Xiaomi Mobiles India - Strategy Planning and Launch Ideas

Xiomi is trying to focus in earlier stages in rural areas with
Smartphones in the price range of 3K-22K, because when
we consider Indian market major population lies on rural
area which is a huge market in itself. We can focus and
align our strategy by focusing towards Smartphone's
which have great response over the entire Indian market.
Brand Strategy
www.abhishhek.com | : iAbhishhek

India Mobile and Smartphone Market

India Internet AudienceIndia Mobile Users Landscape
Source: World Bank; Springboard Research
Source: http://wwwIAMAI.In
India: Emerging Smartphone Market
 Breaking out to Smartphone's from Featured phones
 When there are about 650 million mobile users in India, only 12 per cent of them are Smartphone users. So the headroom to
grow is tremendous.
 Focusing the youth
 Younger generation are so fascinated towards Smartphone's.
 They depend more on it, rather than PC for most of the work
There is a constant growth in Internet Audience and most of them are accessing the Internet
through their Cell phones www.abhishhek.com | : iAbhishhek

Mobile Handset and Smartphone Market in India
 In India two three major brands in Mobile phones are Nokia, Samsung and Micromax which have a market share of
17%, 20% and 11.20% respectively
 However, we see that there are other market players which have around 51% of market share in mobile phones
 The Smartphone market in India is captured mostly by brands like Samsung, Micromax and Karbonn as they were the
early launchers and presented budgeted Smartphones to consumers
 There are other brands like Maxx, Celkon, Gionee which have also launched their budgeted Smartphones in India
and cover around 34% market share

India Mobile Internet Users
Source: IAMAI.IN

What are the features used by a Rural
India Consumer?
Emerging Rural Distribution Models in
India
Average Selling Price
of Mobile Phones in
India

A look at the Competition

Micromax
Micromax is the biggest competitor in India as it has a wide range of budgeted Smartphones. It focuses on continuous
innovation and has a big market share in India after Samsung.
Word Cloud Social Media Fan Base
Facebook Fans: 2.1 M, Twitter Followers: 42.4K
Branding: Micromax caught a global
attention by taking Hugh Jackman as a
Brand Ambassador
The Word Cloud shows their association with their association with
Hugh Jackman and the movie X-men. Micromax is associated with
many events and promotional activities. It also focuses on regular
Digital Media/Social Media campaigns
They sponsor a lot of Music, Movies and Sport events to promote the
brand
Sentiment Pos= 10% Neu= 87% Neg=3%

Lava Mobiles
Facebook Fans: 522 K, Twitter Followers: 5.5K
Social Media Fan Base
Word Cloud
The Word Cloud of Lava Mobiles shows that people are talking a lot
about price, specifications and features of their Smartphones. They are
also talking about the price of the new launched phone along with the
latest campaigns to promote these phones.
People also talking about its association with IIFA2014 and its new
launch Lava Iris X1
Sentiment Pos= 11% Neu= 88% Neg= 1%

Gionee Mobiles
Word Cloud
The Word Cloud of Gionee Mobiles shows that people are
talking a lot about price, specifications and features and their
new launch Gionee Elife and it being the slimmest
smartphone. People want to know when will Elife be available
in the market and at what price.
Facebook Fans: 482 K, Twitter Followers: 6.4 K

Karbonn Mobiles
Word Cloud
Facebook Fans: 421 K, Twitter Followers: 1.7K
• The Word Cloud of Karbonn Mobiles show that people are
talking a lot about price, specifications and features of the
Smartphones along with its association with Rajnikanths movie
Kochadaiiyaan.
• People are also talking about Its latest campaigns and
participating actively in them like Sunburn Campaign
#sunburnwitharmin

How to launch Xiomi Mobile in India?

STP (Segment, Target & Positioning)
• Low-Medium- Premium range Smartphone’sSegment
• Low and Average income consumers
• Youth (Teenager, School and College Going Student)Target
• Replacing bigger players like Samsung, Nokia through
low-end phone marketPositioning

SWOT Analysis
Strength
 Launching of new products in market frequently.
 Innovative & Featured products.
 Low selling price of products.
 Effective promotion campaigns
 Most phones are Dual/Triple sim phones
Weakness
 Low brand Image
 Lack of quality in products
 Poor service after sales support
 Misunderstanding as a Chinese brand
Opportunities
 Increasing growth rate selling of Smartphone's in Indian market.
 Entry into more international markets .
 Low-end phones market has becoming very compettive.
Threats
 High competition from local & international players
Eg:- Samsung, Nokia, Karbonn
 Entry of new players
Eg:- Maxx, Gionee, Intex, etc
 Low price Smartphones from well known players

The TG
• We can target the youngsters and students at different colleges and start the promotions from their colleges when the new session starts
• We can do activation at Malls, Restaurants and Coffee shops where teenagers and students visit often
• Youth (Teenager, School and College Going Student)
• Low and Average income consumers
TG Behavior: Young, Dynamic, Enthusiastic, Tech Savvy, Outgoing,
Adventurous and Fun-loving, Traveling and Hanging out with friends
and love exploring new places, Love to try new things
TG Constraints:
• No Job
• No Income
• Love to own new gadgets –
within their budget
• Main source of finance – Pocket
Money
• Few students also work part time
Talking Points:
• What is the best use of your Pocket
Money?
#MostEfficientUseOfPocketMoney
• What would you like to purchase next
with your Pocket Money?
• What would you love to gift to your
best friend using your PocketMoney?
#BestGiftInPocketMoney

The Proposition
The smartphone that not only fits in your pocket, but in your
pocket money as well –
The Pocket Money Smartphone

The Approach
Announce
- Activation by installing pre-launch
posters and standees at Mobile
Dealerships, Mobile Stores, Malls,
Colleges, Institutes and other
places where youngsters visit often
Engage
- Social Media contests
- Start a Blogger Management
Program for the build up so that
the Bloggers start talking about the
new phone to be launched in the
market. They can talk about Tips
and Tricks, Specs, Features, Price
and other comparison with the
competition brands to create a
buzz about the product
Promote
- Social Media Campaigns and
Sponsored Posts and Stories to
promote the brand and do a Fan
Acquisition on Social Media
Platforms like Facebook and
Twitter

Launch Ideas
• Mall Activation in Tier 1 : SEC B and Tier 2 : SEC B cities across India
• Social Media Promotion and Sponsored Ads
• Dealers (Mobile Dealerships and Stores)
• Mobile Activation (Give a Missed Call to become the first user of Xiomi Smartphone)
• Content Portal + Social Media : Pocket Money Smartphone
• College Activation (During the start of new session in July-Aug)
• Contact Top Mobile/Tech Websites to talk about the Pocket Money Smartphones by Xiomi
• Collaborate with Popular Bloggers and Influencers on Digital and Social Media to talk about the brand and its launch
• Create a microsite to “Pre Order” the Smartphone and make effective use of Digital Media and Social Media to promote the same
• Hash Tag contest #MostEfficientUseOfPocketMoney and then chose 5 winners with most Tweets, RT’s and Favorites
• We can promote our brand on Facebook by a #MyCrazySelfie contest by asking the participants to post their Craziest Selfie and choose 5 winners by
maximum Likes/Shares/Comments on his/her pic
• Do a #MyLowestBid contest in which we will ask participants to bid on our new phone and Xiomi will give a brand new phone as a gratification to the winner
Social Media (Facebook/Twitter) Campaign Ideas
Build Up
• College Association (Fests, Events in
College)
• Select Campus Ambassadors
• Leverage Social Media to promote the
Smartphone in Colleges (e.g. We are
coming to your college. Are you
Ready?)

Present objectives:
1. Focus on urban and rural markets in India specially youth 18-25 years : To increase presence in rural and urban market, Xiomi is focusing on
rural and urban youth of age group 18-25 years.
2. Focus on Smartphones : As Smartphone is going to be the future of mobile market, Xiomi should start focusing on Smartphones. It has
decided to launch more smart phones in the market.
For 2014-2016:
1. Focus on India’s Rural and Urban market at large : On capturing major share of rural and urban youth market, for next two years Xiomi needs
to focus on rural and urban market at large like senoor citizens, physically handicapped etc.
2. Focus on Smartphones as well as Tablets : Xiomi needs to continue focus on Smartphones and launch more products and also it needs to
focus on tablet market.
For 2016:
1. To start new plant and reach market share of 20% : To increase market share, it is essential to increase production capacity. Xiomi should
plan to start a new plant in India. With the help of this new plant, it will be able to reach a market share of 20%.
2. Focus on international markets : On making strong focus on rural market and urban market in India, Micromax needs to expand to
International markets and enter into neighbouring Indian countries, south African countries etc.
Objectives

Conclusion
• India, is one of the markets where Internet growth has continues unabated. However, Indian market is difficult to monetize. Overall, the number of Internet
users grew by less than 10 percent, while in India, the growth was 27 percent, with a total of 154 million users. A large portion of rural India lacks Internet
services, which shows in the low penetration numbers. Only 13 percent of India has Internet connectivity, which shows just how much of an untapped
market there is.
• When it comes to smartphone subscribers in the world, India has managed to make a strong impact. Indian markets are flooded with numerous
smartphones that are priced competitively. Hence Internet usage on smartphones and mobile devices has risen dramatically. On average, Indians spent
nearly three hours (162 minutes) on their smartphones, by far the most engaged device, followed by TVs, PCs and tablets.
• The Indian smartphone market grew by close to 55 percent, but that represents just 10 percent penetration. So once again, a huge opportunity for
manufacturers and vendors. This possibly could lead to major launches happening in developing nations first, as manufacturers attempt to gain traction in
growth markets.
• India as being one of the developing ‘Big’ smartphone markets. According to the report, India recorded 117 million smartphone users in 2013. Meeker
estimates that in 2014, the Indian smartphone market’s growth rate might decline, but the size would grow by 45 percent.
• While smartphones have bloomed, tablets are struggling to make a mark in Indian markets. It was recently reported that the tablet market here recorded a
decline of over 32 percent as it still struggles to attract buyers. Tablets had an initial introductory growth of over 52 percent but then as the trend of owning
tablets declined, sales dipped in many countries around the world, including in India.
• In India, the average tablet owner used their device for just over half an hour every day, whereas the figure was nearly triple for PCs, so India is still very
much a PC market, even though tablets have made inroads. Thus, Xiomi can target these Tablet users with new innovations in Phablets Smartphones.
• As for data traffic, thanks to the availability of cheap Android powered smartphones, India has become quite a large contributor with regards to 2G and 3G
penetration. India expects 811 million 2G subscriptions, which is still widely used and 171 million 3G subscriptions in 2014. The gross total number of
people who will be online is expected to cross 982 million. This growing trend does not account for the possible invasion of 4G which a number of network
providers are waiting to launch. According to Meeker, mobile data traffic is growing at the rate of 81 percent year-on-year, especially because of video
streaming which has become the one of the biggest use cases for mobile data.

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Xiaomi Mobiles India - Strategy Planning and Launch Ideas

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Xiaomi Mobiles India - Strategy Planning and Launch Ideas