Reborn Entrepreneurial Giant.

Chapter 548 Geometry Sales

After arranging for Jumei to invest in Kakao and Coupang, Qu Li returned from Kimchi Country and learned about the sales situation of Qiancheng Geometry with Xia Mingfei.

Qiancheng or Geometry Auto, which is an independent pure electric vehicle brand owned by Qiancheng, all use car logos similar to "Xpeng".

"As of June, we are in New York, Boston, San Francisco, Los Angeles, and Seattle in the United States; Vancouver in Canada, Geneva in Switzerland, Milan and Rome in Italy, Paris in France, Madrid in Spain, Berlin in Germany, Amsterdam in the Netherlands, Stockholm in Sweden, and Seoul in Kimchi country, a total of 6 A city…”

Each direct-operated store currently has only about 10 employees. Assuming the average salary is US$5, 150 people a year is US$750 million.Because it is a directly-operated store in the suburbs, the initial decoration of a store is calculated as US$100 million, and various costs such as rent and equipment maintenance are calculated as US$100 million per year. For 15 directly-operated stores, the annual cost is US$3000 million. Including employee salaries and benefits, the total cost is US$4000 million per year. The annual cost will be approximately US$[-] million.

The average selling price of a Geometry car is US$10. Assuming a 30% gross profit, it would need to sell 1350 units to break even. How can a normal entrepreneur be so reckless? A new brand orders 1350 high-end units just after it starts selling to the outside world. It doesn’t matter whether foreign consumers will accept the car plan.

"As of the end of June, Geometry Auto has sold 6000 units and delivered 3800 units, including 3500 units sold domestically, 2500 units sold abroad, and 1000 units sold in the US market..."

"Damn stick!" Qu Li cursed secretly. In the overseas markets of the United States, each city sold an average of 150 units in half a year, while in Kimchi Country, there were only 20 units, which was far lower than the average.

"The project preparation for the Kimchi State Direct-operated Store will start after the new year, and it will be completed in less than two months." Xia Mingfei added, the establishment time of direct-operated stores around the world is different, big brother.

"Bangzi!" Qu Li did not continue to complain.

"We have opened up the entire car export process. The main problem now is the relatively high transportation cost..." Xia Mingfei continued, saying that with the additions of Quli and Honor, there is basically no need to advertise at the basic level of Geometry.

"This means that without considering investment costs, can Geometry Automobile achieve profitability this year?" Qu Li lowered his head and pondered.

"That's right." Xia Mingfei

There are not many cities in China that have local subsidies, but the national subsidy of RMB 6 is available, so the Qiancheng Automobile directly-operated store is, yes, Qiancheng. Overseas it is a Geometry Automobile direct-operated store, and domestically it is a Qiancheng Automobile directly-operated store.The number of domestic directly-operated stores is similar to that of foreign countries, but sales in cities with subsidies are obviously much better.

"When we have sufficient production capacity, we will sell right-hand-drive cars and open stores in Xiangjiang and Tokyo. By the way, we will stop selling after selling 1 units this year." Qu Li was a little proud, as Tesla's production capacity was not as high as it was.

"Britain does not import pure electric vehicles..."

"Damn stick."

"What does it have to do with Bangzi?"

"It doesn't matter, the curse is easy to pronounce." Qu Li said casually

Qu Li couldn't figure out how high the cost of the future would be. How Huaguan authorized it and how Honor charged it were all a mess.Qiancheng Motor's revenue in the first half of 2012 was about 250 billion, and the scale of losses has shrunk. However, there is no hope of turning losses into profits this year, so Hong Kong stock IPOs will definitely accelerate.

"Can our omni-channel unified pricing strategy be implemented?"

"I think we can wait a little longer..." Xia Mingfei

"When do you think the time is best?"

"This needs to be considered comprehensively..."

"It's not necessary. Taking advantage of the popularity of us at home and abroad, dealers who are willing to cooperate with us in implementing unified pricing across all channels across the country will stay. Those who are unwilling..." Qu Li is not a good person.

Xia Mingfei wanted to ask Qu Li, didn't you promise to "treat dealer friends well"?Now this is making him take the blame?

But Qu Li didn't see it that way. He had put forward his idea early on and had communicated with Xia Mingfei and others to unify the selling prices of online and offline dealer channels across the country.Avoid the phenomena of one price per store, one price per car, etc.I really don’t know what these car companies think, so they can’t serve consumers well.

The country has been lagging behind for a long time, especially during this period. Most entrepreneurs who grew up during this period are accustomed to "reverse engineering". Even if they know that some things are incorrect, they dare not make changes easily. For example, the computer rooms in high schools and universities in the past were actually required to wear... Shoe covers.

If people in key positions lack the courage to break the status quo, it is not a good thing for the company; it is even worse if there are no mature and stable people.

"Our 4S store should be able to do this..." Xia Mingfei is willing to make changes

Vehicle companies have strong control over 4S stores but have limited influence on dealers. Coupled with Qiancheng Motor's hot sales, it is expected to become a representative of domestic independent high-end brands. There must be people willing to take risks and grow with Qiancheng Motor.

Of course, there will be many adjustments. For example, the conventional approach is: 4S stores, financing banks and brand manufacturers sign a tripartite agreement, which is equivalent to a loan to purchase a car from the OEM.In the future, can you only pay a 10% deposit and pay the balance after the sale or give a one or two month account period?You can also increase the profit share of the 4S store, or follow Tesla's example and only provide black or white models. If you want other colors, you have to pay more...

There are still many things that Qiancheng needs to adjust. For example, the signboard of directly-operated stores should be replaced by "Qiancheng Geometry", while the franchisee 4S stores can only have "Qiancheng Automobile".

Qu Li came to the Qiancheng Geometry directly-operated store in Beijin to inspect its operation. Unlike foreign countries, which chose suburbs to display in the Honor flagship store and sell through the Internet, domestic direct-operated stores chose relatively prosperous areas where they could buy properties. The warehouse is placed in the suburbs.It's just that the real estate fund under Xiangjiang Investment is the main body that bought the property. When Qiancheng Automobile has sufficient funds, it will buy it back at the market price.

Qiancheng Automobile used to be a niche brand, and it also sold fuel vehicles. If it doesn't increase its exposure at this time, how many users can it be fooled by just bragging online?

粗粮手机斗不过菊花和荣耀，主要是竞争的关键时刻实体店数量太少了，而且性价比模式天然就有缺陷：企业没有利润，靠什么保持竞争力？2022年某迪全国约1500个门店（还有数据显示年底有2855个）卖了约186万辆单店销量约1240辆；特斯拉265个直营体验店卖了约44万辆单店销量约1660辆。

Numerous data show that the number of stores is closely related to car sales, but there are many practical problems. Tesla's direct sales model was sued in the United States and later won the lawsuit. Geometry Auto was displayed in the United States through Honor, and the model of sales in direct stores has become more popular. Questioned, Qu Li's answer on Twitter was: "We have adopted a consumer-oriented model..."

Because the competition in all walks of life in China is too fierce, Qu Li is not worried about Qiancheng's lack of dealers. However, the struggle between vehicle companies and dealers has just begun. He is inspired by Qiancheng Geometry in China. It is said that no one will give him and Qiancheng Motors. To create troubles and difficulties would be to overestimate his charisma.

Since they are destined to be in the spotlight, they must be the "best"!