Should it be sold for 2599 yuan or a bit higher?
It's still undecided for now.
Forget it, let's talk about it in a few days.
We'll wait until the sample car is out, observe market reactions, and then decide.
Additionally, preliminary market research needs to be done well, interviewing more white-collar workers and conducting surveys.
Because Flash Cycle targets lower-income groups, Tan Jincheng did not conduct a survey when initially setting the price.
The price was low enough, nearly 1000 yuan cheaper than mainstream models on the market, and with celebrity advertisements going viral, he didn't believe no one would be tempted.
For products that follow a cost-performance route, as long as quality control is up to par and production capacity keeps up, success is highly probable, just like Xiaomi, Hasee computers, and later Pinduoduo.
When ordinary people buy products, there's no one who dislikes cheap ones; even those with a bit of wealth like to snatch a small bargain.
This is a common human trait.
But Wind Cycle is different.
Wind Cycle needs to face a group of people who relatively value quality but don't have very high incomes.
Low price is not the only pursuit, so this pricing requires a reasonable range.
Theoretically, a price of 2599 is actually acceptable.
Spending a month's salary (calculated based on average salary) to buy a scooter is probably similar to spending a month's salary to buy a mobile phone.
Knock, knock, knock.
"Come in."
"Boss, regarding the land use approval submitted last time, the district asked us to supplement some materials?"
"What materials to supplement?"
"Regarding our factory construction plan, Secretary Zhao suggested it would be best to have a long-term plan. This would make it easier to calculate how much land to approve; otherwise, doing it in stages would be too much trouble."
Tan Jincheng stroked his chin.
These words carried some deeper meaning.
Logically, the materials submitted last time should have been sufficient.
If it was just a simple land approval, they could have processed it based on the previous submission.
If they could approve it, they would; if not, they would just send it back.
There's no need to go through all this trouble.
"Long-term plan? Hmm? Haha, interesting, I get it, I get it."
It really is necessary to maintain good relationships.
Some things can't be said explicitly.
It's just supplementing materials, no problem.
"Go get me a map of Beicang District, and also compile a list of industrial land transfer prices from recent years."
The electric scooter really gained momentum last year, and this year, after "road rights" opened up, it's been a free-for-all.
In terms of market share, Xinri ranks first with 200,000 units sold annually.
Other brands like Xiaolingyang, Hongdu Electric Vehicle, Supaiqi, etc., have relatively high market shares.
It's worth mentioning that although Xinri became the industry leader this year and sold 100,000 units last year, it can currently at most be considered a "newcomer."
The industry leader recognized by consumers is still Supaiqi.
Most of the first batch of electric scooter buyers chose the Supaiqi brand.
Before Supaiqi, there was no brand concept in the electric vehicle market; the true formation of brand concepts has only happened in the last two years.
It can be said that Tan Jincheng's timing to enter the market was quite good.
Additionally, his brand marketing approach was quite advanced.
As the first electric vehicle brand in the industry to invite a celebrity endorsement, although the total sales for this year will not reach 40,000 units, its brand awareness is not low.
Just like the era of fierce competition when the internet first emerged, the electric vehicle industry is currently in a similar state.
In such a competitive era, standing out, while attracting premature attention from competitors, also brings very clear advantages.
The marketing director of industry newcomer Xinri particularly admired and envied Flash Cycle's marketing strategy, which leveraged the Super Girl platform to instantly promote its brand nationwide.
In Yu Lin's opinion, as long as Flash Cycle's production capacity rapidly increases, with this wave of advertising effect, Flash Cycle can at least enter the top ten in the industry.
This was a very remarkable marketing campaign, especially since the Super Girl competition is held annually.
As long as Flash Cycle continues to advertise on Mango TV during next year's Super Girl competition, it can once again ride a wave of popularity.
Being famous definitely has its advantages.
If the established leader in the electric vehicle market is Supaiqi, and the newcomer is Xinri, then in Tan Jincheng's eyes, his Flash Cycle can be considered an "internet celebrity."
How to advance from an "internet celebrity" to a "star," and then to an industry leader – this is the problem Tan Jincheng faces.
Building a factory, owning his own electric vehicle production base, and no longer having to rent factories everywhere – this is the best step.
A production base and a factory building are two different concepts!
"Since that's the case, let's be a bit bolder. Whether it gets approved or not, we'll see then,"
Tan Jincheng chuckled softly.
Shortly after, Zhang Xuhui handed over the Beicang map and the compiled industrial land transfer prices from previous years.
Tan Jincheng, referring to the map and his memories from his previous life, envisioned where it would be most suitable to establish the electric vehicle base.
Ideally, Tan Jincheng wanted to place the base in Daqi Town.
The living environment there might be a bit inferior, but it was very suitable for building a factory.
The Yong-Tai-Wen Expressway runs through the entire area, it's adjacent to Yinzhou District, and the location is also suitable for a port.
Whether transporting goods to other provinces and cities via the expressway or engaging in export business via the port, it is extremely convenient.
"It would be great if it could be here."
Based on his impression from his previous life, Tan Jincheng roughly sketched an area.
The location adjacent to Yinzhou District will be a very large industrial zone in the future, with some parts involving demolition.
Currently, it's a rural area, with few residents apart from some farmers, so arranging things should be much less difficult.
They only need barren land, so there are fewer population issues to resolve.
Some demolition areas are also 10-odd years away.
After the base is built, it can also solve employment problems for some landless farmers.
No big problem, right?
Subsequently, Tan Jincheng drew several alternative areas, mainly in Daqi Town and Xiapu Town.
As for the urban Xinqi Street area, Tan Jincheng dared not pursue it.
Firstly, the urban planning would definitely be for more than a decade later, so there was a high probability of not being able to acquire it.
Secondly, even if he did acquire it, the base area would definitely be much smaller.
Having the production base fragmented due to demolitions planned for several or even more than ten years later would be somewhat inappropriate.
After determining the location, Tan Jincheng glanced at the industrial land transfer prices over the years.
Even in Beicang in 2005, the transfer price for industrial land was very cheap.
According to the standards implemented by Zhejiang Province, the minimum price for industrial land in Beicang District was less than 170,000 yuan per mu.
Converted to square meters, it was roughly 250 yuan per square meter.
This was still relatively high; in some other cities in Zhejiang Province, land cost tens of thousands of yuan per mu.
This was in economically developed coastal provinces and cities, yet land prices were so cheap.
In some small inland counties eager for development, if you invested in building a factory, they might even give you the land for free, and also offer very substantial tax incentives.
"How big should it be? How big is a standard soccer field? Less than 11 mu, right? So let's make it a bit bigger than a soccer field."
—
"Yongcheng Flash Cycle Technology Co., Ltd. primarily engages in the design, research, development, manufacturing, and sales of green energy electric two-wheelers.
It plans to produce 1 million electric vehicles annually and also intends to attract related supporting enterprises to settle in. The related industrial chain is expected to generate a total annual output value of five billion yuan.
The company plans to establish its first production base in Beicang District in 2006, with an estimated land area of 150 mu and a planned investment of 200 million yuan. We hope the relevant departments will provide land use approval."
"Hmph, this young man's ambition is not small. 1 million units! Their company's sales volume this year is less than 40,000 units, right? Yet, his tone is quite confident."
Leader Gu couldn't help but laugh and chide as he saw the resubmitted application materials.
"Haha, his ambition is indeed not small, but I've recently investigated them. Their vehicles are selling very well, in short supply. The reason for the current low sales is due to production capacity. In the second half of this year, they've been one of the hottest electric vehicle brands."
The leader glanced at his secretary, not responding, but his fingers unconsciously tapped lightly on the desk.
Zhao Jinsheng understood immediately upon seeing this: the leader was deep in thought, so he said no more.
The electric vehicle industry in 2005 could definitely be considered an emerging industry, and also a year of rapid development for the sector.
Compared to the data Tan Jincheng collected, the data Zhao Jinsheng possessed was even more detailed.
Although this year has not yet ended, based on the 10-month data model, the full year's data can largely be estimated.
Whether looking at sales revenue or sales volume, compared to last year, the industry growth rate is at least between 15% and 20%.
The intuitive data is that the total sales of electric vehicles for the entire year of 2005 should be around 10 million units, and the number of electric vehicle manufacturers nationwide, big and small combined, should already be close to a thousand.
After two years of rapid development, some economists' analysis of the 2006 electric vehicle market predicts sales will exceed 20 million units! Undeniably, next year will be a year of rapid growth.
Among these nearly thousand enterprises, Flash Cycle Technology's planned annual production capacity is 10% of this year's total sales! Its ambition is indeed considerable.
The land use standard was also raised directly to 150 mu, larger than ten standard soccer fields.
His nerve was truly considerable.
Zhao Jinsheng even wondered if this guy hadn't understood his hint, or understood it too well?
As for investing 200 million yuan, that's just talk.
Even if he truly invested it, it wouldn't be a one-time thing.
Besides, this kid doesn't have that much money, so he'll inevitably have to use the land for mortgage loans.
"Are young people today all this daring? Or did he get 50 million yuan recently and get carried away?"
Zhao Jinsheng couldn't help but wonder to himself.
As Zhao Jinsheng had always paid attention to Flash Cycle and Tan Jincheng, he naturally knew about the equity change in Jinpeng Trade.
He also knew that Tan Jincheng had exchanged his shares for 50 million yuan (pre-tax) in cash.
Selling shares of a well-run trading company at a low price, and then immediately injecting 35 million yuan into Flash Cycle Technology – isn't his intention clear?
Undoubtedly, this young man has great ambition, meaning that the new application materials he submitted are very likely to be genuine!
His thoughts drifted, and having understood everything, Zhao Jinsheng couldn't help but feel a moment of trance.
(End of chapter)