There’s always a first time. And for one company, it’s likely a motivation to do even better.
Market-research firm Canalys’ latest report shows that Xiaomi climbed a step further to become the second-biggest smartphone brand worldwide in the second quarter of 2021. Its annual growth was staggering at 83%, the highest increase achieved by any of the five largest vendors during the same period. Recall that the brand first entered the top 3 in global smartphone rankings in the third quarter of 2020.
Canalys research manager Ben Stanton points out Xiaomi’s fast growth overseas as one of the factors that contributed to its rise. “For example, its shipments increased more than 300% in Latin America, 150% in Africa, and 50% in Western Europe,” he expounds.
Global market share and annual growth rate of the top 5 smartphone companies in Q2 2021
But unlike market leader Samsung and third-placer Apple, Xiaomi is still heavily skewed toward the mass market, with its average selling price around 40% and 75% lower than the competition’s. Stanton says the challenge now is for Xiaomi to increase the sales of its high-end models, such as the Mi 11 Ultra.
It will be an uphill battle. According to Stanton, “OPPO and Vivo share the same objective, and both are willing to spend big on above-the-line marketing to build their brands in a way that Xiaomi is not.”
If the brand plays its cards right, we may just see a new No. 1 in the next quarter or two, especially since Xiaomi is just 2% shy of the top spot.
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