LeDao Auto Debunks "Can't Afford NIO, So Buy LeDao" Claim, Stresses Independent Brand Identity and Target Audience

In June 2026, Leo (ONVO) President Shen Fei responded to market perceptions that “consumers buy Leo only because they can’t afford NIO,” calling this view a result of early market misunderstandings. He emphasized that Leo’s actual user base primarily consists of mid-level corporate professionals with strong purchasing power who prioritize whether a vehicle is presentable and suitable for family use. Launched in May 2024, the Leo brand targets the mainstream family market priced between RMB 200,000 and RMB 300,000. Its first model, the L60, debuted in September 2024 with a starting price of RMB 206,900 and achieved monthly deliveries exceeding 10,000 units by its third month on the market. However, sales declined in 2025, with deliveries totaling 5,912, 4,049, and 4,820 units in January, February, and March respectively—far below the initial target of 20,000 units for March. NIO Chairman William Li attributed roughly 50%–60% of order cancellations to customers missing out on national subsidies due to delayed deliveries before the end of 2024, citing insufficient production capacity as the primary cause. Brand perception issues have persisted, with Leo widely perceived externally as NIO’s “downmarket” or “budget” alternative. In April 2025, founding president Ai Tiecheng departed, and Shen Fei assumed leadership. Subsequently, NIO integrated delivery channels for both NIO and Leo and, in May 2025, fully incorporated Leo and Firefly under unified group management across core functions including R&D, sales, and service. Shen Fei has repeatedly stressed that the relationship between NIO and Leo resembles that of Audi and Volkswagen or Lexus and Toyota—a multi-brand strategy targeting distinct market segments. Both brands share the same quality management system and technical platform, supported by a single team across body engineering, battery systems, and operational services. On the product front, Leo accelerated its rollout: the updated 2026 L90 launched in April 2026, followed by the L80 in May (positioned as the “flagship value-oriented large five-seater SUV”), and a refreshed L60 in June, forming a three-model lineup of L60, L80, and L90. Sales rebounded accordingly, with May 2026 deliveries reaching 12,029 units—an increase of 91.5% year-over-year and 124.8% month-over-month. By April 2026, Leo had delivered nearly 150,000 vehicles cumulatively; in 2025 alone, it delivered over 100,000 units. Shen Fei summarized Leo’s core competitive advantages as threefold: a battery-swapping ecosystem difficult to replicate in the short term; inherent benefits of its native EV platform in terms of interior space, lightweighting, energy efficiency, and safety; and a premium-tier intelligent hardware experience offered within the RMB 200,000–300,000 price range. Leo’s development is a critical component of NIO’s multi-brand strategy. Since initiating this strategy in 2021, NIO has established a three-tier structure: the main NIO brand anchoring the premium segment, Leo driving volume, and Firefly exploring new markets. In 2025, NIO Group delivered a total of 326,028 vehicles—178,806 from NIO, 107,808 from Leo, and 39,414 from Firefly. In Q1 2026, NIO reported an operating profit of RMB 66.8 million, marking its second consecutive profitable quarter. By May 2026, Leo accounted for 31.9% of the group’s total sales. Although organizational integration has enhanced resource synergy, overlapping price ranges between sub-brands and the main brand remain a challenge. Balancing shared resources with distinct brand identities and continuously optimizing internal coordination will be an ongoing priority. Over two years, Leo has gradually established its own independent user profile and product logic, successfully shedding its “budget alternative” label.