{"id":417,"date":"2014-06-24T10:10:21","date_gmt":"2014-06-24T10:10:21","guid":{"rendered":"http:\/\/www.pricepony.com.my\/blog\/?p=417"},"modified":"2014-06-24T10:10:52","modified_gmt":"2014-06-24T10:10:52","slug":"xiaomi-vs-huawei","status":"publish","type":"post","link":"https:\/\/www.pricepony.com.my\/blog\/xiaomi-vs-huawei\/","title":{"rendered":"How China&#8217;s Xiaomi Beats Huawei in Malaysia"},"content":{"rendered":"<div title=\"Page 1\">\n<p>According to Bloomberg Businessweek\u2019s latest issue, Xiaomi is the most popular smartphone brand in China at the moment. Xiaomi, founded in Bejing, is just four years old, but millions of chinese follow the brand already. This Cult like Fan Culture we know from only one other brand, which is Apple. That extreme popularity is caused in parts by the popularity <strong>Xiaomi CEO Lei Jun<\/strong> who a lot of people compare to Steve Jobs. Also by Xiaomi&#8217;s\u00a0<strong>extreme clever use of social media<\/strong>\u00a0and Online Sales.<\/p><div style=\"float: none; display: block; margin: 0 -10px; text-align: center;\"><!-- New Top AD MY Mobile 1 -->\n        <ins class=\"adsbygoogle\"\n             style=\"display:inline-block;width:320px;height:100px\"\n             data-ad-client=\"ca-pub-4796993490224996\"\n             data-ad-slot=\"2390501667\"><\/ins>\n        <script>\n        (adsbygoogle = window.adsbygoogle || []).push({});\n        <\/script><\/div><\/p>\n<p><a href=\"http:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/lei-jun-steve-jobs.jpg\"><img decoding=\"async\" class=\"size-full wp-image-418 alignnone\" alt=\"lei jun vs steve jobs\" src=\"http:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/lei-jun-steve-jobs.jpg\" width=\"970\" height=\"546\" srcset=\"https:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/lei-jun-steve-jobs.jpg 970w, https:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/lei-jun-steve-jobs-300x168.jpg 300w, https:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/lei-jun-steve-jobs-80x45.jpg 80w, https:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/lei-jun-steve-jobs-640x360.jpg 640w\" sizes=\"(max-width: 970px) 100vw, 970px\" \/><\/a><\/p>\n<p>Lei Juns says though that Xiaomi differs from Apple:<\/p>\n<p><em>&#8220;Our business model is more similar to Amazon,&#8221; Lei said, referring to\u00a0Amazon&#8217;s\u00a0habit of selling hardware at cost. On their profit strategy he said\u00a0&#8220;We sell all our products online and our gross profit rate is very low. Our price is one third of Apple&#8217;s,&#8221; he said. &#8220;We make our profits through content and services.<\/em>&#8221;<\/p>\n<p><a href=\"http:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/leijun_net.jpg\"><img decoding=\"async\" class=\"aligncenter size-full wp-image-423\" alt=\"Xiaomi Lei Jun\" src=\"http:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/leijun_net.jpg\" width=\"980\" height=\"582\" srcset=\"https:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/leijun_net.jpg 980w, https:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/leijun_net-300x178.jpg 300w, https:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/leijun_net-640x380.jpg 640w\" sizes=\"(max-width: 980px) 100vw, 980px\" \/><\/a><\/p>\n<p>Also\u00a0<strong>Xiaomi,<\/strong> is not the only Chinese Manufacturer that wants to conquer markets beyond China. According to <strong>Shao Yang<\/strong>, who is the Marketing head of <strong>Huawei<\/strong> mobile phone divison, it is not sure yet who will be the dominating chinese brand outside China. In General he argues that there needs to be another brand to challenge the dominance of Apple and Samsung: \u201cTwo brands is not a stable architecture,\u201d. Shao VP for Marketing at Huawei says also: \u201cEveryone wants to have a third brand. Where this third one comes from\u2014China is a very obvious choice, because China is the biggest market.\u201d<\/p>\n<p><img decoding=\"async\" class=\"aligncenter\" alt=\"Shao Yang Huawei CMO \" src=\"http:\/\/cdn-static.zdnet.com\/i\/story\/70\/00\/025000\/huawei-cmo-talks-phablets-next-gen-wireless-and-mobile-innovation.jpg\" width=\"717\" height=\"399\" \/><\/p>\n<p>Xiaomi\u2019s leaders Lei Yun and <a href=\"http:\/\/en.wikipedia.org\/wiki\/Hugo_Barra\" target=\"_blank\">Hugo Barra,<\/a> who joined Xiaomi last year from Google, trying very hard to be that third dominant brand with a very agressive Expansion Plan for<strong> Xiaomi worldwide.<\/strong> Shao Yang argues though, that the <strong>long term relationships<\/strong> that Telecom Giant Huawei built over the years can not be matched by Xiaomi. He says in an interview about Xiaomi: \u201cThey are quite dynamic. That\u2019s their advantage,\u201d. According to Shao the relationships that Huawei built with carriers and partners will make the difference in the end, he says: \u201ctrust is more important.\u201d<\/p>\n<p style=\"text-align: center;\"><strong>Huawei copying XiaomI Flash Sales with their Rush Buys<\/strong><\/p>\n<p style=\"text-align: center;\"><a href=\"http:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/rush-buy-huawei.jpg\"><img decoding=\"async\" class=\"aligncenter size-full wp-image-424\" alt=\"rush buy huawei\" src=\"http:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/rush-buy-huawei.jpg\" width=\"756\" height=\"756\" srcset=\"https:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/rush-buy-huawei.jpg 756w, https:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/rush-buy-huawei-150x150.jpg 150w, https:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/rush-buy-huawei-300x300.jpg 300w, https:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/rush-buy-huawei-640x640.jpg 640w, https:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/rush-buy-huawei-450x450.jpg 450w, https:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/rush-buy-huawei-50x50.jpg 50w\" sizes=\"(max-width: 756px) 100vw, 756px\" \/><\/a><\/p>\n<p>Huawei&#8217;s Marketing and Social Media Strategy might be not as sophisticated as Xiaomi&#8217;s but they have made big progress in building their own brand with a <strong>number of devices.<\/strong> Just recently they launched 5 new devices in Malaysia, most popular being their <strong>Ascend P7<\/strong> smartphone flagship, postioned against Samsungs Galaxy S5.<\/p>\n<p><a href=\"http:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/Huawei-Ascend-P7-white.jpg\"><img decoding=\"async\" class=\"aligncenter size-full wp-image-326\" alt=\"Huawei Ascend P7 white\" src=\"http:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/Huawei-Ascend-P7-white.jpg\" width=\"440\" height=\"297\" srcset=\"https:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/Huawei-Ascend-P7-white.jpg 440w, https:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/Huawei-Ascend-P7-white-300x202.jpg 300w, https:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/Huawei-Ascend-P7-white-165x111.jpg 165w\" sizes=\"(max-width: 440px) 100vw, 440px\" \/><\/a><\/p><div style=\"float: none; display: block; margin: 0 -10px; text-align: center;\"><!-- MY End of Content -->\n            <ins class=\"adsbygoogle\"\n                 style=\"display:inline-block;width:300px;height:250px\"\n                 data-ad-client=\"ca-pub-4796993490224996\"\n                 data-ad-slot=\"7887885268\"><\/ins>\n            <script>(adsbygoogle = window.adsbygoogle || []).push({});<\/script>\n            <!-- MY News Mobile Middle -->\n                                <ins class=\"adsbygoogle\"\n                                     style=\"display:inline-block;width:300px;height:250px\"\n                                     data-ad-client=\"ca-pub-4796993490224996\"\n                                     data-ad-slot=\"3890141663\"><\/ins>\n                                <script>\n                                (adsbygoogle = window.adsbygoogle || []).push({});\n                                <\/script><\/div><\/p>\n<p>&nbsp;<\/p>\n<p>According to Bloomberg Industries Huawei sold <strong>13.5 million<\/strong> smartphones versus <strong>Xiaomi&#8217;s 10 Million<\/strong> smartphones worldwide for the first quarter of 2014. In terms of Pricing both brands seem to follow the same strategy of extremely reasonable prices for high specs, while Huawei is with an average price of RM500 (155.30 USD) a bit cheaper then Xiaomi&#8217;s RM 510(159.60 USD). Both companies sell their smartphones now under their own brand. Only three years ago Huawei sold most of their mobiles under carrier brand and only 30% under their own.<\/p>\n<p><a href=\"http:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/Huawei-Ascend-P7-launch.jpg\"><img decoding=\"async\" class=\"aligncenter size-full wp-image-419\" alt=\"Huawei Ascend P7 launch\" src=\"http:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/Huawei-Ascend-P7-launch.jpg\" width=\"600\" height=\"345\" srcset=\"https:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/Huawei-Ascend-P7-launch.jpg 600w, https:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/Huawei-Ascend-P7-launch-300x172.jpg 300w, https:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/Huawei-Ascend-P7-launch-80x45.jpg 80w\" sizes=\"(max-width: 600px) 100vw, 600px\" \/><\/a><\/p>\n<p>While both Xiaomi and Huawei are catching very quickly up in terms of popularity and brand building, that does not mean they will be able to keep the success. If we have a look at the taiwanese manufacturer <strong>HTC<\/strong> we can see some similarities to Huawei. HTC, as Huawei, started selling out mainly to Carriers and shifted to selling their own brand quick. HTC became most of the top popular smartphones for the U.S market, but now they cant compete with Samsung&#8217;s huge marketing budget and Apple&#8217;s style and fighting to stay alive.<\/p>\n<p><a href=\"http:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/htc-profits-slide.jpg\"><img decoding=\"async\" class=\"aligncenter size-full wp-image-420\" alt=\"htc profits slide\" src=\"http:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/htc-profits-slide.jpg\" width=\"620\" height=\"325\" srcset=\"https:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/htc-profits-slide.jpg 620w, https:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/htc-profits-slide-300x157.jpg 300w, https:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/htc-profits-slide-433x227.jpg 433w\" sizes=\"(max-width: 620px) 100vw, 620px\" \/><\/a><\/p>\n<\/div>\n<div title=\"Page 2\">\n<div>\n<div>\n<p><strong>Huawei&#8217;s Marketing VP Shao i<\/strong>s sure that this story will not repeat with their company, especially because of their experience with history of selling 3G and 4G equipment to carriers. \u201cWe think three things are fundamental for smartphones,\u201d Shao explains \u201cNo. 1 is hardware, No. 2 is software, No. 3 is telecommunication. The best hardware is from Samsung, best software and user experience [are] from Apple, and Huawei is the one that can provide the best telecom connectivity. This is the advantage of Huawei. People know that Huawei can provide the best 4G.\u201d<\/p>\n<p>In Malaysia it is not decided yet which Chinese manufacturer will be the more dominant. Xiaomi gained a lot of popularity recently with their weekly Flash Sales, in which thousands of their devices regularly sell out in a few minutes.<\/p>\n<p><a href=\"http:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/10500542_261548870715881_5843525572460877103_n.jpg\"><img decoding=\"async\" class=\"aligncenter size-full wp-image-421\" alt=\"Xiaomi Sold Out\" src=\"http:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/10500542_261548870715881_5843525572460877103_n.jpg\" width=\"960\" height=\"960\" srcset=\"https:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/10500542_261548870715881_5843525572460877103_n.jpg 960w, https:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/10500542_261548870715881_5843525572460877103_n-150x150.jpg 150w, https:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/10500542_261548870715881_5843525572460877103_n-300x300.jpg 300w, https:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/10500542_261548870715881_5843525572460877103_n-640x640.jpg 640w, https:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/10500542_261548870715881_5843525572460877103_n-450x450.jpg 450w, https:\/\/www.pricepony.com.my\/blog\/wp-content\/uploads\/2014\/06\/10500542_261548870715881_5843525572460877103_n-50x50.jpg 50w\" sizes=\"(max-width: 960px) 100vw, 960px\" \/><\/a><\/p>\n<p>&nbsp;<\/p>\n<p>But Huawei&#8217;s devices, especially the <strong>RM499 Honor 3C<\/strong> seem to be equally popular. For the Malaysian Customer the more exciting question might be if both companies can make sure that they can deliver enough stock for the Market. Otherwise Apple and Samsung will stay longer very lonely as the Top Mobile Phone Manufacturers.<\/p>\n<p>What do you think who will be the dominant brand in Malaysia?<strong> Huawei or Xiaomi ?<\/strong><\/p>\n<\/div>\n<\/div>\n<\/div>\n<div class=\"903844ba193d23ab2be2617b0fd6a8be\" data-index=\"3\" style=\"float: none; margin:10px 0 10px 0; text-align:center;\">\n<!-- MY End of Content -->\r\n<ins class=\"adsbygoogle\"\r\n     style=\"display:inline-block;width:300px;height:250px\"\r\n     data-ad-client=\"ca-pub-4796993490224996\"\r\n     data-ad-slot=\"7887885268\"><\/ins>\r\n<script>(adsbygoogle = window.adsbygoogle || []).push({});<\/script>\n<\/div>\n\n<div style=\"font-size: 0px; height: 0px; line-height: 0px; margin: 0; padding: 0; clear: both;\"><\/div>","protected":false},"excerpt":{"rendered":"<p>According to Bloomberg Businessweek\u2019s latest issue, Xiaomi is the most popular smartphone brand in China at the moment. Xiaomi, founded in Bejing, is just four years old, but millions of chinese follow the brand already. This Cult like Fan Culture we know from only one other brand, which is Apple. That extreme popularity is caused [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[19],"tags":[],"class_list":["post-417","post","type-post","status-publish","format-standard","hentry","category-opinion"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.1.1 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>How China&#039;s Xiaomi Beats Huawei in Malaysia - Price Pony Malaysia<\/title>\n<meta name=\"description\" content=\"Xiaomi is the most popular smartphone brand in China at the moment. We review Xiaomi&#039;s Business Strategy Vs Huawei. 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