By 
Xiaomi is one of the largest smartphone makers in the world. In fact, according to Canalys, the company passed Apple to become the world’s second largest smartphone maker in Q2 2021, with a market share of 17%. Only Samsung is still in front of Xiaomi, with 19% of the market.
In addition to the overall market share, Xiaomi holds the Guinness World Record for most smartphones sold by the company in a 24-hour period. At the annual “Mi Fan Fan Fest” event in 2015, he sold 2,12 million phones (through CNN).
The popularity of Xiaomi comes from several factors, not least among the similarities with Apple. In fact, the two cellphones (via Ars Technica) and the tablet (through mashable) have drawn criticism because it becomes a clone close to Apple products.
However, the similarity of Xiaomi is only half the equation. The company managed to convey hardware such as Apple at a much lower price point, leading many people wondering how it did it.
One of the main reasons for Xiaomi’s cellphone is so cheap because the company focuses on the volume of high profit margins. While the Apple component fee for the iPhone 13 is approximately 36% to 37% of the retail price (through Imore), leaving a decent profit margin in the range of 60%, the CEO of Xiaomi said the company’s profit margin was only 8% or 9% (through Gizchina).
Another factor that can contribute to the low price of Xiaomi is the privacy of the company, or alleged lack. According to a report in Forbes, a web browser sent with Xiaomi devices record all online search activities, even when used in “Incognito” mode. The company also seems to collect data on other devices that can give it a glimpse into the personal life of its customers.
“Xiaomi is one of the top four smartphone makers in the world with a market share, behind Apple, Samsung and Huawei,” Forbes’ wrote Thomas Brewster. “Great selling Xiaomi is a cheap device that has many of the same quality as upscale smartphones. But for customers, that low costs can come at a decent price: their privacy.”
In the end, cheap Xiaomi cellphone cases can prove the old axiom that you get what you pay for. ‘
Comments