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Xiaomi expands into Africa to offset sales slowdown at home

Xiaomi, Chinese smartphone maker, Xiaomi in Africa

On to Africa!


Once the world's most valuable startup, Xiaomi, the Chinese smartphone maker praised for cheap but 'high-spec' phones, is expanding sales to Nigeria, Kenya and South Africa in a bid to keep smartphone growth growing as its home market in mainland China slows down.


Driving Xiaomi's ascent in China was as a capital-light business: no stores, no company-owned factories, little paid marketing.


The deal in Africa, with South Africa-based Mobile in Africa Limited, is much the opposite: a traditional approach with an increasingly commoditized product in smartphones. Xiaomi's South African partner will lead imports, marketing and support for phones sales, the Wall Street Journal noted.

可这次小米在非洲和南非公司Mobile in Africa Limited的合作模式却截然不同:对越来越商品化的智能手机仍然选择了传统的销售方式。《华尔街日报》报道指出,小米的南非合作伙伴会负责小米手机在非洲的进口和营销工作,并提供售后服务。

It's unclear how Xiaomi will gain traction in markets like India, Brazil and now Africa, as it has said it wants to, if it follows the same model as local competitors.


In India this past quarter, for instance, Xiaomi's sales experienced their first quarter-to-quarter decline after expanding there last year— almost a 46% tumble "due to fierce competition from Lenovo and Micromax's Yu brands especially in the higher volume sub-$100 segment," says Counterpoint Research. It doesn't rank in India's top five market share. And if anything, Xiaomi needs to be present in India more than it does in those three African markets, all of which together have barely one-fifth of India's population.

比如在印度,自去年进入该市场以来,今年第三季度小米的销售业绩首次出现环比下滑,当季降幅接近46%。市场调研机构Counterpoint Research认为,如此大跌源于"联想和印度本地手机制造巨头Micromax的Yu品牌等对手的激烈竞争,特别是在销量更高的100美元以下手机市场。"如今,小米在印度的市场占有率还未挤进前五强。说到底,小米在印度市场站稳脚跟比开发上述三个非洲国家更为重要,那三个国家的人口加起来,都赶不上印度人口的五分之一。

Xiaomi's also hurting in its home market of mainland China, and that's more than just a result of market saturation. Chinese competitors have stepped up their efforts to steal Xiaomi's crown. Research firm Canalys said Huawei passed Xiaomi for the highest market share in the third quarter.



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