history of 89 years of business.
At the same time, pushed for Geely and Volvo Cars president and founder of the company to work together to maximize group synergy There are many Volvo Geely Auto can teach about RD, and Geely Auto has many it Volvo can teach on vendor management and cost control, an noted, adding, It is a Sino-Swedish win-win story.
This article appeared in the 4th quarter 2016 automotive Megatrends Magazine number Follow this link to download the full number.
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