Xiaomi Marketing Strategy

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1. INTRODUCTION

Xiaomi is a privately owned company that designs, develops, and sells smartphones, apps, and consumer electronics. Cofounded by eight partners on April 6, 2001, the company officially launched its first android based firmware, MIUI on August 16, 2010. It also announced its Mi1 smartphone in August 2011 and later on launched its first Mi2 smartphone in August 2012. Xiaomi gained a big market share in Mainland China since the release of its first smartphone. Gradually it expanded itself and started developing wider range of consumer electronics.

It started growing at a fast rate and was being called the apple of China. Following its smart marketing and operations strategies, the company announced that it was hiring Hugo Barra …show more content…

OPERATIONS STRATEGIES

Xiaomi is often called ‘Apple of China’. The overnight success of Xiaomi almost caught Lei off guard. The company started limiting the supply of Xiaomi handsets which led to media accusations of "hungry marketing". It 's a practice that seeks to work up a fever for a product that becomes contagious. According to Lei, everything was going under plan and they had a four year plan but managed to finish it in two years.

The success of Xiaomi phones is down to three things,
 One-third of Xiaomi device-design ideas come from what users want.
 Xiaomi sells handsets mainly through e-commerce websites, which cuts costs and helps lower the selling price.
 Xiaomi doesn 't expect to make money from selling handsets but hopes to realize profits by providing software and related services.

If you were wondering what else Xiaomi got right, here’s another example. The smartphone revolution has often been attributed to the app ecosystem that OSs like Android and other boast. In January this year, app analytics firmFlurry noted that in China, Xiaomi users spend 7% more time using apps than Apple iPhone users. The company drew the comparison with the iPhone because it had, in the past six years, beaten every Android phone that it had been tested against, on app …show more content…

Although, in terms of brand appeal, Apple still takes the lead but when it comes to marketing combined with strong product operations strategies, Xiaomi represents its strong competitive strengths. Other lower-end makers can offer similar quality but lack the buzz that Xiaomi is able to generate. Top-tier names like Apple and Samsung can generate buzz, but can 't come close on price. "Whether it can rise to the next big milestone of becoming a global player is its next big challenge" –

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