Following the launch of the 14 series earlier this year, Xiaomi is now poised to make a significant move into the price segment it previously missed out on. Speaking to Gadgets 360, Anuj Sharma, CMO—Xiaomi India, confirmed that the company is gearing up to launch a smartphone priced around Rs. 50,000. This new smartphone from Xiaomi will bridge the gap between the Redmi Note 13 Pro+ 5G, which starts at Rs. 30,999 (8+256GB) and goes all the way up to Rs. 34,999 (12+512GB), and the flagship, Xiaomi 14 at Rs. 69,999.
“I don’t think there’s anyone doing a great Rs 50,000 smartphone. And here we actually wanted to do the whole Xiaomi thing that we normally do and see if we can bring in a device that does justice,” Sharma told Gadgets 360.
Without sharing more details about the upcoming Xiaomi smartphone, Sharma added that the new smartphone will be a great all-rounder.
“When you approach the price range in the middle, Rs 50,000 is the critical price point in the premium segment, which is equivalent to Rs 9,999 in the economy segment. When this online thing started in 2014-2015, Rs 9,999 and Similarly, the price of Rs 50,000 rupee or the sub-Rs 50,000 price tag has been forgotten over the years,” Sharma stressed this segment has been a missed opportunity for most smartphone players in recent times.
Currently, Rs. The price range of 50,000 has only a limited number of players. There’s iQOO, which markets its devices for performance-oriented users. OnePlus has, above all, excelled in this segment, building on the success of the 11R and 12R, but both have had minor improvements in specs and are hardly pioneers in terms of offerings at this price point. Then, Apple and Samsung have very different approaches. Apple’s iPhone SE is there for those who want a small smartphone or can upgrade to the iPhone 13 at discounted prices from the e-commerce giants. Samsung recently launched the Galaxy A55 at Rs. 45,000, making the base S24 more expensive this year. The gap in the smartphone market is obvious, and Xiaomi wants to exploit it.
Anuj Sharma, CMO – Xiaomi India, during the briefing for Xiaomi 14 (February 2024)
Xiaomi 2024
Xiaomi has been a key player in the smartphone market this year, recording significant growth. According to analyst reports, the launch of the Redmi Note and Xiaomi 14 series was well received. The latest IDC report shows that Xiaomi is the leader in the sub-$100 smartphone segment. This positive momentum carried over from 2023, following a challenging 2022 for the company.
Sharma spoke about how the company incorporated feedback from its community and lessons learned from the launch of the Xiaomi 13 Pro last year. One of the biggest learnings for Xiaomi was simplifying the product portfolio to make it easier for consumers to choose.
When asked about any dedicated strategy for the upcoming smartphone around Rs. 50,000, like an upgrade offer for existing Xiaomi users, Sharma explained, “Over the last five years, between Rs 20,000 and Rs 40,000, we’ve had some super successful launches – the Redmi K series, which was Rs 22 to 27K, then the Xiaomi 10i, 11i and then the 11i Hypercharge – they were all on a three-year upgrade cycle, that would be a good upgrade path,” Sharma explained.
When asked about the consumer feedback for Xiaomi 14 and Xiaomi 14 Ultra, Sharma said that it is mostly positive.
“Extending the Xiaomi 13 Pro in a way. That planted a good seed. A lot of people at the time were skeptical – if they wanted to buy this product for 80K, but a year later, it became very difficult for us to create a trade-in program for that phone . People who bought 13Pro are not willing to return.”
Does the offline market matter for premium smartphones?
Xiaomi already has a huge retail presence and they would use this to spread the word about their growing range of premium smartphones.
Regarding the offline strategy, Sharma explained, “The whole retail strategy is built on experience. We started moving a little bit more in that direction after the pandemic started because as you grow in a certain price point, the first device you buy from a brand or series has to be offline. Most people try it a few times and later decide, if they buy it on Mi.com or Flipkart, it doesn’t matter.”
“So at the beginning of last year we talked about building more retail opportunities. We are working on that aspect. Whether you go to Mi home or Mi stores, or we work with our organized trading partners, but we even go to some of the multi-brand outlets, smaller outlets, we’re trying to make sure there’s some kind of demonstration, there’s a little bit more understanding with the retailer in terms of what we’re offering so they can get things right and they can talk about the right products. The magic for the Xiaomi 14 and the Ultra is the first moment you hold it in hand, and then the moment you start it.
We should hear more about the upcoming Xiaomi smartphone soon. Follow Gadgets 360.
