The biggest enemy of Xiaomi after the hidden crisis was himself

As previously expected, Xiaomi Double 11 won two championships, killing opponents with a turnover of 1.56 billion yuan. At the same time, Xiaomi’s US$1 billion loan has been approved and the listing has been implemented in an orderly manner. From the annual transaction volume to the dual 11-hit momentum, Xiaomi is making a big splash in the market.
Although many media and industry players are not optimistic about Xiaomi, including the author, we must face the fact that 27 billion yuan in annual revenue and 3.46 billion yuan in net profit are enough to support Xiaomi's successful listing.

After the double 11 wins the championship again, there seems to have been no threat to the status of Xiaomi in the domestic independent brand camp. The proud Xiaomi employees may be able to stand up and laugh at those friends. However, Xiaomi may not be clear: The biggest enemy of Xiaomi who rushed on the avenue of the listing is not Chung Yuen United, not Samsung and Apple, but himself!


Hidden crisis in layout

The people in the venture capital circle are very clear that Xiaomi’s largest capital is listed. Millet’s $40 billion valuation is also attributed to Lei Jun’s layout. From the smart phone to the construction of the mobile Internet ecosystem, to the smart home, the Lei Jun pattern has taken shape, but it is not at all basic.

On the face of it, the mobile ecological chain built with MIUI is moving toward a large scale. The scale of more than 70 million users is the proud capital of Xiaomi. In fact, the scale of MIUI users is at least 100 million yuan, which is more valuable. According to the growth of MIUI users, billions is So easy.

In actual fact, MIUI users have ushered in a growth bottleneck after breaking through 70 million. Judging from the double 11 promotion, it is no secret that the Mi 4 is unmarketable. The abnormally hot low-end series of red rice can, to a certain extent, promote the acceleration of MIUI to the scale of 100 million. Of course, the popularity of red rice to promote MIUI users also has a negative effect, that is, low-end users of the MIUI system, loyalty, and activity, and millet high-end users have a very big gap.

Glory's mad chase is a huge threat to Xiaomi's low-end users. In addition, the contribution of low-end red rice users to MIUI is merely an increase in number, and it is difficult to contribute to the MIUI ecology. This is a potential crisis in Xiaomi's mobile ecological layout. Obviously, Xiaomi is also aware of this and began to force video, which is the most important story of Xiaomi’s listing.

However, Xiaomi seems to have forgotten the fatal impact of the policy on LeTV. Right now, LeTV CEO Jia Yueting has not been back home and has caused many suspicions. Let's watch the eco-chain crash at any time is no longer an alarmist. It is undeniable that Xiaomi tried to avoid policy risks by investing in iQiyi and Youtu, and the precarious music is also the way to go. Facts have proven that Xiaomi's model of replicating the LeTV model does not work.

Although smart home this layout is very attractive to capital, but millet router listing suffered a setback, so that the smart home this broken dream. In the future, the story of Xiaomi’s listing will be dominated by mobile ecology and video entertainment. The potential risk of MIUI's lackluster growth and video entertainment business is a hidden crisis in the layout of Xiaomi, and it is a crisis with uncontrollable risks.

The frustration of brand value shrinks

Since Millet locked the price of the first generation of mobile phones at 1999 yuan, the price of subsequent products has been declining. In the double 11 promotion, Red Rice sold 599 yuan, again lowering the lowest record of Xiaomi's mobile phone price. Perhaps many people believe that under fierce competition, millet mobile phone prices are inevitable.

From the perspective of brand value, millet's fall in price is corresponding to the shrinking of brand value. In the product layout, Xiaomi does not have a product that allows the brand to achieve a premium, which is arguably the biggest flaw in the millet layout.

Indeed, Huawei, known as the millet's rival, is priced close to the red rice. However, we must not overlook that Huawei's high-end products include Mate7 and P7, of which Huawei Mate7 is priced close to 4,000 yuan. In addition to Huawei, Lenovo's VIBE Z mobile phone also has a high-end market, priced at more than 3,000 yuan; ZTE Grand X mobile phone is also positioning high-end crowd; after the brand adjusted Cool, will also launch high-end brands. Let's look at the layout of Xiaomi, in order to pursue sales volume and continue to extend to a lower price range, let Xiaomi become a low-priced brand from a brand born for fever.

After Xiaomi’s mobile phone price has fallen to the 599 yuan range, even Xiaomi will launch high-end products to increase the premium of the Xiaomi brand and lose the best opportunities. For red rice, this low-end mobile phone is inferior to Huawei's glory in workmanship. The same price range of products, work less than other brands, Xiaomi rely on what to achieve brand premium? rely on MIUI it?

From the user's feedback point of view, most of the red rice mobile phone user's perception of Xiaomi, not MIUI, but the price. Like the apple image of Apple Millet, the premium on the iOS system is simply a fantasy, because Apple’s high-end users are very concerned about the fluency of the system.

According to reliable sources, Xiaomi will complete the listing by the end of 2015. According to news from the mobile phone supply chain, Xiaomi's next-generation product price will be locked in the price range of over 2,500 yuan. This is an inevitable move by Xiaomi to enter the high-end to increase the premium of Xiaomi brand. Prior to this, Xiaomi used low-cost and high-quality products to enter the market. For many years, the low-cost image it left for users was difficult to break with a high-end product.

Xiaomi tried to push high-end mobile phones, indicating that Xiaomi has realized the seriousness of the shrinking brand value, but unfortunately this step is a bit late. Tracing back to the source, the helplessness of millet's brand value is a mistake made by Lei Jun in product layout. After all, Lei Jun is not a god and he will make mistakes.

Management System Reconstruction

From Jinshan to Xiaomi, Lei Jun has management shortcomings. In the early days, Xiaomi's plate was not too big, and the problem of management was not obvious. From the beginning on the headlines, and now negatively hampered, Xiaomi’s management problems have become increasingly acute. The public relations team has been the first to bear the brunt.

The negative is an issue that any company cannot avoid. Under normal circumstances, dealing with negative public opinion is the responsibility of the public relations team. The team of Xiaomi Public Relations team is very strong. They have rich media experience and understand the needs of the media. This has made a great contribution to the media communication of the Xiaomi brand. A senior media person is transformed into a public relation and lacks experience in dealing with negative public opinions. Because of this, after a series of negative events such as dispensing doors and Huangnimen, the Xiaomi public relations team did not properly handle it.

In fact, as early as the mobile power explosion incident has exposed the public relations team's disadvantage. Every time the mobile power source explodes, Xiaomi’s unified calibre is a copycat product. This old-fashioned method is consistent with the media people’s thinking of handling crisis public relations. However, it is not clear that these senior media members who have made such transformations and public relations will have more questions than any other reason. Therefore, after the recent explosion of millet mobile power, netizens' first reaction was that Xiaomi would say that it was a cottage product. In the end, Internet users' claims were fulfilled.

In addition to the public relations team, Xiaomi's management structure also has a series of problems. Former vice president of Google Bala, former chief editor of Sina.com Chen Hao now become Lei Jun’s comrades. What role can these star characters play for the operation of Xiaomi? From the perspective of Xiaomi’s overseas expansion, Bala’s Xiaomi's role is more like a star person who endorses Xiaomi’s listing, and has not provided constructive suggestions for Xiaomi’s overseas market expansion because Xiaomi’s overseas market is a model for replicating the domestic market.

In addition, Xiaomi’s frustration with smart TVs and smart routers also reflected Xiaomi’s management issues from the side. When Xiaomi's router encountered the problem of carrier compatibility, Lei Jun did not realize that smart homes also required senior technical personnel with a background in operators.

Reliable sources from multiple sources stated that Xiaomi has initiated the listing process internally. Millet who is about to become a listed company, if there is still not a professional and efficient management team, then all kinds of issues during the listing period, especially negative public opinion, will make Xiaomi headache, and even affect the process of listing.

For Xiaomi, the double 11 will win the IPO. Objectively speaking, with Xiaomi's current results, the listing has no obstacles. The discredit of competitors will not stop Xiaomi’s listing. However, Xiaomi must make it clear that Xiaomi's number one enemy on the way forward is not a competitor but himself. How to make up for the deficiencies of the past and surpass the brilliant record created by him is a problem that Xiaomi must treat with prudence.

Recommended installation sofa butler Download: http://app.shafa.com/



Controller Chip

Shenzhen Kaixuanye Technology Co., Ltd. , https://www.iconlinekxys.com