"Marching into the field of high-end mobile phones?" Fang Zhe's answer surprised Lei, but it was reasonable.
The high profit margin of high-end mobile phones has been an open secret of the mobile phone industry. Lei Xiaomi, who has been fighting in the mobile phone industry for more than two years, has coveted high-end mobile phones for a long time.
Nowadays, the net profit of a Xiaomi mobile phone is less than 5%, that is, for every Xiaomi mobile phone worth 1999 yuan, Xiaomi can only earn less than 100 yuan. Such a profit margin is much lower than traditional industries such as retail, clothing and catering, and is even more frightened of the Internet industry known for its high profit margin.
Therefore, although Xiaomi uses the Internet model to make mobile phones, Xiaomi is a real mobile phone manufacturer at this stage. Unlike Huizhong bat, an Internet company is widely sought after by the market and investors. In the global mobile phone industry, the only company favored and sought after by the market and investors is apple!
The profit margin of Apple's main product, iPhone, is as high as more than 50%. According to the selling price of the latest iPhone on the market of about 6000 yuan, apple can earn more than 3000 yuan for each iPhone sold, which is equal to the profit of Xiaomi from selling more than 30 phones!
What makes global investors happy is that Apple sold the sales of low-end mobile phones with the pricing of high-end mobile phones. Last year alone, apple shipped more than 100 million mobile phones worldwide, with a net profit of nearly $30 billion!
According to the rough statistics of insiders, apple accounts for more than 80% of the net profit of the global mobile phone industry, while the remaining less than 20% is divided by a large number of mobile phone manufacturers around the world, such as Samsung, Nokia, HTC, Huawei, Xiaomi, Meizu and Lenovo. It can be seen how much money Apple's mobile phone business makes, and how much money high-end mobile phones make!
In his previous life, Lei and Xiaomi tried to attack the high-end mobile phone field several times, from the early Xiaomi note to the later Xiaomi mix, and even launched the customized version of Xiaomi mix3 Forbidden City, but without exception, they all ended in failure or tepid.
Lei and Xiaomi's ambition for high-end mobile phones has never converged, but the reality is like a sheep intestine path full of thorns. Not only is the road not wide, but also full of scars.
From previous life to this life, from an ordinary Xiaomi fan to one of the founders of today's Xiaomi, from a bystander to a participant, Fang zhe summarized several main reasons for Xiaomi's failure in the field of high-end mobile phones with today's vision and pattern.
The first point is Xiaomi's gene and brand image. Xiaomi started with cost performance. Its initial intention is to provide consumers with the most cost-effective mobile phones at the most affordable price. Therefore, Xiaomi's profit margin has always been very low, which has not only become Xiaomi's core competitiveness, but also one of Xiaomi's image burdens in entering the field of high-end mobile phones.
Because consumers in the field of high-end mobile phones first value not the cost performance of mobile phones, but the brand image and use experience of mobile phones. Nowadays, Xiaomi mobile phones are equal to losers, and iPhone mobile phones are equal to the common values of height. Most potential consumers of high-end mobile phones avoid Xiaomi mobile phones.
The second point is that several so-called high-end mobile phones launched by Xiaomi in previous generations did not play its high-end value. First, in terms of brand image, Xiaomi's high-end mobile phones not only did not add points, but also may reduce points. Secondly, several high-end mobile phones launched by Xiaomi did not brighten the eyes of high-end consumers or favorite high-end functions.
In other words, the impression of several high-end mobile phones launched by Xiaomi in previous generations is that nothing is high except the high price. In contrast, brands such as apple, Huawei mate20 and even oppo are better than Xiaomi in this regard.
Apple has been trying to ensure that each new iPhone can have attractive new features, from Siri, fingerprint identification to faceid full screen, in order to maintain sufficient attraction to consumers. Whenever Apple's new iPhone innovation is not enough, it is also the beginning of the decline in iPhone sales and Apple's share price.
Compared with the above two main reasons, others, including the fierce competition in the mobile phone industry and the limited group of high-end mobile phone users, are not the main reasons why Xiaomi is not warm in the field of high-end mobile phones.
Therefore, when Fang zhe decided to persuade president Lei to promote Xiaomi's entry into the high-end field as soon as possible, he mainly started from these two aspects.
The answer of Lei and Lin Xiaobin once again confirmed their character: "will it be too fast? Now the prototype of Hongmi 1 has just come out, and it will take at least three months to go on sale!"
Fang zhe shook his head and said, "no, even if we are preparing to plan high-end mobile phone brands from now on, it will be at least the second half of next year when the mobile phone is made. Whether it is integrating fingerprint recognition function, redesigning the body, or adding 4G network and other functions, the R & D time and cost will not be simpler than the first generation Xiaomi mobile phone!"
"Planning a high-end mobile phone brand? 4G?" Lin Xiaobin asked in surprise. Everything Fang zhe mentioned has not been affected yet. No wonder he said that it would have to be in the second half of next year as soon as possible.
"I can understand the planning of high-end mobile phone brands, but is it necessary to join the 4G network? According to the current situation in our country, the three major operators will have to get the 4G license as soon as the second half of next year, and the popularization will have to be after 2014 at least."
At this time, Lei Zong's thought obviously stays in the previous era of making mobile phones step by step, just like other mobile phone manufacturers. In that era, he fought for brand influence and advertising and mobile phone prices. Even though Xiaomi has sprung up with its core competitiveness of cost performance in the past two years, it is still price in essence.
As everyone knows, in another two or three years, the domestic mobile phone market will gradually become saturated, and the lethality of shopping methods such as low price and cost performance will become less and less. At that time, the major mobile phone manufacturers that survived can only strive to learn the idea of making high-end mobile phones from apple, and attract consumers by constantly pushing through the old and bringing forth the new, and engaging in various novel functions and gimmicks.
Apart from other things, major mobile phone manufacturers boasted that they would launch the first 5g mobile phone in China and even the world in 2016, but they didn't see the shadow of 5g mobile phones on the market until 2018 before Fang Zhe's rebirth.
Fang zhe explained:
"My boss Lei, what we plan to do is high-end mobile phones. Even if the three major operators do not open 4G networks, we have to make 4G functions first to seize the opportunity. According to the average user using a mobile phone for one and a half years, he must have the opportunity to use 4G networks.
Besides, many foreign developed countries are ready to open 4G networks this year and next year. If we wait for the three major operators to popularize 4G in China and then make 4G mobile phones, the cauliflower will be cold.
Fingerprint identification function, the first batch of 4G mobile phones released in the world, coupled with the voice assistant "Xiaoai classmate" and night photography technology recently developed by Huichuang, how much success rate do you think we have when so many black technologies are integrated into huami mobile phones? "
"Wait, huami? Good guy, you've even figured out your name!" Lei always said with some tears and laughter.
Fang zhe nodded: "huami also has a word of rice, which can be associated with the parent brand Xiaomi, and can also be well distinguished from the low-end brand Hongmi and the middle-end brand Xiaomi. Hongzhonghua corresponds to the three brand lines of Xiaomi, low, medium and high. Hongmi is simple, Xiaomi washes all its lead, and huami honors China!"
Listening to Fang zhe almost making up a doggerel introduction, Lei and Lin Xiaobin both stared and grew up. After a long time, general Lei said, "why don't you be a marketing president again?"