The Chinese smartphone maker
Xiaomi Corp. once compared with Apple Inc. has resumed growth and its global revenue is expected to surpass $15 billion this year.
However, India still is an expensive gamble which is paying off. After spending $500 million in the subcontinent since its debut two years ago, the company pledged another investment of that size over the next three to five years. And has also opened a second factory in the country to keep up with the increasing demand.
Xiaomi has had a challenging past where it was carving out its niche audience and looking at but its business is once again expanding at a healthy clip, Lei Jun, Co-founder said, "I expects to double revenue in India this year to $2 billion. Beyond hardware, the company chalked up $1 billion of revenue in 2016 via the 10 million-plus active users of its suite of mobile apps and services".
So far, business has been good for Xiaomi in India. It is the second biggest smartphone manufacturer in terms of sales in the country and generated over $1 billion in revenue last year. It has bold plans for 2017, as the company wants to double its revenue to $2 billion.
Bottom LineXiaomi plan to increase the sales without increasing price, and bring production closer to projected demand and move away from its reliance on flash sales. It also plans on doubling its offline retail presence, so that it can get its devices in front of more consumers.
BW Reporters
Soumya is a young writer and journalist, with bachelors in Multimedia and Mass Communication. She is an alumini of the Asian College of Journalism, and finds politics and sustainability intriguing beats to work with.
