Let me correct you first on how you pronounce Xiaomi, its ‘she-yow-mee’. Till now whatever you may be pronouncing it wasn’t correct and this should be the next thing Xiaomi should start working on in India.
Indian customers are finding it really hard and confusing when it comes to pronouncing the brand name of their next smartphone. Apart from this little fact, Xiaomi is successful in selling millions of smartphones this year in Indian market and also in other parts of the world.
It had successfully found place among top five smartphone manufacturing companies globally and being directly compared to Apple must have been like dream coming true for Jun Lei (Founder and CEO) and his team.
If I ask you to name Xiaomi phones in one word then that word is going to be ‘Cheap’ which also describes their prominent feature. But these phones are cheap only at price not at the hardware and other standards.
Xiaomi smartphones are good and when we compare the price point they are being available at, they aren’t getting any competition yet.
Why Xiaomi Smartphones are selling like anything?
The Next Billion Industry starts here in India and everyone is eyeing to start fresh here which can lead to huge profits in future. Xiaomi also entered India with the same theme and till now they have been successful in making a huge impact atleast among tech geeks.
It still need to reach common man in India and the two major reasons behind this is their tough to pronounce name and their strategy to sell only through e-commerce.
Till now you’re not going to find any advertisement campaigns of Xiaomi which is another reason.
So let’s dig out and find the exact reason why Xiaomi smartphones are selling like anything.
#1 High-end phone at middle-end price
During starting years of smartphones (even still), high-end phones (flagship ones) which started above 35k INR while middle-end lies beneath the 20k INR mark. Xiaomi had done exactly reverse.
They entered India with their Mi3 smartphone which was having flagship level of specs, better hardware build up and was priced in the middle-end range.
This literally shocked the customers and this extremely competitive pricing attracted them to buy a high-end phone rather than comprising with a middle-one or even worst.
The same pricing policy was applied earlier in China which worked almost identically. In lesser time, Xiaomi smartphones were among best budget Android phones in India.
#2 No Marketing but still buzzing!
This is one major thing which had helped them to cut the initial cost down and still make profit out of the services and devices they sold till now.
They never seem to be serious about advertisement campaigns (particularly offline) and totally relied on creating buzz around the web using social platforms.
When they entered India, they tied up with Flipkart which was already very popular e-commerce platform and that gave them the initial platform which was needed.
Also their main focus for making profit wasn’t completely through the device cost but they had planned something which earlier Amazon worked upon.
Their MiUi (software skin built on Android) provides lots of paid features for which users have to pay. I’m not sure how much money they made with their paid services in Indian market but still they had successfully created a base.
#3 Flash sales
Every time when Xiaomi added next stock of phones as ‘available’, it went out of stock in flash.
This clearly made a buzz over the social network about the brand which helped them gain the most popular, free and best way of marketing i.e. mouth publicity (social marketing in current scenario).
Since phones were available at cheap, people went on to buy them and most of them were found reporting their failure on social platforms which literally informed more people in their network about the brand presence.
First Mi3 and then Redmi 1S went out of stock in flash of time, though I’m still not sure whether they were real incident every time or just a marketing stunt.
So these were few top reasons why Xiaomi smartphones are selling like anything. Next time if you find someone debating on this topic, then don’t hesitate to add him with the clear facts you’re aware of now.
From my side as a tech geek, Xiaomi is really going well. Thanks to their well planned strategy and it is definitely going to taste more success in future. I’m counting days to get my hands-on Xiaomi Redmi Note.