2017 was revolutionary for Xiaomi. It became the only company in the world that came back from a total failure. While the overall smartphones market has decreased by 4.9%, Xiaomi had a growth rate of 32.6%. It helped the company to get 12.4% of market share and became the fourth smartphone brand in China. But what’s more interesting, a few days back Xiaomi CEO, Lei Jun announced at an event there is a new goal set in front of the manufacturer. They are going to become the number one smartphone maker in the domestic market in 10 quarters. Thus by the end of 2020, Xiaomi will outrun all of its competitors. This doesn’t sound unreal because in 2015 the Chinese tech giant did the same. But this is going to be done gradually. And the first milestone is set for the first quarter of 2018. Moreover, the first goal is to grab the second position from OPPO.
According to DigiTimes, Xiaomi will surpass OPPO in the Q1, 2018. Therefore it will leave forward only Huawei. This is quite possible because Xiaomi has sold 55.1 million units in the domestic market in 2017, while OPPO shipped 80.5 million units. But if looking the Q4, 2017 sales numbers, Xiaomi sold 15.9 million phones with a market share of 13.9%, while OPPO shipped 20 million units getting the 17.5% share.
According to industry resources, the demand for phone parts and components by top Chinese manufacturers has rebounded recently. Plus, some supply chain makers have landed short lead-time orders from these vendors. Say, the same OPPO has already placed short lead-time orders for several million units of lens modules for entry-level and mid-range smartphones. Thus this manufacturer is not going to yield its positions easily.
Anyway, Huawei is expected to serve as the number one smartphone brand in China in the Q1, 2018. But Xiaomi is expanding its markets by vivifying the sales in many big markets including Russia, Eastern Europe, and others. So it’s expected OPPO will land in the third position and will be followed by VIVO and Lenovo.