Consumers Need Time to Cultivate Belief in Xiaomi products

Jun 27, 2016

Lei Jun, founder and CEO of Xiaomi Corp, said at the ongoing 2016 Tianjin Summer Davos.

li

“When I founded Xiaomi in 2010, I knew clearly that it would take 15 years for Xiaomi to go public, because the company’s business model is too complicated and consumers need time to cultivate belief in our products,” Lei Jun

The real challenge, in my view, it is not the implementation of the business model designed for a very long time neither the building trust in Xiaomi products. I think the real challenge lies in educating customers. According to some studies, among the owners of smartphones there is a fairly large group who use them only to communicate on social networks and on the phone.
Not using applications or cloud.

Companies that offer gadgets or iot services, as Xiaomi, should invest more in educating customers if they want them to keep up with the technological development. Modern marketing parents have assumed this responsibility and we’re seeing already the results.

“That is why we are expanding our portfolio of products from smartphones to drones, air purifiers, patch panels to rice cookers. […] We need about 40 electronic products to attract consumers to both our online shopping platform and offline retailing stores” Lei said. (source: chinadaily.com.cn)

I already said – trust in iot depends on security. Grand Prize winners will be those who will manage to convince us that the use of their products is safe. Technical characteristics passed on second place.

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