Xiaomi India’s revenue in 2017 will be more than $2 bn: MD Manu Kumar Jain
, ET Bureau|
Dec 19, 2017, 12.41 AM IST
KOLKATA: Xiaomi India is going to exceed the $2-billion revenue mark this calendar year and is confident of maintaining this tempo next year as well with its offline expansion and product launches beyond smartphones, managing director Manu Kumar Jain said.
Jain said the company has notched up record sales this year in India, including selling four million handsets in the one month period of Diwali which is the first ever for any smartphone brand in the country. Xiaomi, which last year had $1-billion sales, shared the number one position in Indian smartphone market with Samsung in the last quarter, as per tracker IDC India.
"We are closing our books now, but pretty sure to exceed $2-billion this year. As far as market share's concerned, we have 50% share in online sales and 23.5% in overall market and we became number one last quarter. We are looking at leadership position in India for the long run," said Jain.
ET had recently reported that the company has made a regulatory filing in India to expand into several businesses such as electric vehicles, payment bank, consumer electronics and lifestyle products. Jain said Xiaomi has formed a separate product and R&D team to customise the products for the Indian market and even redesign them completely to make them suitable for the country.
"For instance, our electric scooter will require a complete redesign since it's suitable for Chinese road conditions. Similarly, we need to add a storage tank in our water purifier to sell in India since consumers want storage capacity," said Jain. Xiaomi is going to enter two categories next year and is aggregating local content that will be bundled with its smart TV.
"TV is a space where we want to enter. We are building the content by virtue of our stake in Hungama," he said.
The company is not going to raise smartphone prices after the government last week increased import duty to 15% from 10%. Jain said only one premium model — Mi Mix 2 — is imported since it involves high-end production process and Xiaomi will absorb the duty component keeping prices intact.
"Around 95% of our smartphones are made in India. We will further expand our smartphone capacity next year and build component sourcing base in the country," said Jain.
Jain said the company has notched up record sales this year in India, including selling four million handsets in the one month period of Diwali which is the first ever for any smartphone brand in the country. Xiaomi, which last year had $1-billion sales, shared the number one position in Indian smartphone market with Samsung in the last quarter, as per tracker IDC India.
"We are closing our books now, but pretty sure to exceed $2-billion this year. As far as market share's concerned, we have 50% share in online sales and 23.5% in overall market and we became number one last quarter. We are looking at leadership position in India for the long run," said Jain.
ET had recently reported that the company has made a regulatory filing in India to expand into several businesses such as electric vehicles, payment bank, consumer electronics and lifestyle products. Jain said Xiaomi has formed a separate product and R&D team to customise the products for the Indian market and even redesign them completely to make them suitable for the country.
"For instance, our electric scooter will require a complete redesign since it's suitable for Chinese road conditions. Similarly, we need to add a storage tank in our water purifier to sell in India since consumers want storage capacity," said Jain. Xiaomi is going to enter two categories next year and is aggregating local content that will be bundled with its smart TV.
"TV is a space where we want to enter. We are building the content by virtue of our stake in Hungama," he said.
The company is not going to raise smartphone prices after the government last week increased import duty to 15% from 10%. Jain said only one premium model — Mi Mix 2 — is imported since it involves high-end production process and Xiaomi will absorb the duty component keeping prices intact.
"Around 95% of our smartphones are made in India. We will further expand our smartphone capacity next year and build component sourcing base in the country," said Jain.
