Xiaomi is one of those brands that are difficult to understand. The Chinese firm has very diversified product ranges, especially with regard to smartphones, with three sub-brands (both “independent”) that are Redmi, POCO and Mi. And it’s funny because these brands, especially Redmi and POCO, compete fiercely with each other.
But the strategy seems to be working for Xiaomi. In June the signature managed to unseat Samsung as the company that sends the most mobiles around the world, but it is not the premium brand, Mi, that pulls the car, but it’s the budget brands, Redmi and POCO, that are pushing sales.
Redmi, Mi and POCO, in that order
This is reflected by a informe de Counterpoint Research in which the consultant ensures that Redmi and POCO accumulate 83% of Xiaomi’s sales globally. Mi, for his part, keeps 17% of the sales. Also listed is Black Shark, which is not really a Xiaomi brand, but a brand owned by Xiaomi.
In fact, this same report reveals that the Redmi brand has lost a certain share of sales (from 82% to 73% between 2020 and 2021) in favor of a POCO that has gone from 4% in 2020 to 10% in 2021 ( until August). My, for its part, has gone from 13% to 17%. In any case, what this report tells us is that eight out of ten Xiaomi phones sold in the world are not from the main brand, but of its sub-brands.
And this is something to be expected, of course. My has remained as a brand that, although it is true that it continues to have “affordable” terminals, is committed to the most premium experiences and, of course, more expensive and, therefore, less popular. Redmi and POCO, however, compete in price ranges between 300 and 200 euros.
So, just as slide in Xiaomi World, Mi remains as a brand more showcase, more demonstrative of what the company is capable of achieving and offering. In the meantime, Redmi and POCO gradually add high-end specifications, such as OLED screens, high refresh rates, fast loads or the resolution of your sensors, to drive sales with a lower price.