After displacing Samsung from pole position in smartphones, Xiaomi aims for a bigger play in Indian consumer durables.
A LITTLE AFTER NOON ON JULY 22, 2014, the website of India’s largest online marketplace Flipkart crashed. Over half a million users had logged in to get their hands on a Mi3 smartphone being launched by a then relatively unknown Chinese brand – Xiaomi. The entire stock of 10,000 units was sold out in minutes. Exactly a week later, Xiaomi had another online flash sale. This time round, it sold 10,000 smartphones in less than five seconds.
Xiaomi had brought to India the concept of flash sales that it had pioneered in China. It used this strategy to launch a series of bestseller mobile devices. “That is when we realised we were on the right path. If half a million people turn up without any advertising but through word of mouth publicity, then we were clearly doing something right,” says the 37- year- old Manu Jain, Managing Director of Xiaomi India, who is also a Vice President at the parent firm in China.
The flash sales were just the beginning of Xiaomi’s rise in India. “Before Xiaomi nobody knew about flash sales in India where you have limited number of units on sale. This creates a kind of euphoria about the product,” says Upasana Joshi, Associate Research Manager, Client Devices, IDC India. “It goes out of stock in a few minutes. It helped a lot in creating hype and generating demand.”
From selling a little over 10,000 devices in a few seconds in 2014, Xiaomi overtook Samsung to emerge as India’s largest-selling smartphone brand in the last quarter of 2017. In the first quarter of 2018, it reinforced the lead with a five percentage point lead over Samsung. It accounted for 31 per cent of smartphone sales as opposed to Samsung’s 26 per cent.
This story is from the {{IssueName}} edition of {{MagazineName}}.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber ? Sign In
This story is from the {{IssueName}} edition of {{MagazineName}}.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber? Sign In
Pension Scheme - Safety Net
The move to introduce the UPS has evoked mixed reactions. Analysts believe its funding will have limited impact on the fiscal math
The Reit Choice?
Real Estate Investment Trusts (Reits) Are Gaining Traction As Interest Rates Stabilise. But Returns Could Be Affected By Adverse Economic Conditions And Market Volatility
CORPORATE - Calling to Account
The sudden exit of Byju's auditor BDO marks the latest in a long series of setbacks for the edtech firm
EMPLOYMENT: Skills Push
The skill development ministry plans to partner with the UGC to improve the employability of undergraduates
Building on a Vision
L&T'S CHAIRMAN EMERITUS A. M. NAIK HAS BUILT A MAMMOTH ENTERPRISE THAT IS BUILDING A NEW INDIA, FROM ITS METRO RAIL SYSTEMS TO THE RAM TEMPLE
"KYS more important than KYC"
Vijay Kedia is a renowned equity investor; the value of his listed portfolio stands at around ₹1,750 crore
ROXX STAR
THE THAR ROXX COMBINES LUXURY WITH PERFORMANCE TO MAKE A STRONG STATEMENT IN THE MID-SIZE SUV SEGMENT
HIT THE GROUND RUNNING
Smartwatches have become indispensable tools for runners, offering real-time insights into pace, distance, heart rate, and more. Here are a few you can consider
TURNING THE TABLES
INDIA'S FURNITURE MARKET IS POISED FOR A GLOBAL TAKE-OFF. ALREADY, A HOST OF GLOBAL BRANDS HAVE MADE THE COUNTRY THEIR HOME, BUT INDIAN COMPANIES ARE NOT TOO FAR BEHIND
THE EVOLUTION OF ATHERA
IDENTIFYING OPPORTUNITIES IN ADVANCE HAS STOOD THIS BENGALURU-BASED VC FUND IN GOOD STEAD. NOW, WITH A HEIGHTENED FOCUS ON TECHNOLOGY, IT WANTS TO SUSTAIN THE SUCCESS