Optimization of Marketing Strategies for China’s New Energy Vehicles: A Case Study of BYD

The development of the new energy vehicle (NEV) industry is crucial for China to address environmental issues, energy crises, and achieve a strategic shift in the automotive industry. BYD, as a representative brand in China’s NEV sector, has leveraged its technological and scale advantages along with marketing strategies originally designed for fuel vehicles to emerge as a global leader in the NEV market. However, with the evolving macroeconomic environment and increasing industry competition, the limitations of BYD’s marketing strategies have become apparent, leading to declines in market growth rate, market share, and brand value. To reverse this trend, BYD urgently needs to optimize its marketing strategies to cultivate a differentiated competitive advantage. This thesis aims to explore how the 4V marketing theory can be used to optimize the marketing strategies of BYD’s NEVs in China, thereby enhancing their market competitiveness and brand value. Initially, this study reviews the marketing environment of BYD’s NEV development and analyzes the marketing strategies implemented by BYD. A comprehensive evaluation of the effectiveness of these strategies is conducted using in-depth interviews with relevant company personnel and NEV consumers. The findings reveal that BYD’s marketing strategies lack a differentiated competitive edge, specifically in terms of product distinctiveness, pricing diversity, channel value addition, and promotional resonance with consumers. Guided by the 4V marketing theory, which focuses on cultivating a differentiated competitive advantage, this study proposes a model for optimizing BYD’s NEV marketing strategies. To address the issue of product distinctiveness, the study suggests enhancing product recognition through a “stable and durable” product quality, a product structure spanning “high, medium, and low” tiers, and a product image characterized by “high technology, high popularity, and high aesthetics.” For pricing diversity, it recommends implementing a multi-level pricing strategy by emphasizing the core function of “safety,” the extended function of “intelligence,” and the additional function of “no anxiety.” To increase channel value addition, the study advises improving value through three dimensions: “value-added services,” “technical support,” and “brand persona.” For promotional resonance, it suggests transforming promotional approaches from focusing on stimulating sales to emphasizing value recognition, shifting promotional content from product recognition to emotional resonance, and evolving promotional channels from one-way output to two-way interaction to achieve consumer resonance.