Chinese EV Automakers Trying to Cultivate Brand Loyalty Like Apple
According to the South China Morning Post, NIO and Xpeng Motors are building online communities for users to earn credit towards specific branded products, with the former company now having sold over 3 million products through its app.
In addition, Tesla has already cultivated a loyal following of the company and CEO Elon Musk, which they hope to continue building out and growing, eventually to reflect the kind of brand loyalty seen in companies like Apple.
Leo Li, Head of Automotive, Manufacturing, and Industrial Products for Greater China at Oliver Wyman consultancy acknowledged that Tesla, NIO, and Xpeng alike are looking to bring in lifelong consumers to the brand name.
In a statement, Li said, “EV makers are eyeing a lifelong consumption habit. They make money not only on the car you buy, but the follow-up service, the lifestyle they branded and the next and next Tesla or Nio you buy.” Li continued, “They are selling an identity like an iPhone user or a New Yorker reader.”
As the Chinese EV market heats up, with a swath of brands announcing new cars and EV platforms, even tech companies like Baidu and Huawei have poured $19 billion into autonomous driving and EVs in general. In addition, despite the ongoing chip shortage, companies like Li Auto, NIO, Xpeng, and even Tesla have witnessed continued growth in what is the world’s largest auto market, and the trend is unlikely to change directions anytime soon.