"In addition, from the age distribution of users who buy our Xiaomi mobile phones, young people aged 20-35 account for more than 70%.
From these two data, at present, the main potential users of Xiaomi mobile phone are young people in the first and second tier cities, which is also consistent with the target user group we originally envisaged. Therefore, the first step since the establishment of Xiaomi mobile phone has achieved very good results! "
As soon as president Lei finished speaking, Lin Xiaobin, sitting in the first position on the right, took the lead in clapping his hands, and warm applause rang out in the conference room to celebrate Xiaomi\'s achievements in the past.
However, the executives attending the meeting all know that this simple report is nothing more than an opening speech. Next, it is the main content of this strategy meeting.
Sure enough, after a few applause, President Lei continued:
"Although the three Xiaomi mobile phones we have launched have achieved very good sales results and market response, there are some problems we can\'t ignore. The first point is that our user groups are concentrated in the first and second tier cities, and the second point is that our user groups are too young.
Therefore, in view of this situation, president Fang, President Lin and I have discussed in private before and decided to officially enter the low-end mobile phone market! "
As soon as Mr. Lei finished his words, the executives in the conference room whispered and talked. In fact, as early as a few months ago, the discussion on Xiaomi\'s entry into the low-end mobile phone market had spread among Xiaomi\'s executives, but this was the first time to discuss this content at a formal meeting.
"Should Xiaomi enter the low-end mobile phone market?"
"When should Xiaomi enter the low-end mobile phone market?"
"What are the core advantages and selling points of Xiaomi\'s entry into the low-end mobile phone market?"
"Is it to directly launch one or more Xiaomi models of low-end mobile phones, or rebuild a sub brand for the low-end mobile phone market?"
These four questions are the most talked about by Xiaomi executives over this period of time.
For the first question, it is obvious that almost all executives agree that Xiaomi should enter the low-end mobile phone market, because in China, the largest user group is still 800 million farmers, and the best models of mobile phone sales are still mobile phones with a thousand yuan or less. Giving up the low-end market is almost equivalent to giving up more than half of the Chinese market, so in this regard, All executives agree!
In fact, the reason why executives talk about this issue is mainly because of the second question: when should Xiaomi enter the low-end mobile phone market?
After several months of discussion, two voices have mainly formed in the high-level. One is that Xiaomi should start deploying to enter the low-end mobile phone market immediately, and the other is to enter the low-end mobile phone market after Xiaomi has a stable position in the middle-end mobile phone market of about 2000 yuan in one to two years.
However, from what President Lei said just now, several core leaders of Xiaomi, including President Lei, have made up their mind to enter the low-end mobile phone market now!
Of course, Mr. Lei explained to the executives at the meeting why he finally decided to enter the low-end mobile phone market:
"I know some of us feel that Xiaomi has just been established for less than two years and has just made some achievements in the middle-end mobile phone market. At this time, it is very dangerous to rush into the low-end mobile phone market.
Is there any danger? Yes, since its establishment, we have made mobile phones. What we have done is a mid-range mobile phone with a price of 2000 yuan. We have never been in touch with how to play low-end mobile phones.
But what I want to say is that compared with making Xiaomi mobile phones from scratch, making mobile phones for the low-end mobile phone market on the basis of Xiaomi mobile phones is the same as asking a college student to do primary school questions. The questions are very simple, but if you want to be careless, you will still make mistakes!
Therefore, the difficulty is not the key. The key is that we should be cautious and work steadfastly. Just as we made Xiaomi 1 at the beginning, we can make a mobile phone for the low-end market. As long as one comes out, the rest will be easy to do!
Why should I rush to let Xiaomi enter the low-end mobile phone market now? The reason is very simple, because of the market environment and development space!
China has four first tier cities with a total population of more than 100 million. Among these 100 million people, the proportion of Xiaomi mobile phone users is 54%, while the remaining 46% is scattered among more than 1.2 billion second and third tier cities, fourth and fifth tier cities and rural populations in villages and towns.
This not only shows that the brand awareness of the Xiaomi mobile phones we sell now is still very small among the remaining 1.2 billion people, but also shows that the three Xiaomi mobile phones we launch now are difficult to quickly eat this part of the market.
The main reason is the price!
A mobile phone of 1999 yuan may be a suitable price for many young people in cities such as Yanjing and Jianghai, but the price is still too high for many people in the third and fourth tier, towns and rural areas. From the sales data of the mobile phone industry in the past few years, the most popular low-end mobile phones, whether functional or emerging smart phones, are still low-end mobile phones with a sales volume of 1000 yuan or less 。
In addition, I got the news that the operators have been asked to reduce the mobile phone bundle sales subsidies for several major mobile phone manufacturers of China cool Union. That is to say, the future low-end mobile phone market will fall into a brand scuffle based on its own ability. If we can\'t join in at this time, when the market is occupied by others, we can only watch. "
Mr. Lei\'s words completely laid the strategic tone for Xiaomi to enter the low-end mobile phone market. Whether there is opposition from the top or not, it was passed!
Then, Vice President Lin Xiaobin threw out the core advantages and selling points of Xiaomi\'s entry into the low-end mobile phone market. As expected by the executives, it is still three words, cost-effective!
The current Xiaomi mobile phone has matched the configuration of more than 3000, more than 4000 or even more than 5000 yuan mobile phones in the market at a price of about 2000 yuan. The mobile phones launched by Xiaomi for the low-end mobile phone market need to use about 1000 yuan or even hundreds of yuan to achieve the configuration of more than 1000 and more than 2000 yuan mobile phones in the market except Xiaomi. The executives attending the meeting believe that cost performance is the word, It is enough for Xiaomi to kill all the Chinese cool Union in the low-end mobile phone market!
After the first three questions were determined, the discussion content of the meeting entered the fourth question, whether to directly launch one or more Xiaomi models of low-end mobile phones, or rebuild a sub brand for the low-end mobile phone market? On this discussion, executives have their own views.
"In the past, Nokia, Motorola, ZTE, Huawei and other mobile phone brands in China, whether low-end mobile phones, middle-end mobile phones or high-end mobile phones, are basically the same brand. Most mobile phones are mainly distinguished by mobile phone models. At most, some versions are marked behind the parent brand.
The advantage of this is that the marketing department only needs to do a good job in brand publicity. In addition, from the cost of R & D, materials, publicity and other aspects, this is also very cost-effective! "
"I\'m against it. I don\'t think we should always take the doctrine and take over the places where the big mobile phone brands used to be bad. You said Nokia and Motorola. Hum, they are not declining now. Motorola, which was established for hundreds of years last month, was acquired by Google, which has only been established for more than ten years. It can be seen that their experience is not always good.
It is convenient for our internal management and reducing our costs in all aspects, but it is very unfriendly to consumers and users.
Let\'s say that Nokia used to have 523070708800 and listening only models. Who knows that there is a gap of thousands of yuan between these three mobile phones, so I think we should launch a sub brand specifically for the low-end mobile phone market! "
"Yes, Xiaomi has only been established for less than two years, and the three mobile phones launched are mid-range mobile phones with about 2000 yuan. Users\' brand impression of our mid-range mobile phones has just been established. If we directly use Xiaomi plus models, it is easy to cause confusion. Anyway, we have just started. Why not re-establish a new brand!"
......
In the middle of the debate among the executives, Fang Zhe, the chief consultant who sat in the first left position and hasn\'t said a word since the meeting, said flatly: "it\'s called red rice!
Red Festival is a Chinese color. It is called red rice. It is easy to remember and easy to distinguish from Xiaomi. Both names contain the word rice, which is also related to Xiaomi\'s parent brand! "