When it comes to the most celebrated names in the automotive market today, Xiaomi and BYD stand out.
Looking at the sales charts, you’ll see rows of BYD models, not just in the budget car segment but also firmly established in the high-end market.
For those following BYD’s journey, the transformation of its brand image began with the first-generation Han. At the time, the Han and the XPeng P7 were two of the most talked-about cars, setting the stage for domestically-produced sedans to make a mark in the 200.000 RMB price range.
However, the Han was merely a milestone for BYD—it was not the key to its meteoric rise.
BYD's Secret Lies in Hybrid Technology, Not Pure Electric Vehicles
Looking at today’s auto market, the Han’s product strength is somewhat outdated compared to competitors in the same price range. Yet, BYD’s sales and revenue continue to soar. The reason lies in its competitive advantage not in pure electric vehicles, but in hybrid technology—specifically, its DMI single-gear hybrid system.
From the moment the Qin DMI and Song DMI debuted, BYD truly unlocked the formula for explosive sales. The Song DMI, in particular, was so popular that production couldn’t keep up with demand, leading to long wait times of up to half a year for many customers—mirroring the buzz surrounding Xiaomi today.
At the time, the Song PLUS DMI, with its exceptional fuel-saving capabilities, dominated the SUV sales rankings. Many owners showcased its external power output features via social media, such as cooking outdoors with ease, further amplifying its appeal. Competitors failed to introduce single-gear hybrid products in time to counter this, allowing BYD to monopolize this category. In subsequent years, BYD rapidly scaled production and launched several high-end brands, cementing its place at the top of the industry.
Sustaining Dominance Through Innovation and Price Wars
With this first-mover advantage, even in today’s competitive market with numerous hybrid options, many consumers still prioritize BYD.
Leveraging its fully integrated supply chain, BYD has aggressively cut costs to launch intense price wars that competitors struggle to match. The Qin PLUS, priced at an astonishingly low 79.800 RMB, saw a resurgence in popularity, driving a massive surge in sales.
BYD also introduced the Qin L, an upgraded model comparable in size to traditional fuel-powered B-segment sedans but priced at just 99.800 RMB. Together with its sibling models, it has dominated the entire 100.000 RMB sedan market. Combined with its overseas expansion strategy, BYD has firmly established itself as the leader in the new energy vehicle industry.
What’s Next for BYD?
What do you think about BYD’s future? Share your thoughts in the comments below!
