Monday, February 6, 2017

Xiaomi targets sales of 7 million units of Redmi Note 4 this year : ED

Chinese smartphone maker Xiaomi, which doubled its smartphone sales in India last year to surpass $1 billion, or about Rs. 6,700 crore, in revenues, targets to become the country's largest smartphone firm within five years and, accordingly, plans to ramp up its manufacturing capacities according to ED report.

“I would want Xiaomi to become number one in overall smartphone sales volume perspective in India in 3-5 years,“ Xiaomi India head Raju Kothari told ED.

Xiaomi currently has a manufacturing plant along with Foxconn at Sri City in Andhra Pradesh. “We are looking to open one or two new factories with similar capacities to double or triple our capacities either at Sri City itself or elsewhere in the country with Foxconn,“ Kothari said. Its Redmi Note 3 has become the best-selling phone online in the country with 3.6 million units sold in just 10 months. In all, Xiaomi launched four phones in Mi and Hawala series in the country last year.

Raju Kothari said the firm hopes that sales volume of Redmi Note 4 this year will be double that of Redmi Note 3 last year, which would mean sales of at least 7 million units. He said more than three-fourths of the phones Xiaomi sold here last year were made in India.

Smartphone sales in the country have tripled in last three years to 120 million last year, out of total mobile phone sales of 270 million, Kothari said. It is expected to double to over 240 million by 2020.

Within two and a half years of its India foray , Xiaomi has become the leader in the online smartphone market in the country with 30% market share in the quarter ended December, Kothari said.


Even while continuing its focus on online first sales strategy , the DGFT firm will nearly triple its offline sales this year to around 30% from some 10% now. The company's application for single brand retail licence was approved by the DGT and the company is currently waiting for clearances from few others including the finance ministry, and is hoping to get its license sometime this year.

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