Cutting edge technology

Introduction: Recently, Xiaomi announced the independence of the red rice brand, which triggered speculation in the industry. The outside world believes that red rice is independent and is to fight against glory. In this regard, glory executive Xiong Junmin said directly, welcome Xiaomi to follow. In his view, the war between glory and Xiaomi has already ended, let alone red rice.

Recently, Xiaomi announced the independence of the red rice brand, which triggered speculation in the industry. The outside world believes that red rice is independent and is to fight against glory. In this regard, glory executive Xiong Junmin said directly, welcome Xiaomi to follow. In his view, the war between glory and Xiaomi has already ended, let alone red rice.

Xiong Junmin said that the bottom line is that in the domestic market, glory has led Xiaomi (including red rice). Whether it is revenue, shipments, or high-end models, glory is more advantageous than Xiaomi. A few days ago, Sino announced the sales data of smartphones in the domestic market in the first 11 months of 2018. From the list, glory ranked fourth, sales of 49.82 million; Xiaomi ranked sixth, sales of 45.05 million. From the perspective of year-on-year growth rate, glory is 15% and millet is 9%.

From the data of November last year (Sino), the gap between Xiaomi and glory has been widened. Glory sold 5.84 million mobile phones in China, up 6% year-on-year. 4.1 million units, down 12% year-on-year. Perhaps it is the unfavorable situation in the domestic market that allows Xiaomi to seek change, and the independence of the red rice is part of Xiaomi’s change.

Xiaomi was hand-opened

A few years ago, the share of Xiaomi's mobile phone was once the first in China. In 2014, Xiaomi sold 61.12 million mobile phones, an increase of 227%. On January 4, 2015, Xiaomi CEO Lei Jun proudly declared in the internal mail to employees: “We have successfully topped the market in China!”

In 2015, Xiaomi held the first place in China. . According to data from market research firm Strategy Analytics, in the Chinese smartphone market in 2015, Xiaomi ranked first with a market share of 15.4% and shipped 67.5 million units. However, due to excessive pursuit of shipments, there is not enough technology accumulation. Since 2016, Xiaomi's position in the domestic market has gradually declined, and mobile phone brands that are competitive in the mid- to high-end market are more popular among consumers.

A few years have passedXiaomi became the sixth in the domestic market. It is not just Huawei, glory, OPPO and vivo that open Xiaomi. The average price of the blue-green brothers is higher, and the sales in China are far ahead of Xiaomi. This is due to the strong offline channel of OV and its own style in product design, and the quality is relatively reliable. According to Sino data, in the first 11 months of last year, OPPO sold 71.06 million mobile phones in China, and vivo sold 68.82 million. This pair of Dongguan brothers sold a lot more than Xiaomi.

At present, Xiaomi ranks fourth in the world in terms of shipments in the global market. However, this achievement does not make Xiaomi feel safe. More than one-third of Xiaomi’s overall sales come from the Indian market. In this market, the average price of products is low and the profit is meager. According to market research firm IDC, in the third quarter of 2018, Xiaomi shipped 14 million units in the Chinese market and 11.7 million units in the Indian market. The two markets are very close. At present, Xiaomi ranks first in India and leads Samsung.

However, the Indian market is unreliable and the price competition component is relatively large. As long as other manufacturers adapt to this style of play, the share of Xiaomi will be eroded. According to sources, glory is increasing its penetration into the Indian market. In 2018, sales of glory in India increased several times year-on-year. Although the base is not large, it has already formed a prairie. Zhao Ming, the president of glory, has already said that in the next few years, he will become the market leader in the Indian market.

Xiaomi will separate the red rice, perhaps with multiple considerations. Overall, red rice has further lowered the brand of Xiaomi. According to the previous style of play, if Xiaomi wants to break through in the high-end market, consumers often do not buy it. After all, in the perception of many people, Xiaomi gives the impression that it is a company that sells low-end products. The selling point is cost-effective. Like Xiaomi, basically go to the price/performance ratio, or have a preference for individual parameters. The high-end mobile phone is not built by the configuration, it must have its own core competitiveness, lower the requirements, at least in the era of homogenization has its own personality.

Red rice can not take the form

It is said that red rice will also hit the mid-to-high-end market. However, how big is the chance of winning this style of play? For Xiaomi, it has to be prevented, and the red rice and the millet fight each other. In other words, red rice launched two or three thousand yuan of products, it is possible to grab a smallM users. Because, Xiaomi's user base has been relatively fixed. To break through the inherent perceptions of consumers, Xiaomi has to rely on products to speak and gradually change consumers' perceptions through continuous and innovative products. From this perspective, Xiaomi needs a new positioning, not a simple split.

Red rice is divided, if it is a formal separation, the significance is not great. Xiaomi and red rice are one family. This impression has been ingrained. The two brothers, divided and divided, the meat in the bowl is still so much. Red rice has always been a low-end brand, giving everyone the impression that it is selling machines below 1,000 yuan and around 1,000 yuan. How does such a brand fight against glory? We know that since the day of birth, glory is independent, and the products cover high-end, mid-range and low-end. In the middle and high end, the proportion of glory is gradually increasing. Xiong Junmin, vice president of glory, said: glory 8, glory 9, glory 10 consecutive three generations of flagship machine sales, comprehensively milled millet 5, millet 6, millet 8; glory Magic2 debut, let MIX3 momentum nothing; glory V series, let each other The Note series is completely ruined.

The success of glory is not independent, but innovation. This is the foundation of glory and development. We see that there are many innovations on the new machine of glory, rather than relying on configuration combinations, not relying on supply chain innovation. In the words of Zhao Ming, the president of Glory, "I will study it if I don't agree."

Glory is a young brand that dares to explore. From double shooting to artificial intelligence, it starts with glory and then spreads in the mobile phone industry. When the glory Magic was released at the end of 2016, when people first explored the end-side intelligence, many people did not believe that mobile phones can also play artificial intelligence. Today, artificial intelligence is almost standard on smartphones. It can also be seen from this that although glory is an Internet brand and has a cost-effective advantage, it does not rely solely on price to participate in competition, but achieves rapid growth through comprehensive factors such as technological innovation and trend leadership.

"If the friends are willing to follow, we are very welcome." Rong Yao executive Xiong Junmin responded, "I think that the glory of these years is technically thick and hard, not relying on routines, it is all done with great effort." Leading technology benchmark products, as well as adherence and efforts to users and quality, this is the basis for friends to learn. Others are astray."

Red rice and Xiaomi are separated, can you make a breakthrough? The key is stillIt is the key to relying on the investment in research and development and the ability to innovate in Xiaomi and Hongmi. If Xiaomi and Red Rice continue to launch leading products, they will naturally gain more consumer recognition. Instead, the meaning of separation will be weakened.

文/徐上峰

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