Comment: Xiaomi, take off the last fig leaf covering up “price cuts”

The original poster: Hakurei Reimu Views: 171 Replies: 2 Posted in: 2012-06-22 11:59:12
News Topic: Xiaomi Xiaomi Technology / Mi Chat / MIUI

News Source: Original

I admit that I have become addicted to the observation of 360 vs. Xiaomi. It is interesting to watch the two founders battle wits on Weibo. It's a pity that the two sides are not evenly matched. Although 360 is a competitor that is nearly a year late, it quickly came from behind and made Xiaomi instantly confused. As 360 is getting closer and closer, Xiaomi's response has become very passive, which makes people shake their heads and sigh.

On June 12, Zhou Hongt released an advantageous model that directly competes with Xiaomi mobile phones-AK47. The configuration is good, A9 dual-core 1.2G, 1G memory, 4.5-inch 1280X720 high-resolution screen, the key is that the price is relatively moderate, 1699 yuan. The parallel import price of Samsung Galaxy SII HD with almost the same configuration is around 2,500. Compared with Xiaomi in 1999, the price/performance ratio is obviously higher. The name AK47 is also very interesting, and it is very appropriate for the fierce 360 ​​mobile phone itself. Someone previously suggested that Lao Zhou use "Popcorn" as his mobile phone code name. Although it sounds good at first glance, in fact, if you think about it carefully, you will realize that the word "Popcorn" must not be used. Because first of all, Lao Zhou has a big heart. Xiaomi is only his temporary opponent, not the ultimate goal. Lao Zhou's ultimate goal is to dominate the world or occupy a dominant market share like other superior products of 360. Although Xiaomi seems to be quite successful, it is still not ranked in the smartphone market. Many traditional mobile phone bosses basically question Xiaomi's sales. The code name "Popcorn" is too targeted, and even if it defeats Xiaomi, it will always have the flavor of Xiaomi, which is not in line with Lao Zhou's strategic plan.

After Lao Zhou repeatedly exposed Xiaomi's high profits on Weibo and released the configuration and price of AK47, Xiaomi's official website also launched an officially reprinted standard version of the phone for 1,599 yuan that day. At the same time, it also launched a series of preferential activities [Xiaomi mobile phone 3 million units celebration? 70 million rewards to old users]. Unfortunately, in my opinion, these two activities are still a failure.

First of all, Xiaomi's starting slogan is to provide mobile phones specifically for enthusiasts at "cut-throat prices." As time goes by, the configuration of Xiaomi mobile phones today has been reduced to mid-range, but Xiaomi has not cut prices. Compared to its configuration, the price of 1999 yuan has indeed lost its former luster. According to Xiaomi's previous plan, it should be like Apple and launch a new phone every year. The first generation of Xiaomi had a press conference on August 16 last year, so Xiaomi 2 should normally be released in August this year, and then Xiaomi 1 announced a price cut. However, with the strong intervention of 360 and the accelerated upgrading of hardware configurations, Xiaomi's next-generation release plan has been unable to keep up with the changing situation. That's why Xiaomi has the price reduction of official refurbished phones on the 12th and the so-called 70 million reward campaign. However, it is obviously not very sincere to just reduce the price of the official rebranded machine. And the 70 million reward made many opponents laugh at the generosity. Someone on the Internet quickly calculated that the so-called 70 million feedback is no different from stealing money. If you use something that costs more than 4 million yuan to sell 200,000 mobile phones, you will still earn tens of millions.

In fact, since the profit figures of Xiaomi mobile phones have been exposed in front of everyone, it would be better to just tear off the fig leaf of wanting to lower the price and directly announce that the price of Xiaomi mobile phones will be reduced by XXX yuan. Stop engaging in some so-called marketing tactics. When competitors are already approaching, tactics are useless. Strategic adjustment is the current focus. Cost-effectiveness is Xiaomi's foundation. If this capital loses its advantage, Xiaomi will really have nothing to offer. Lao Zhou has a good saying. Xiaomi has always emphasized the rice fan culture of "Pan Jun hides the curtain." I think it is very right. Real enthusiasts will not feel any fever when faced with the workmanship and materials of Xiaomi mobile phones.Therefore, Xiaomi's so-called "Born for Fever" slogan is just a lie to novices and emphasizes cost-effectiveness. Mobile phones, will they continue to make rice noodles?

So Xiaomi has been working hard to create a culture of rice noodles, and has been racking its brains to use various fan clubs and peripheral gadgets to maintain the loyalty of rice noodles. I believe that Xiaomi only protects rice noodles. The number of people in the team should be no less than dozens or even hundreds. However, Xiaomi, who shouts loudly, seems to have forgotten why the fans are here? Are they here for a bunch of Xiaomi dolls wearing Lei Feng hats? Are they here for the monthly fan meeting? Are they here for a bunch of colorful mobile phone protective cases? Isn't it? No, they are all here for Xiaomi phones! Xiaomi uses so many resources to maintain rice noodles and develop a bunch of colorful phone cases. It is better to use all the resources on product development. It is the right way to solve the various problems exposed by Xiaomi phones as soon as possible, adjust product prices according to the market situation as soon as possible to maintain its cost-effective advantage, and launch new products with more advantages as soon as possible instead of sticking to a mediocre product for a long time. \The reason why iPhones can maintain a sales pace of being updated every year is because the products are really good! However, Xiaomi's mobile phone is obviously too far behind, but it insists on releasing one model every year. This is obviously incredible. Looking at the competitors everywhere, currently, all mobile phone manufacturers can only rely on higher configurations, lower prices and equally good designs than iPhones to maintain their defense. The Internet mobile phones launched by the giants seem to have advantages over Xiaomi. They are either slightly lower in configuration but nearly half the price, or the price is not much different but the configuration is significantly higher than Xiaomi. Xiaomi's always proud MIUI was also criticized by Ding Lei today for not having its own core technology, but just buying it from Geely and modifying it into a BMW shell. So in this case, Xiaomi must decisively lower the price before the new generation machine is launched to bring itself back to parity with its competitors. If you still fantasize about Mi It's really funny that fans will use their real money in their pockets to continue to support Xiaomi mobile phones. Xiaomi is in this kind of embarrassment because it wants to save face.

Lei Jun has also been saying that Xiaomi will not consider making profits within three years. Today, Xiaomi's profits are well known to everyone, but Lei Jun refuses to announce a price cut at such a critical moment. I wonder if his words of "not considering profits for three years" have long been forgotten, or is it because he is more excited about making money? Are you reluctant to let go? Or are you unable to be independent in the face of pressure from many investors? Xiaomi's troika MiLiao is basically at a standstill, and MIUI is still in a state of steady development. As for Xiaomi's mobile phones, perhaps due to the rapid development of hardware, the rapid decline in costs and the Internet-hungry sales model have brought unexpected profit surprises to Lei Jun and caused Xiaomi's valuation to quickly reach a peak. The negative side of the high valuation is that it must maintain a certain profit. Only profit can satisfy investors, so Xiaomi wants to earn every penny as much as possible without lowering the price?

The loyalty of rice fans is at stake, and there is no trace of new products. Lao Zhou has gradually lured him into a war of words that is of no benefit to him. Various flaws have been exposed and public relations has failed. Xiaomi's prospects are like the weather in Beijing today. The saying goes that when you are poor, you want to change. I hope Xiaomi can change its strategy and get out of the predicament as soon as possible!

*Source of this post: cnBeat*
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So bored...
No more rumors...
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