BYD Brand Enhancement Plan

Contents
Contents ......................................................................................................................................................... I
I. COMPANY OVERVIEW ................................................................................................................ - 1 -
A. History and Background of BYD .............................................................................................. - 1 -
C. The market position and share of BYD (Build Your Dreams): .............................................. - 4 -
D. The Organizational Structure and Resources of BYD ............................................................ - 5 -
II. MARKET ANALYSIS ..................................................................................................................... - 7 -
A. Relying On the Advantages of China's Industrial Chain to Reduce Production Costs. ....... - 7 -
B. Leveraging China's Industrial Chain Advantages for Cost-................................................... - 8 -
C. Brand Positioning To Enhance Brand Awareness ................................................................. - 11 -
D. Brand Going Global and Exploring Overseas Markets ........................................................ - 13 -
E. Marketing & SWOT Analysis .................................................................................................. - 15 -
III. BRAND AUDIT AND ASSESSMENT ........................................................................................... - 18 -
A. Current Brand Identity and Equity ........................................................................................ - 19 -
B. Perception Analysis among Customers and Stakeholders .................................................... - 20 -
C. Strengths, Weaknesses, Opportunities, and Threats Pertaining to BYD's Brand .............. - 21 -
IV. BYD BRAND ENHANCEMENT STRATEGY ............................................................................................ - 23 -
A. Brand Vision and Mission Statement Refinement: ................................................................ - 24 -
B. Brand Promise and Positioning Framework: ......................................................................... - 24 -
C. Unique Selling Proposition (USP) Development: ................................................................... - 24 -
D. Brand Architecture and Portfolio Optimization:................................................................... - 25 -
E. Global Strategy and Partnerships: .......................................................................................... - 25 -
V. MARKETING AND COMMUNICATION STRATEGIES ............................................................ - 26 -
A. Integrated Marketing Communications (IMC) Plan:............................................................... - 26 -
B. Pricing and Packaging Strategies Reflective of Enhanced Brand Value: ............................... - 26 -
C. Channel and Distribution Network Strengthening: .................................................................. - 26 -
D. Customer Journey Mapping and Experience Enhancement: .................................................. - 26 -
VI. SUSTAINABLE AND CSR INITIATIVES .................................................................................... - 27 -
A. Aligning Brand Values with Sustainability Goals: ................................................................... - 27 -
B. Eco-Friendly Product Development and Green Technologies: ................................................ - 27 -
C. CSR Programs and Community Engagement: ......................................................................... - 27 -
VII. IMPLEMENTATION AND ACTION PLAN ................................................................................ - 28 -
B. Resource Allocation and Management: ..................................................................................... - 28 -
C. Budget Breakdown for Brand Enhancement Initiatives: ......................................................... - 29 -
D. Performance Metrics and KPIs: ................................................................................................. - 29 -
VIII. MONITORING AND EVALUATION ......................................................................................... - 30 -
A. Brand Health Tracking and Measurement: .............................................................................. - 30 -
B. Customer Feedback Mechanisms: .............................................................................................. - 30 -
C. Continuous Improvement Loop through Data Analytics:........................................................ - 30 -
D. Regular Review and Adjustment of Brand Enhancement Strategies: .................................... - 30 -
CONCLUSION ....................................................................................................................................... - 31 -
A. Enhancing BYD’s Brand Recognition and Equity ................................................................. - 31 -
B. Potential Impact on Company Growth and Financial Performance ....................................... - 31 -
C. Future Outlook and Long-term Brand Stewardship ................................................................ - 31 -
REFERECES .......................................................................................................................................... - 33 -
 I. COMPANY OVERVIEW
A. History and Background of BYD
Certainly! Let’s delve into the fascinating history and background of BYD (Build Your Dreams).
Founded in February 1995 by Wang Chuanfu, BYD is a high-tech company that has made
significant strides in various industries. Here’s a glimpse of its journey:

1. Origins and Early Days:

o Wang Chuanfu, born in 1965, is the driving force behind BYD. His academic
background includes degrees in chemistry and materials science. In the early 1990s, he
worked as a researcher and assistant professor at Beijing Technical University,
specializing in accumulators and batteries.

o Recognizing opportunities for improvement in Chinese battery production, Wang decided

to establish his own company. In February 1995, he registered BYD as a manufacturer of
rechargeable batteries.

2. Shenzhen: The Right Place:

o Wang’s decision to set up BYD in Shenzhen was strategic. Shenzhen, once a swampy
farming village, transformed into a vibrant city known for its lightning-fast innovation and
electronics industry.

-1-
 o Often referred to as the Silicon Valley of China, Shenzhen became home to companies
like Huawei, Tencent, DJI (drone maker), and, of course, BYD.

3. The Meaning Behind “BYD”:

o BYD proudly states that the acronym stands for ―Build Your Dreams,‖ which they
prominently display on most of their car models.

o Interestingly, in an old interview, Wang mentioned that the letter combination had no
specific meaning when he first came up with it. However, he later confided that it secretly
stood for ―Bring Your Dollars.‖

4. From Batteries to Automobiles:

o Initially a battery company, BYD expanded its horizons. It ventured into new-energy-
powered automobiles and other energy-related industries.

o Leveraging its rich background in batteries, BYD became the first electric vehicle (EV)
original equipment manufacturer (OEM) with a vertically integrated value chain,
positioning itself as a global leader in the EV market

B. The Current Products And Services Offerings From BYD (Build Your
Dreams)

-2-
BYD’s commitment to innovation, sustainability, and cutting-edge technology positions it as a
global leader in the electric vehicle industry.

1. Automotive Innovation:

BYD is a pioneer in new energy vehicles (NEVs) and has expertise in three core technologies:

 Battery Technology: BYD is the world’s leading manufacturer of power batteries,

with a projected annual battery output capacity of 28 GWh in 2018.

 Electric Motors: BYD designs and produces electric motors for its vehicles.

 Electronic Controls: BYD develops advanced electronic control systems for NEVs.

542 Initiative: BYD’s High-Performance DM (dual-mode) Models feature the 542 initiative:

 5: Acceleration from 0–100 km/h in less than 5 seconds.

 4: Electric 4-wheel drive with a response time of 0.02 seconds.

 2: Fuel consumption under 2L/100km.

Dual-Mode Technology: BYD pioneered combining internal combustion engines with electric
motors, allowing vehicles to switch between pure electric and hybrid modes. This technology
provides extraordinary power while maintaining fuel efficiency and environmental friendliness.

-3-
 2. Easy Charging:

o BYD vehicles can be charged at various locations, from household wall outlets to public
charging poles.

o Environmentally friendly and energy-efficient, BYD vehicles can run solely on electricity
for short distances and use fuel for longer trips.

3. Extraordinary Power:

o Dual-Mode technology significantly increases engine power output and RPMs, achieving
a maximum power output of 371 kW and a maximum torque of 820 Nm.

o The BYD Qin Sedan, using Dual-Mode technology, consumes only 1.6L of fuel per 100
km (under MIIT test standards)

C. The market position and share of BYD (Build Your Dreams):

BYD’s innovative approach, global reach, and commitment to sustainable solutions position it
as a major player in the automotive and renewable energy industries. Today, BYD is not only a
leading producer of rechargeable batteries but also of automobile and cell phone components.

Two principal subsidiaries, namely BYD Auto Co., Ltd., and BYD Electronics (International)
Co., Ltd., were established in 2003 and 2007, respectively.

1. Global Presence and Sustainable Development of BYD:

As a pioneer in sustainable development, BYD operates in more than 50 countries, delivering

renewable energy solutions worldwide. By the end of 2021, the number of patents granted to
BYD amounted to 19,837 in China and 3,411 overseas. In return, BYD’s revenues have been
significantly growing, surging to 216.1 billion yuan in 2021.

Achieving this level of performance is directly linked to the significant investments in the
research and development of new technologies, evidenced by the 10.6 billion yuan in R&D
spending that year.

-4-
 2. Financial Outlook:

o Revenue for BYD is projected to reach US$82 billion in 2024.

o The company’s revenue is expected to show an annual growth rate (CAGR 2024-
2028) of 1.32%, resulting in a projected market volume of US$87 billion

D. The Organizational Structure and Resources of BYD

BYD’s organizational structure and resource allocation position it as a global leader in electric
vehicles and sustainable solutions.
1. Organizational Structure:
BYD’s corporate structure is characterized by a matrix organization. Here are the key features:
 Matrix Structure: BYD combines functional departments (such as R&D and Sales) with
product-based divisions (such as Dynasty, Ocean, and Commercial Vehicles). This matrix
structure fosters collaboration, flexibility, and a focus on specific product lines.
 Independent Brands: BYD has moved toward allowing its car brands (like Dynasty and
Ocean) to operate independently. This strategy caters to distinct market segments with
tailored brand identities and marketing efforts.
 Emphasis on R&D: BYD prioritizes internal research and development. It has dedicated
institutes for each brand and separate units for core technologies like DM-i hybrids and
intelligent driving, fostering innovation and control over key components.
 Vertical Integration: BYD vertically integrates key aspects of its supply chain, including
battery production and some vehicle components. This approach enhances cost control and
quality assurance.
 Regional Variations: BYD’s structure adjusts to regional needs, with separate sales
divisions and local leadership teams managing specific markets. This responsiveness
ensures adaptability to diverse customer preferences and regulations.
2. Resources:
o Patents: BYD holds a significant number of patents, with 19,837 in China and 3,411
overseas by the end of 2021.
o Revenue: BYD’s revenues have been growing, reaching 216.1 billion yuan in 2021.
o Research and Development: BYD invests heavily in R&D, driving innovation and
technological advancements.

-5-
o Vertical Integration: BYD’s vertical integration extends to battery production and
other critical components, ensuring quality and cost efficiency.

BYD Company Limited Organizational Chart

-6-
 II. MARKET ANALYSIS
A. Relying On the Advantages of China's Industrial Chain to Reduce
Production Costs.
As one of the world's largest manufacturing powers, China is undergoing a transformation from a
"manufacturing power" to a "manufacturing powerhouse" under the trend of Industry 4.0. This
transformation is not only reflected in the improvement of technological level and product
quality, but also in the overall innovation capability and global competitiveness of China's
manufacturing industry.

China has a complete supply chain system, with a mature supply chain network from raw
material procurement to product manufacturing and logistics, which provides convenience and
advantages for enterprises, reduces production costs, and improves production efficiency.

China has a huge talent reserve, especially in fields such as engineering technology and scientific
research, with abundant talent resources. At the same time, the Chinese government and
enterprises are also increasing investment in talent cultivation and skill enhancement, cultivating
a large number of high-quality technical talents, providing strong support for the development of
the manufacturing industry.

Seize the opportunity of new energy, innovate products, and launch competitive products.

In the era of 2G communication, brands such as Nokia, Motorola, and Samsung dominate the
market. With the development of 3G technology, Chinese mobile phone brands have relied on
the advantages of the Chinese industry chain to launch smartphones with comparable
performance at lower prices, forming a sharp contrast with overseas brands' prices of three to
four thousand yuan, quickly occupying the market. Nowadays, Chinese brands have occupied
three seats in the top five of the global mobile phone market.

-7-
 B. Leveraging China's Industrial Chain Advantages for Cost-
Effective Production and Innovation.In the backdrop of China's metamorphosis from a 'manufact
uring giant' to a 'manufacturing powerhouse' amidst the Industry 4.0 revolution, BYD is strategic
ally poised to capitalize on this transformation. As one of the most formidable manufacturing nat
ions globally, China's advancement extends beyond mere technological sophistication and produ
ct refinement; it now underscores an overarching innovative capacity and enhanced global comp
etitiveness within its manufacturing sector.

Under this context, the BYD Brand Enhancement Plan capitalizes on China's unparalleled indust
rial chain advantages. The country boasts a fullyfledged supply chain ecosystem that spans from
raw material sourcing through to manufacturing processes and logistics management. This robust
and mature supply chain infrastructure confers substantial benefits to businesses like BYD, signi
ficantly reducing production costs and bolstering operational efficiency. It ensures a seamless flo
w of materials and components, enabling agile responsiveness to market demands and fostering s
ustainable growth.

Moreover, China possesses an immense talent pool, particularly in key areas such as engineering
technology and scientific research. There is a continuous nurturing of expertise, as both the gover

-8-
nment and private enterprises invest heavily in talent cultivation and skill enhancement programs
. This concerted effort has resulted in a burgeoning generation of top-
tier technical professionals who provide the bedrock for the manufacturing industry's advanceme
nt, including BYD's continued innovation and excellence.

The BYD Brand Enhancement Plan further aligns with the opportune rise of new energy technon
ogies. In a similar vein to how Chinese mobile phone brands seized the shift from 2G to 3G, leve
raging local industrial advantages to disrupt the global smartphone market with competitively pri
ced yet high-
performance devices, BYD aims to replicate this success. In the present day, where Chinese bran
ds occupy three out of the top five spots in the worldwide mobile phone market, BYD is poised t
o do the same in the burgeoning electric vehicle and renewable energy sectors.

With a commitment to green technology and sustainability, BYD is innovating its product line to
introduce groundbreaking and effective solutions in the new energy landscape. By leveraging it
s position within China's advanced industrial chain, the company will design and manufacture cu
tting-
edge products that can compete fiercely against international counterparts while offering greater
value to consumers. This strategic initiative is set to reinforce BYD's brand presence, enhance its
market share, and ultimately propel it towards becoming a global leader in the new energy and a
utomotive domains.

-9-
Similar patterns can be applied in the field of electric vehicles. Chinese automotive brands are
expected to leverage their industry chain advantages and technological innovation to accelerate
their development in the field of new energy vehicles. By reducing production costs, improving
technological level, accurately grasping market demand, and launching competitive products,
Chinese automobile brands can quickly enter domestic and international markets, engage in
fierce competition with traditional automobile brands, and gradually achieve a transformation
from catching up to leading.

In the dynamic landscape of electric vehicles (EVs), parallels can be drawn to the successful leap
frogging strategies employed by Chinese mobile phone manufacturers. Riding the wave of Indust
ry 4.0 and the rapid evolution of green energy, the BYD Brand Enhancement Plan is designed to
maximize China's robust industrial chain advantages and cutting-
edge innovations in the realm of new energy vehicles (NEVs).

In recent years, Chinese automotive brands, including BYD, are anticipated to significantly capit
alize on their vertically integrated industry chains and relentless technological advancements to e
xpedite their ascendancy in the NEV market. Through meticulous optimization of production cos
ts, constant elevation of technological standards, and precise targeting of market trends and cons
umer preferences, these brands aim to engineer and roll out highly competitive EV models.

This strategy empowers Chinese automobile brands to swiftly penetrate both domestic and intern
ational markets, challenging the dominance of traditional automakers. The BYD Brand Enhance
ment Plan, in particular, focuses on leveraging these strengths to disrupt conventional market dy
namics. By introducing cost-effective, high
performance, and environmentally friendly EVs, BYD seeks to establish itself as a formidable co
ntender, effectively transitioning from a follower to a global leader in the NEV segment.

Latest developments affirm this trajectory. China's EV market continues to grow exponentially, b
acked by supportive government policies and significant investments in R&D. BYD, with its ext
ensive experience in battery technology and comprehensive understanding of the evolving autom

- 10 -
otive ecosystem,
is wellpositioned to lead this transformative charge. The plan envisages aggressive product innov
ation, accelerated market penetration, and strategic partnerships to foster a sustainable competitiv
e edge.

Thus, the BYD Brand Enhancement Plan envisions harnessing the full potential of China's advan
ced industrial capabilities and fostering a culture of continuous innovation to redefine the future
of electric mobility. This strategic blueprint not only aims to enhance BYD's brand equity but als
o to catalyze the broader adoption of NEVs worldwide, thereby contributing to a greener and mo
re sustainable future.

C. Brand Positioning To Enhance Brand Awareness

Since its pioneering entry into the mass-production of plug-

in hybrid vehicles in 2008, BYD has steadfastly evolved, culminating in a landmark decision in
March 2022 to cease manufacturing and sales of gasoline-
powered vehicles altogether. This pivotal move signifies BYD's metamorphosis into a pure-

- 11 -
play new energy vehicle (NEV) brand, setting it on a direct path to challenge industry giants like
Tesla. However, while both brands are at the forefront of the NEV revolution, their approaches t
o branding and product diversification differ significantly.

Tesla's lineup is characterized by a streamlined portfolio of five core models: the Model 3, Mode
l Y, Model S, Model X, and the upcoming Cybertruck, each representing a distinct segment withi
n the luxury and performance EV markets. On the other hand, BYD's passenger car division has
strategically embarked on a multi-
brand matrix formation, cultivating a diverse ecosystem that currently includes the flagship BYD
brand, the premium Tengshi brand, the high-performance Yangwang brand, and the budget-
friendly Eq. Leopard brand.

Beyond the passenger car segment, BYD boasts an expansive product spectrum encompassing co
mmercial vehicles and even forklifts
three key categories that have become integral components of its growth strategy. Furthermore,
BYD's footprint extends across four major sectors
electronics, automobiles, new energy, and rail transit—
thus creating a sprawling industrial chain supply chain system predicated upon its new energy bu
siness ventures.

The BYD Brand Enhancement Plan capitalizes on this diversified approach, enabling the compa
ny to carve out unique niches and assert a strong presence in multiple product segments. By enga
ging in differentiated competition, BYD aims to amplify its brand appeal, exploiting untapped m
arket opportunities, and enhancing its overall brand influence. Its holistic view of the transportati
on sector allows it to leverage synergies among its various businesses, thereby reinforcing its pos
ition as a trailblazer in the NEV market and beyond.

Incorporating the latest market intelligence, BYD's strategic repositioning has been met with rem
arkable success. Its commitment to innovation, sustainability, and broadening its reach through v
aried brand identities and product offerings underscores its determination to lead the global transi
tion to clean energy solutions. This ambitious plan reflects BYD's vision to build a future-

- 12 -
proof brand that resonates with consumers seeking both eco-conscious choices and cutting-
edge technology, thereby strengthening its global brand recognition and competitiveness.

D. Brand Going Global and Exploring Overseas Markets

Since its pioneering entry into the mass-production of plug-
in hybrid vehicles in 2008, BYD has steadfastly evolved, culminating in a landmark decision in
March 2022 to cease manufacturing and sales of gasoline-
powered vehicles altogether. This pivotal move signifies BYD's metamorphosis into a pure-
play new energy vehicle (NEV) brand, setting it on a direct path to challenge industry giants like
Tesla. However, while both brands are at the forefront of the NEV revolution, their approaches t
o branding and product diversification differ significantly.

Tesla's lineup is characterized by a streamlined portfolio of five core models: the Model 3, Mode
l Y, Model S, Model X, and the upcoming Cybertruck, each representing a distinct segment withi
n the luxury and performance EV markets. On the other hand, BYD's passenger car division has
strategically embarked on a multi-
brand matrix formation, cultivating a diverse ecosystem that currently includes the flagship BYD
brand, the premium Tengshi brand, the high-performance Yangwang brand, and the budget-
friendly Eq. Leopard brand.

- 13 -
Beyond the passenger car segment, BYD boasts an expansive product spectrum encompassing co
mmercial vehicles and even forklifts—
three key categories that have become integral components of its growth strategy. Furthermore,
BYD's footprint extends across four major sectors—
electronics, automobiles, new energy, and rail transit—
thus creating a sprawling industrial chain supply chain system predicated upon its new energy bu
siness ventures.

The BYD Brand Enhancement Plan capitalizes on this diversified approach, enabling the compa
ny to carve out unique niches and assert a strong presence in multiple product segments. By enga
ging in differentiated competition, BYD aims to amplify its brand appeal, exploiting untapped m
arket opportunities, and enhancing its overall brand influence. Its holistic view of the transportati
on sector allows it to leverage synergies among its various businesses, thereby reinforcing its pos
ition as a trailblazer in the NEV market and beyond.

Incorporating the latest market intelligence, BYD's strategic repositioning has been met with rem
arkable success. Its commitment to innovation, sustainability, and broadening its reach through v
aried brand identities and product offerings underscores its determination to lead the global transi
tion to clean energy solutions. This ambitious plan reflects BYD's vision to build a future-
proof brand that resonates with consumers seeking both eco-conscious choices and cutting-
edge technology, thereby strengthening its global brand recognition and competitiveness.

- 14 -
 E. Marketing & SWOT Analysis
Based on the Boston matrix model for the analysis, for the current BYD Company, the new
energy vehicle business belongs to the Star, with a high market share and a high market growth
rate. As exhibited in Fig. below. For the Stars business, it is important to take the market share
rapidly. For the Stars business, the competition will be going to get more intense. In January
2022, BYD's passenger car sales reached 92,926 units, up 367.65% year on year, and increased
by more than three times compared with the same period last year! In addition, despite the global
chip shortage, ranking at the top of Chinese mainland new energy vehicle sales, occupying the
largest share of China's new energy vehicle market. Table. lists the detail comments from
SWOT analysis

- 15 -
Challenges include inadequate brand recognition in global markets and competition from
well-established brands.

- 16 -
 Table 1. The SWOT model for the analysis
Strength At first, BYD made its fortune through batteries with rich technological reserves and a
relatively complete supply chain. It can greatly reduce the production costs, and the
final price of the sedan is low. Take BYD Han EV as an example, its official price is
214,800 to 284,500. With the same level of competitors, Xiaopeng P7 official price is
22.42~40.99. Tesla Model 3 is 266,7400 to 339,900 yuan. NiO ET 5 is 328,000 to
386,000 yuan. Secondly, occupy a large number of markets in the new energy vehicle
industry, BYD company has a high brand awareness. Customers are familiar with the
brand. Customers are more assured of the quality, and have a relatively strong
willingness to buy.
Weakness Firstly, the publicity intensity is not in place. The traditional consumers do not
understand the safety, comfort, and convenience of new energy vehicles. The mass
market has a certain resistance to new things like new energy vehicles, which can not
fully accept and spend money to buy. Moreover, supporting facilities are not perfect.
Charging piles are not complete, and the charging piles have not been popularized in
various cities and regions. As a result, the owners of new energy vehicles need to park
their cars in the charging piles a few kilometers away from home. Then this segment of
consumers has to walk home. China's total number of charging piles and charging
stations for new energy vehicles lags far behind the sales volume and registration
volume of new cars. It has increased customers' concerns about consuming new energy
vehicles.
Opportunity In the first place, the concept of environmental protection and sustainable development
is popular. The exhaust emissions of fuel vehicles exceed the standard, seriously pollute
the air. It increases the PM 2.5 concentration, and reduce the air quality. The national
government vigorously advocates the use of new energy vehicles and green travel.
Customers will choose to buy new energy vehicles to save energy and help with
sustainable development. Secondly, gasoline price is becoming more expensive, and so
far, the price of No. 92 gasoline has soared to 9 yuan per liter. Consumers spend too
much on refueling and turn to new energy vehicles. Finally, with the completion of a
well-off society, the domestic per capita consumption level has gradually increased,
which can afford the price of a new energy vehicle .

Threat Policy support for new energy vehicles is facing the whole industry, not for BYD
company exclusive. At the same time, under the background of preferential policies,
new energy automobile industry competition is intensifying. Although by now in
mainland China new energy vehicle sector occupy the absolute big market. Japanese
hybrid power cars are cheaper and cheaper. German and American luxury new energy
vehicles are entering the Chinese market. The traditional fuel car brand research on new
energy vehicles, which means that the industry competition is intensifying. It will be a
great threat to Byd in the future.

- 17 -
 III. BRAND AUDIT AND ASSESSMENT
BYD’s brand value, technological innovations, global presence, and commitment to
sustainability position it as a fast-growing and impactful player in the automotive industry.
Brand Value and Growth:
BYD entered Brand Finance’s Global 500 for the first time in 2010, with a brand value of $2.1
billion US dollars, ranking 469th. In 2021, BYD Auto achieved the milestone of launching 1
million new energy vehicles, making it the first Chinese brand to do so.
BYD has consistently topped annual sales of new energy vehicles in China, with 603,783
units sold in 2021.
Multinational Corporation:
BYD focuses on four major industries: automobiles, rail transit, new energy, and electronics.
With 35,000 research and development engineers and 22,000 authorized global patents, BYD has
introduced groundbreaking technologies such as the blade battery, DM-i technology platform,
and e-platform 3.0.
Global Reach:
BYD leads global green travel, practicing its brand proposition of technology, green, and future.
It aims to ―cool the earth by 1℃.‖ BYD operates in more than 300 cities in 50 countries and
regions globally. In Europe, BYD accounts for 20% of the market share of electric buses, making
it the top manufacturer.
Its overseas electric passenger vehicle business is also expanding.
CSR Philosophy:
o BYD actively releases corporate social responsibility (CSR) reports to inform the
public and showcase its commitment to sustainability.
o These reports date back to as early as 2010

- 18 -
 A. Current Brand Identity and Equity
BYD’s brand identity continues to evolve, with FANG CHENG BAO adding a unique
dimension to its diversified brand matrix. The company’s commitment to innovation,
sustainability, and personalized experiences reinforces its brand equity in the automotive
industry.
1. FANG CHENG BAO:
o On June 9, 2023, BYD officially announced its new sub-brand, FANG CHENG
BAO.
o FANG CHENG BAO specializes in professional and personalized identities,
catering to the increasingly unique needs of consumers.
o As the fifth brand in BYD’s matrix, FANG CHENG BAO joins the ranks of
Dynasty, Ocean, Denza, and Yangwang.
o The vehicle lineup of FANG CHENG BAO includes off-road vehicles and sports
cars, with its initial model being a hardcore SUV codenamed SF.
o The brand name FANG CHENG BAO translates to ―Formula‖ and ―Leopard‖ from
Chinese, symbolizing the pursuit of transformative rise and exploration of digital
realms.
o BYD envisions FANG CHENG BAO as the prelude to a greater revolution beyond
the transition to electric cars, decoding the future of personalized car life through its
diverse range of new energy vehicle products.
2. New Logo Design:
o On January 1, 2021, BYD launched a new brand identity with an updated logo.
o The logo design represents ―open closed spaces,‖ emphasizing infinite touch points
and an innovative attitude to connect users and partners.

- 19 -
 3. Brand Equity:
o Brand equity refers to the intangible value a brand holds in the minds of consumers.
o BYD’s remarkable ascent within the global economy positions it as a symbol of
China’s economic success story.
o Founded in 2005, BYD’s focus on rechargeable batteries and electric vehicles has
contributed to its brand equity and recognition worldwide

B. Perception Analysis among Customers and Stakeholders

BYD’s innovative culture, strategic vision, and stakeholder engagement have shaped positive
perceptions among customers and stakeholders, solidifying its position as a leader in the electric
vehicle industry.
Market Positioning and Recognition:
BYD, a Chinese company renowned for its production of electric vehicles and batteries, has
garnered global recognition for its innovative approach in the business arena.
Despite intense competition in the new energy vehicle market, BYD has strategically positioned
itself as a trailblazer in the electric vehicle domain.
Innovation Ecosystem Design:
To overcome challenges such as low brand recognition in global markets, BYD adopted a
comprehensive approach to design its innovation ecosystem.
Key elements of BYD’s innovation ecosystem include:
 Vision and Strategy: BYD aligns its innovation efforts with long-term goals and market
trends.
 Innovation Culture: Employees are encouraged to explore new ideas, take risks, and
think outside the box.
 External Resources and Networks: BYD collaborates with research institutions,
universities, suppliers, and other stakeholders to access expertise and cutting-edge
technology.
 Initiatives and Platforms for Innovation: BYD hosts innovation contests, hackathons,
and collaborations with start-ups.
 Evaluation and Improvement: Regular assessment drives continuous improvement11.
2. Stakeholder Empowerment:
o BYD actively involves a diverse range of perspectives through co-creation
activities.

- 20 -
 o This approach empowers stakeholders and contributes to the overall success and
sustainability of BYD.
o By addressing evolving customer needs and fostering collaboration, BYD ensures
its products and services remain relevant and impactful

C. Strengths, Weaknesses, Opportunities, and Threats Pertaining to BYD's Brand

BYD’s strengths in vertical integration, market leadership, and technological capabilities
position it well, but it must address weaknesses and navigate external threats to maintain its
success.
1. Strengths:
Vertical Integration and Cost Advantage:
 BYD’s deep vertical integration gives it a significant cost advantage.
 Owning and operating its entire supply chain, from battery production to key vehicle
components, streamlines communication and reduces costs.
 Analysts estimate a 25-30% cost advantage over competitors due to this integration.
 Quality control and adherence to standards are also enhanced.
Market Leadership at the Global Scale:
 BYD overtook Tesla in EV sales, delivering a record 526,000 battery-only vehicles in the last
quarter of 2023.
 Its strong presence in the global electric vehicle market contributes to its market leadership.
Leadership in Technological Capabilities:
 BYD’s advanced battery technology and self-developed electric motors showcase its
technological prowess.
 Innovation efforts are fueled by vertical integration and control over the entire value chain.
2. Weaknesses:
Brand Image Perception:
 Some associate Chinese quality with being low, affecting BYD’s international brand
perception.
Overdependence on Domestic Market:
 Relying heavily on the Chinese market poses risks if domestic conditions change.

Broad Range of Business:

- 21 -
 BYD’s diverse product portfolio (including buses, trucks, and energy storage solutions) may
lead to resource dispersion.
Dependence on Chinese Government EV Subsidies:
 BYD’s success is partly tied to government support, which can be volatile.
3. Opportunities:
International Market Expansion:
 BYD can capitalize on emerging markets beyond China.
Formation of Strategic Partnerships:
 Collaborations with other companies can enhance BYD’s global reach and technology
exchange.
Increasing Relevance and Popularity of EVs:
 The global shift toward electric vehicles presents growth opportunities.
Technological Advancements:
 BYD can continue to innovate and develop breakthrough technologies.
4. Threats:
Intensifying Competition:
 Rival automakers and new entrants pose challenges.
Trade Conflicts Between China and USA:
 Geopolitical tensions can impact BYD’s operations.
Issues in Sourcing Key Components:
 Supply chain disruptions or shortages may affect production.
Global Economic Slowdown:
 Economic downturns can impact consumer demand and purchasing power.

- 22 -
 IV. BYD BRAND ENHANCEMENT STRATEGY
BYD’s brand enhancement strategy combines innovation, partnerships, sustainability, and a
customer-centric approach to solidify its position as a leader in the electric vehicle industry.

Research and Development (R&D) Excellence:

BYD’s commitment to R&D has been a cornerstone of its success. Continuously investing in
cutting-edge technologies, BYD ensures it stays ahead of the curve.
The company’s expertise in battery technology, electric motors, and electronic controls gives it a
competitive edge.
Vertical Integration and Cost Advantage:
BYD’s vertical integration—from battery production to vehicle assembly—reduces costs and
enhances quality control.
This cost advantage allows BYD to offer competitive pricing for its electric vehicles.
Market Leadership and Recognition:
BYD’s dominant position in the Chinese NEV market reflects its success.
The company’s brand recognition and market share contribute to its overall brand enhancement.
Strategic Partnerships:
BYD collaborates with industry leaders to strengthen its position.

- 23 -
Partnerships with other automakers, technology companies, and infrastructure providers expand
BYD’s global reach.
Sustainability and Green Branding:
BYD’s brand proposition revolves around technology, green initiatives, and the future. Its
commitment to sustainability aligns with global trends and resonates with environmentally
conscious consumers.
Metaverse Exploration:
BYD’s foray into the metaverse demonstrates its forward-thinking approach.
Exploring digital realms and integrating virtual experiences can enhance brand perception and
engagement

BYD’s brand enhancement strategy should be dynamic, adapting to market trends, consumer
preferences, and technological advancements.

A. Brand Vision and Mission Statement Refinement:

BYD’s brand vision and mission are crucial for guiding its strategic direction. The company
should refine these statements to align with its core values, long-term goals, and commitment to
sustainability. For instance, BYD’s mission could emphasize its dedication to creating innovative,
eco-friendly mobility solutions that improve people’s lives while minimizing environmental
impact.

B. Brand Promise and Positioning Framework:

BYD should clearly define its brand promise – the unique value it offers to customers. This
promise should resonate with consumers and differentiate BYD from competitors.
The positioning framework involves identifying the target audience, understanding their needs,
and positioning BYD as the preferred choice. BYD can emphasize its technological prowess,
reliability, and green credentials.

C. Unique Selling Proposition (USP) Development:

BYD’s USP should encapsulate what sets its electric vehicles (EVs) apart. It could be a
combination of factors:
 Cutting-Edge Technology: Highlight BYD’s advancements in battery technology, electric
drivetrains, and intelligent features.
 Eco-Friendly Credentials: Emphasize BYD’s commitment to sustainability, reducing
emissions, and promoting clean energy.
 Affordability: If BYD offers competitive pricing, this could be part of its USP.

- 24 -
  Safety and Reliability: BYD can leverage its track record in safety and quality.
The USP should resonate with consumers and be consistently communicated across marketing
channels.

D. Brand Architecture and Portfolio Optimization:

BYD’s brand architecture refers to how its various product lines and sub-brands are organized. It
should be clear and intuitive for consumers. Optimize the product portfolio by focusing on key
segments (e.g., passenger cars, buses, commercial vehicles) and streamlining offerings. Avoid
brand dilution. Consider sub-branding for specific EV models (e.g., BYD Blade Battery Series,
BYD e-platform 3.0) to create distinct identities.

E. Global Strategy and Partnerships:

o BYD’s global strategy involves expanding beyond China. Strengthen overseas
production and distribution networks.
o Forge strategic partnerships with industry leaders, especially in markets where BYD
aims to grow. Collaborate with technology companies, utilities, and infrastructure
providers.
o Leverage digital marketing and social media platforms to enhance brand visibility and
engage with a global audience

- 25 -
 V. MARKETING AND COMMUNICATION STRATEGIES
A. Integrated Marketing Communications (IMC) Plan:
BYD’s IMC plan aims to create a cohesive brand message across various channels. Here are the
key components:
1. Advertising Campaigns:
o BYD uses both traditional and digital advertising to reach diverse audiences.
o Traditional media (print, TV, radio) helps build brand awareness and reach
demographics less active on digital platforms.
o Digital ads allow precise targeting and engagement.
2. Digital and Social Media Marketing:
BYD leverages social media platforms (e.g., Facebook, Twitter, LinkedIn) to engage with
customers, share product updates, and promote sustainability initiatives. Content creation,
influencer partnerships, and targeted ads enhance BYD’s online presence.
3. Content Marketing and PR Activities:
BYD creates valuable content (blogs, videos, infographics) related to EVs, sustainability, and
technology. PR activities include press releases, media events, and collaborations with
environmental organizations.
4. Sponsorships, Partnerships, and Events:
BYD sponsors EV-related events, conferences, and trade shows. Partnerships with
environmental NGOs, universities, and industry leaders enhance BYD’s credibility.

B. Pricing and Packaging Strategies Reflective of Enhanced Brand Value:

 BYD balances affordability with advanced technology.
 Pricing reflects their commitment to making EVs accessible to a wider audience.
 Packaging emphasizes features like Blade Battery technology, safety, and sustainability.

C. Channel and Distribution Network Strengthening:

 BYD expands its global distribution network beyond China.
 Partnerships with dealerships, charging infrastructure providers, and fleet operators
enhance market reach.

D. Customer Journey Mapping and Experience Enhancement:

 BYD maps the entire customer journey, from awareness to post-purchase.
 Focus on seamless online/offline experiences, personalized communication, and excellent
after-sales service.

- 26 -
 VI. SUSTAINABLE AND CSR INITIATIVES
BYD’s commitment to sustainability extends beyond product development to encompass
employee well-being, community engagement, and responsible business practices. Their efforts
contribute to a greener, more sustainable future.

A. Aligning Brand Values with Sustainability Goals:

BYD is committed to sustainable development, aligning its brand values with environmental
stewardship. The company integrates green practices into its business operations, emphasizing
energy efficiency, waste reduction, and responsible sourcing.
BYD’s vision of a cleaner, greener world drives its product innovation and corporate strategy.

B. Eco-Friendly Product Development and Green Technologies:

BYD focuses on developing electric vehicles (EVs) and green technologies.
Electric Vehicles: BYD produces a wide range of EVs, including passenger cars, buses, and
commercial vehicles. These vehicles contribute to reducing greenhouse gas emissions.
Blade Battery Technology: BYD’s innovative Blade Battery enhances safety, energy density,
and lifespan in EVs.
Solar Energy Solutions: BYD manufactures solar panels and energy storage systems, promoting
renewable energy adoption.

C. CSR Programs and Community Engagement:

Employee Care: BYD invests in employee well-being, skill development, and work-life balance.
For instance, they collaborate with local institutions to enhance workers’ skill sets.
Charitable Activities: BYD engages in charitable initiatives, disaster relief efforts, and
education donations through the BYD Charity Foundation.
Supply Chain Responsibility: BYD monitors its supply chain for human rights, environmental
safety, and intellectual property rights.
Community Partnerships: BYD collaborates with local communities, NGOs, and educational
institutions to create positive social impact.

- 27 -
 VII. IMPLEMENTATION AND ACTION PLAN
The implementation and action plan for BYD’s brand enhancement initiatives:
A. Project Timeline and Milestones:
1. Brand Vision Refinement (Month 1):
o Review existing brand vision and mission statements.
o Refine them to align with BYD’s core values and long-term goals.
o Milestone: Finalized brand vision and mission statements.
2. Unique Selling Proposition (USP) Development (Months 2-3):
o Identify key USPs based on market research and competitor analysis.
o Develop compelling messaging around these USPs.
o Milestone: Defined and approved USPs.
3. Integrated Marketing Communications (IMC) Plan (Months 4-6):
o Create an IMC plan that includes advertising campaigns, digital marketing, content
creation, and PR activities.
o Allocate resources for each channel.
o Milestone: Completed IMC plan.
4. Channel and Distribution Network Strengthening (Months 7-9):
o Expand global distribution beyond China.
o Partner with dealerships, charging infrastructure providers, and fleet operators.
o Milestone: Signed distribution agreements.
5. Customer Journey Mapping and Experience Enhancement (Months 10-12):
o Map the entire customer journey from awareness to post-purchase.
o Enhance online/offline experiences and after-sales service.
o Milestone: Improved customer satisfaction scores.

B. Resource Allocation and Management:

 Allocate resources (financial, human, technological) based on project needs.
 Appoint a project manager to oversee implementation.
 Regularly review resource allocation to ensure efficiency.

- 28 -
 C. Budget Breakdown for Brand Enhancement Initiatives:
 IMC Campaigns: Allocate 30% of the budget for advertising, digital marketing, and
content creation.
 Distribution Network Expansion: Allocate 20% for partnerships, logistics, and
infrastructure.
 Customer Experience Enhancement: Allocate 15% for training, technology, and
customer support.
 Brand Vision Refinement and USP Development: Allocate 10% for research and
strategy development.
 Monitoring and Evaluation: Allocate 10% for performance tracking and adjustments.
 Contingency: Reserve 15% for unforeseen expenses.

D. Performance Metrics and KPIs:

 Brand Awareness: Measure through surveys, social media reach, and website traffic.
 Sales Growth: Monitor monthly sales figures.
 Customer Satisfaction: Regularly assess Net Promoter Score (NPS) and customer
feedback.
 Distribution Network Expansion: Track the number of new dealerships and
partnerships.
 Online Engagement: Monitor social media interactions, website engagement, and click-
through rates.
Remember, flexibility is essential. Regularly review progress, adjust strategies, and celebrate
milestones!

- 29 -
 VIII. MONITORING AND EVALUATION
BYD’s commitment to brand health, customer feedback, data analytics, and strategic adjustments
ensures its position as a leading automobile brand .The BYD approaches monitoring, evaluation,
and continuous improvement in their brand strategies are:

A. Brand Health Tracking and Measurement:

 Brand health refers to various aspects of a brand’s performance, including brand
awareness, consideration, reputation, equity, customer satisfaction, and loyalty. BYD
should regularly track these metrics to assess the overall health of its brand.
 Key performance indicators (KPIs) for brand health may include:
o Overall Equipment Effectiveness (OEE): Assessing productivity and efficiency.
o Cycle Time Reduction: Measuring process completion time.
o Defect Rate (First Pass Yield): Evaluating output quality.
o Cost of Poor Quality (COPQ): Calculating costs due to defects.
o Customer Satisfaction Scores (NPS): Gauging customer perception and loyalty.
 Continuous monitoring allows BYD to make data-backed decisions and sustain quality
improvement.

B. Customer Feedback Mechanisms:

BYD should actively seek feedback from customers and media. Constructive feedback helps
identify areas for improvement in current and future models. Regularly collect insights from
owners, journalists, and other stakeholders. Use this feedback to enhance product quality,
features, and customer experience.

C. Continuous Improvement Loop through Data Analytics:

 Data analysis is crucial for creating a culture of continuous improvement.
 BYD can use structured and unstructured data to identify inefficiencies and weaknesses.
 Metrics such as performance indicators, customer feedback, and process efficiency data
guide decision-making.
 Implement changes based on data insights and monitor progress over time.

D. Regular Review and Adjustment of Brand Enhancement Strategies:

BYD’s brand enhancement strategies should be dynamic and adaptable. Regularly review
performance metrics, market trends, and customer preferences. Adjust strategies based on
changing conditions, competitor actions, and internal goals. Continuously refine brand vision,
messaging, and customer engagement

- 30 -
 CONCLUSION
A. Enhancing BYD’s Brand Recognition and Equity
BYD, the fastest-growing automobile brand, has made significant strides in the electric vehicle
(EV) industry. As we conclude our analysis, let’s recap key strategic elements, assess their
potential impact, and outline a future-oriented brand stewardship plan.

A. Recap of Key Strategic Elements

1. Brand Proposition: BYD’s brand proposition revolves around technology, green practices,
and a sustainable future. The company’s commitment to innovation, eco-friendly products,
and global expansion sets it apart.
2. Product Innovation: BYD’s blade battery, DM-i technology platform, and e-platform 3.0
demonstrate its technological prowess. Continuous improvement in product quality is
essential for sustained success.
3. Global Strategy: BYD’s overseas expansion includes six production headquarters and new
energy solutions worldwide. The brand’s presence in over 300 cities across 50 countries
reflects its global reach.

B. Potential Impact on Company Growth and Financial Performance

1. Market Leadership:
BYD’s focus on EVs positions it well in the growing green mobility market. Increased sales and
brand recognition contribute to revenue growth.
2. Financial Metrics:
Monitor key financial indicators (revenue, profit margins, market share) to assess BYD’s
performance. Evaluate return on investment (ROI) from brand enhancement initiatives.

C. Future Outlook and Long-term Brand Stewardship

1. Customer-Centric Approach: Continuously gather customer feedback to improve existing
models and tailor future products. Leverage Australian customer insights to enhance quality
and address any issues.
2. Data-Driven Decision-Making: Implement a continuous improvement loop using data
analytics. Regularly analyze metrics (OEE, defect rate, customer satisfaction) to identify
areas for enhancement.
3. Regular Review and Adaptation: Conduct quarterly reviews of brand health and
performance. Stay agile by adjusting strategies based on market trends and competitor
actions.

- 31 -
BYD’s journey involves a blend of innovation, sustainability, and customer-centricity. By
staying true to its brand proposition and embracing continuous improvement, BYD can solidify
its position as a global leader in green travel and technology.

- 32 -
 REFERECES
[1] Xie Zhiming, Zhang Yuan, He Zhengchu, Zhang Mi. Analysis of patent trend of new energy
vehicle industry. China Soft Science, 2015(09): 127-141.
[2] Ma Jian, Liu Xiaodong, Chen Yi-song, et al. Current situation and countermeasures of new
energy vehicle industry and technology development in China. China journal of highway and
transportation, 2018, 31(08):1-19.
[3] Shen Wei, Lu Minxun. Development status and prospect of China's new energy automobile
industry. Automobile practical technology, 2020, 45(22): 239-242.
[4] Wu Liping, Tan Xinqu, Wu Xing. Comparative analysis of "marketing mode" market
research of new energy vehicles in Liuzhou and Guangzhou. Journal of Nanning Vocational and
Technical college, 2020,25(01): 71-76.
[5] Wang Junwen. Research on Marketing Strategy of New Energy Vehicles. Science &
Technology Economic Market, 2019(12): 70-72.
[6] Sun Haolun. Marketing Strategy Analysis of BYD New Energy Vehicles. Straits Technology
and Industry,2019(02): 64-66.
[7] Lv Qing. Analysis of Effective Marketing Strategies for New Energy Vehicles -- Taking
BYD as an Example. Automotive practical technology, 2020, 45(23): 252-254.
[8] Zhang Jin, Gao Jing. What pricing strategy does BYD need?. Economic Data Translation,
2015(02): 1-7.
[9] Zott C, Amit R, Massa L. The business model: Recent developments and future research.
Journal of Management, 2011, 37(4), 1019–1042.
[10] Bohnsack R., Pinkse J, Kolk A. Business models for sustainable technologies: Exploring
business model evolution in the case of electric vehicles. Research Policy, 2014, 43(2): 284–300.

- 33 -