NIO is reportedly planning to launch a sub-brand, codenamed ALPS, that will target the mainstream market in the RMB 200,000 to 300,000 range. According to Jiemian’s recent report, the sub-brand will have a new channel and is expected to launch half the number of planned models compared to the main NIO brand. The monthly sales target is set to achieve 50,000 units, and the vehicles will be built on the NT 3.0 platform, supporting high-voltage fast charging. Mass production and delivery are expected to begin in the second half of 2024.
Ai Tiecheng, the head of ALPS, was previously the general manager of WeWork Greater China and the owner of the NIO ES8 founding edition. Ai is responsible for a new business at NIO that will be separate from the main brand, according to a 36kr report from July 2021. The report also mentioned that in late 2020, NIO was considering launching a sub-brand, initially called “TV,” but later changed the name to ALPS.
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The challenge for the ALPS team is to match NIO’s user-serving brand tone with the real user needs of the mass market. NIO’s CEO, William Li, confirmed in August 2021 that the sub-brand will be less expensive than Tesla, but the experience will surpass the latter. Furthermore, the company is reportedly planning to launch another sub-brand, codenamed Firefly, that will be delivered first to European consumers.
NIO’s expansion plans include NeoPark Phase II, a project covering 1.24 square kilometers that will introduce NIO’s new mid- to high-end brand of smart EV products. The project is expected to be completed and put into production in 2024 and is seen as the ALPS brand. NIO hopes to sell 50,000 units a month for its mass-market sub-brand, according to Li.
It’s worth noting that Ai has no previous experience working in the auto industry and is a close friend of NIO co-founder and president Qin Lihong. Qin mentioned in a recent face-to-face communication with owners that the company is preparing a model for the ALPS sub-brand with deliveries expected to begin within 2024.
