Xiaomi India said that the company is investing heavily in the 10,000-15,000 rupees equipment market, thereby regaining lost market share.
Muralikrishnan B, president of Xiaomi India, also said that the company has reworked its strategy and will focus on becoming “India’s most popular and trusted smartphone” and “focusing on efficiency and sustainability, with a security foundation”. Online brand.
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He also said Xiaomi would operate with a leaner product portfolio and focus on promoting 5G adoption in India. Focusing on 5G smartphones and streamlining its product portfolio, Xiaomi India will focus on just one flagship model instead of many products.
“Most of the 5G phones on sale today are above Rs 20,000 and 5G penetration has also increased in the Rs 15,000-20,000 range, but the majority of the market in the Rs 10,000-15,000 range is still 4G (phones), there is a very clear opportunity for Xiaomi to replicate the once ‘4G miracle’ and recreate the magic of 5G,” MuralikrishnanB told businessline.
According to Counterpoint Research, in March 2023, sales of mobile phones in the Rs 10,000-20,000 range fell by 34% year-on-year, while smartphones priced above Rs 45,000 saw the highest growth of 66%.
He said that the company has been selling smartphones in the Rs 15,000-30,000 range, so the next step is to add products in the Rs 10,000-15,000 range. “Redmi Note 10T 5G, Redmi Note 11T 5G and Redmi 11 Prime 5G have performed well, giving us confidence that this is the right segment for 5G. We will stick to Xiaomi’s usual characteristics of the best specs, highest quality, and honest prices product,” he said.
But according to Counterpoint Research, Xiaomi’s India shipments have declined for four consecutive quarters. Muralikrishnan said the company will expand its offline retail coverage to boost business growth.
In addition to expanding its product coverage, Xiaomi will also focus on building a strong channel for long-term growth, he said. Xiaomi will expand the coverage of offline retail stores and plans to increase the number of sales staff in retail stores from 4,000 to more than 8,000 by the end of the year.
It is worth mentioning that Muralikrishnan B also told the Times of India: Although some Chinese counterparts such as MG and BYD are trying, the company will not consider entering into a joint venture with any Indian company to take advantage of the production-linked incentives provided by the government ( PLI), they will still be a 100% holding subsidiary of the Chinese company.
Note: BYD and Hyderabad-based Megha Engineering and Infrastructures previously submitted a proposal to India’s DPIIT to build a $1 billion four-wheel vehicle manufacturing plant in Hyderabad, but it has been rejected.