Xiaomi launch expensive cell phones to erase its cheap brand image

Xiaomi Business Model Changes

In recent years, the Chinese company Xiaomi has earned the reputation of being a brand of cheap phones, but of high quality. However, already they want to get rid of that image and start launching expensive phones to change it. But do not worry, for the moment Xiaomi only thinks to do this in the Indian market, where it is currently the number one brand in sales after having surpassed Samsung.

According to a Xiaomi representative to Reuters, the company is prepared to expand its product portfolio in India. They think to offer high quality smartphones and smart TVs at higher prices. Will they do the same in the European or Chinese market in the future? Then we tell you all the details.

Xiaomi go changing its business model little by little

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In the interview with Reuters, the Xiaomi representative admitted that in India they are up the average sales price curve (ASP, for its acronym in English) of its devices. This is due to the acceptance they have detected for devices with prices higher than Rs 30,000 (380 euros approximately). In fact, right now the Mi 9T Pro is sold in India for 31,000 rupees (392 euros) and is being a success.

Let's not forget that with these prices they do not only refer to their phones. They talk about all the products that Xiaomi sells in the Asian country, such as Smart TVs and home automation devices. Those, Xiaomi flagships (those of the Mi series) do not usually reach India, so it is possible that now they arrive and, being more expensive, involve a change in the mentality of the population with respect to the brand. But, in general, Xiaomi prices are going up.

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Xiaomi phones for the rest of the world will also be more expensive in the future

With this news we can take seriously the statements that Lei Jun, CEO of Xiaomi, gave to the TechNode media. In that interview, Lei Jun said they want to get rid of that reputation that their phones cost less than 2,000 yuan (254 euros) and that they want to invest more to make better products. Also, add that in the future Xiaomi products they will be more expensive, but not much.

Although for some it is bad news, the fact that Xiaomi wants to invest more in its smartphones is positive. Although prices increase, Xiaomi phones in the future will be more innovative and they will have more features to justify their value, such as those of Google or Apple.

We are already witnessing this with the Xiaomi Mi Mix Alpha; a completely innovative phone It offers us something never seen before, but that is why it is very expensive. Seeing the bright side of things, it is not so bad that Xiaomi increases its prices, as long as it continues to offer cheap alternatives. And t What do you think about the imminent change of Xiaomi's business model?

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