Behind the market value of over 280 billion: What did Great Wall Motor do right under "asking itself about life and death"?

For the automobile industry in transition, the logic of "winter is a good time to invest" is frequently staged. After the negative growth in the previous two years, the living environment of the auto market in 2020 is more severe because of the epidemic, but the capital market is "unexpectedly" carnival. This is mainly reflected in the new track of smart electric vehicles. With Tesla as the representative, the market value of new car-making enterprises in the head has easily surpassed that of traditional car companies. However, the market value of several traditional car companies has also risen sharply. Among them, Great Wall Motor, a domestic private car company, has a market value of more than 280 billion yuan, ranking third in China and ranking among the top 30 global car companies.

With the rapid recovery of the auto market in the post-epidemic era, the share price of Great Wall Motor has soared rapidly since July. On July 1 day, the closing price of Great Wall Motor A shares was 7.94 yuan per share, and on February 2 1 day, the closing price was 3 1.2 yuan. In other words, in less than half a year, Great Wall Motor's share price rose by more than 300%. In the past month or two, the market value of Great Wall Motor has exceeded 280 billion yuan. In July, Wei Jianjun, the chairman of Great Wall Motor, launched a "life-and-death question" about the future of the enterprise, and the soaring market value was of great significance.

Wei Jianjun's thinking on the crisis and strategic transformation faced by enterprises is a wonderful story in the capital market. But after seeing enough stories about the capital market, Great Wall Motor mainly sees the existing achievements and the logic of sustainable growth. From a fundamental point of view, the sales scale and structure of Great Wall Motor have been upgraded this year, which also proves the correctness of the strategic transformation of Great Wall Motor in the past two years. This year, Great Wall Motor's transformation has further deepened its corporate genes and evolved into a "global technology travel company". If capital is looking for "Tesla" among traditional car companies, Great Wall Motor may be the best player.

Sales Beat the Market: Double Upgrade of Scale Structure

Less than a month after the end of Magic 2020, the annual sales target completion rate of various car companies has begun to become the focus of attention in the industry. While the sales of many car companies are bleak, Great Wall Motor has exceeded expectations. According to the latest production and sales data released by Great Wall Motor, the company sold1145,000 vehicles in 10, up by 2612% year-on-year; 1-1/kloc-0 sold 0,000 vehicles per month, up 0.75% year-on-year. This year, the monthly sales growth rate of Great Wall Motor continued to outperform the market. Under the situation that the cumulative sales volume in the month before the whole automobile market 165438+ 10 still decreased by 2.9% year-on-year, the cumulative sales volume of Great Wall Motor returned to positive year-on-year, and the annual sales target of1020,000 vehicles was greatly exceeded.

From the perspective of sales structure, Great Wall Motor has further reduced its heavy dependence on Haval brand and realized the sales distribution map of Haval, WEY brand, pickup truck and Euler. Harvard brand 1 1 increased by 22. 1 1% year on year. The position of Haval H6 is still strong, and the new car Haval Dog also shows the explosive potential. The high-end brand WEY is steadily improving its brand potential. Since the release of 20 16, the cumulative sales volume has approached 400,000 vehicles. The monthly sales of Great Wall pickup truck and Euler brand increased by 52.53% and 20. 17% respectively, and the monthly overseas sales of Great Wall Motor increased by 2.8%.

This year is a great year for Great Wall Motor's products, but this is not enough to explain the best-selling phenomenon. A good ending is often planned for a long time. As early as 20 18, Great Wall Motor built four brands: Haval, WEY, Great Wall pickup truck and Euler, and carried out product research and development and brand building. For the Haval brand, Great Wall Motor adheres to the focus strategy and successfully guards the position of SUV sales first; WEY has laid a good foundation for the brand breakthrough of Great Wall Motor's globalization. Pickups seized domestic policy opportunities; Euler's early positioning of mini-cars was also aimed at a blue ocean. In 20 19, Great Wall Motor started its globalization journey in an all-round way and accelerated the layout of overseas markets.

The growth of Great Wall Motor's sales volume is of high value, not the result of losing profits and brand tonality. Great Wall Motor's financial report data shows that although the net profit attributable to the epidemic decreased year-on-year in the first quarter, the net profit attributable to the epidemic increased year-on-year in the second and third quarters. Not only that, the gross profit margin of Great Wall Motor in the second and third quarters also increased year-on-year, and the gross profit margin in the third quarter reached the highest value in recent years, which was interpreted as an upgrade of the sales structure of Great Wall Motor. Great Wall Motor's new generation products have been intensively listed since this year, and the average selling price of products has gradually increased.

The profound technical layout is the basic support for the upgrading of Great Wall Motor products and the realization of hot sales. The financial report shows that Great Wall Motor invested 654.38+895 million yuan in R&D in the first three quarters, a year-on-year increase of 28.56%. Great Wall Motor's R&D layout covers core components, taking into account traditional fuel power, new energy, hydrogen fuel cells and other fields. This year, Great Wall Motor also branded its technology platform and released three technology brands: Lemon, Tank and Coffee Smart. Not long ago, it released the "lemon mixed DHT" technology with full speed domain and full scene. In addition, Great Wall Motor explores the transformation of digital intelligence through cooperation with Tencent and Dou Xian Intelligent. At the same time, whether it is product development or marketing model, Great Wall Motor is closer to users through the change of organizational structure, accurately attracting target consumers and meeting their car purchase needs.

Elephant Turn: Global Science and Technology Travel Company

The automobile market has been changing in recent years, and so has Great Wall Motor. 20 18 Great Wall Motor split its core parts business and operated independently, creating more growth poles. By 20 19, Great Wall Motor has owned four vehicle brands, namely Haval, WEY, Great Wall pickup truck and Euler, and four independent parts brands, namely Honeycomb Yichuang, Noble Automotive System, Mande Electronic Appliances and Seiko Automobile, and jointly built a crossbeam car with BMW. At the same time, Great Wall Motor has comprehensively accelerated its globalization strategy and laid out R&D production and sales systems in many countries.

These changes have been drastic in the industry, but until this year's epidemic, the fundamental system of enterprises has not been touched. In the first half of the year, news about the internal structure reform of Great Wall Motor emerged one after another, including the establishment of enterprise digital center and product digital center. On July 16, Wei Jianjun issued an open letter to enterprises, which comprehensively expounded the transformation ideas of Great Wall Motor. Great Wall Motor will carry out a "thoroughly remould oneself" transformation, and complete the transformation from "China automobile manufacturing enterprise to global science and technology tourism company". Wei Jianjun believes that only in this way can Great Wall Motor go further in the cold winter of the automobile market.

Only from the strategic positioning of global technology travel companies, Great Wall Motor meets the investment target attribute of the capital market. Tesla, Weilai, Ideality, Tucki, who just landed in the US stock market this year, never flaunted himself as a pure automobile manufacturer, but emphasized the attributes of users, intelligence and electrification, because these words point to the future of the automobile industry. However, if the ideal is full, whether it can be truly transformed into a "new force" from the inside out will test the confidence, determination, methodology and mobility of traditional car companies. This is destined to be a painful transformation, and Great Wall Motor took the lead in embarking on the journey with the mentality of empty cups returning to zero.

"Great Wall Motor used to be an engineer thinking, and later it was the OEM thinking. This year we also learned Internet thinking. " During this year's Beijing Auto Show, Meng, the newly established rotating president of Great Wall Motor, said. Technology, channels, brands, production, these capabilities are already available to Great Wall Motor, but it lacks Internet thinking to repackage these resources. Great Wall Motor aims at the transformation goal, starting from the basic level of system and culture, and touches the biggest difficulty of enterprise reform. For example, in terms of organizational structure, Great Wall Motor set up a single vehicle-oriented combat unit, which opened up and connected the path from commodity planning to product development.

"As long as we can't implement it in any direction, it may lead to the failure of the globalization strategy." Wei Jianjun said. From the first point of view that Tesla's market value surpasses Toyota's ranking, the car companies that can stand in the international market in the future will not be static traditional car companies, even if they are not new forces. In fact, the deep reform of Great Wall Motor has just begun, and the effect of gene rejuvenation has not been fully reflected. However, its technology and market layout, as well as the substantial increase in sales, reflect its ability to cope with the cold winter and reserve grain. In addition, the correctness of its transformation direction and its execution beyond peers have laid the foundation for its long-term growth.

This article comes from car home, the author of the car manufacturer, and does not represent car home's position.