Xiaomi is growing rapidly in Latin America smartphone market

Xiaomi is growing rapidly in Latin America smartphone market

Market analysis company, Canalys, launched a brand new report which exhibits that Xiaomi is rising quickly in Latin America. For the third quarter of 2021, the Chinese language producer is the third-largest smartphone model within the area by shipments. In Latin America, Xiaomi presently has an 11% market share. Xiaomi is presently the primary smartphone producer in Peru and second in Colombia. Its market share within the third quarter of 2021 in these international locations hit 31% and 27%, respectively.

As early as 2017, Xiaomi entered the Colombian, Chilean, and Mexican markets. At the moment, the corporate offered a median of 290,000 items per quarter in these markets. Over time, Xiaomi’s technique in Latin America has undergone great adjustments. In 2019, the corporate additional entered one other two Latin American markets, Peru and Brazil. The identical yr, Xiaomi recorded a year-on-year progress of 200% in Colombia and 390% in Mexico.

Canalys mentioned that in 2019, service channels accounted for about 64% of shipments in Latin America. Xiaomi started to deal with service channels and combine channel sources at the moment. As well as, the gross sales focus of Xiaomi cellphones has additional expanded from the $100-299 value vary, with fashions below $100 and $400 and above. Xiaomi’s shipments in Latin America elevated by practically 200% year-on-year in a number of years.

Xiaomi’s cooperation with native operators is essential to its success

In mid-2020, the corporate appointed a brand new director to steer the enterprise within the area. Xiaomi signed a brand new alliance settlement with America Movil, the biggest native operator. This helped Xiaomi’s shipments in Colombia by means of service channels enhance by 6500% year-on-year. Within the Mexican market, the corporate’s shipments additionally elevated by 244% yr on yr. As for Chile, the corporate recorded a 1610% enhance by quantity. As well as, the retail channel enterprise has additionally been strengthened on-line and offline.

Xiaomi’s advertising technique has led Chinese language producers corresponding to Oppo, Vivo, and ZTE to enter the Latin American market. These manufacturers have additionally adopted penetration advertising methods in current quarters, beginning a value warfare, and even rapidly saturating some value ranges. By the third quarter of 2021, within the Latin American market, ZTE accounted for 4%. As well as, Oppo accounts for 3.4%, TCL accounted for two.5%, and Vivo accounted for two%.

Xiaomi has at all times been superb with price-performance ratio. The corporate appears to do additionally very effectively in lots of growing areas. These are areas that seem to favor the mid-range and entry-level costs to the flagship finish. The Redmi model has lots of respectable smartphones that are reasonably priced. Nevertheless, the corporate’s cooperation with native operators is its main breakthrough within the Latin American market.