Samsung
is no longer the top phone manufacturer in China, thanks to a company
that is still relatively unknown in the United States.
Xiaomi
distributed around 15 million phones in early 2014 while Samsung came
up short at 13.2 million, according to research firm Canalys.
The
report notes that the number of Samsung phones bought in China dropped
15% during the last quarter, the first time the company dropped to
second in China since 2011.
"Undoubtedly,
this was helped by an anticipated, temporarily under-strength Samsung
performance during the quarter," Canalys research analyst Jingwen Wang
wrote in a statement. "But that is only half the story — Xiaomi has also
executed on its strategy to grow volume shipments. It has delivered
compelling products at aggressive price points ... backed by effectively
targeted marketing.
"But
it does now need to deliver LTE products in China to address growing
demand for 4G services if it is to retain its momentum."
China
has more mobile phone users than any other country and makes up 37% of
the global phone market. Due to its success at home, Xiaomi is looking
to expand into other countries in the next year, including Mexico,
Thailand, Indonesia, Russia and Turkey.
"Xiaomi
needs to build its international brand, and will need to localize its
services offering with MIUI for the different markets into which it
expands ... and it must tailor its marketing and largely online sales
channels accordingly," analyst Jessica Kwee wrote in a statement.
"That said, Xiaomi does have the potential to be a disruptive force beyond China and international vendors should take note."
Posted by : Gizemon
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