In August 2024, Xiaomi made headlines by overtaking Apple in global smartphone sales, climbing to second place. This impressive achievement was based on “sell-through” figures, which refer to actual sales to consumers, rather than shipments to retailers, offering a more accurate reflection of market demand.
Xiaomi’s Steady Growth
According to a report by market research firm Counterpoint, this marks the first time since 2021 that Xiaomi has reclaimed second place. Over the past three years, the company has shown consistent growth, a trend largely attributed to Apple’s occasional sales fluctuations due to its narrower product range. The iPhone 16 series, released in 2024, struggled to meet expectations, with reports indicating that sales may fall short compared to previous models. Xiaomi’s rapid ascent has also contributed to a broader recovery in the global smartphone market.
Streamlined Product Strategy
Xiaomi’s revised sales approach played a key role in this success. Research Director Tarun Pathak noted that the company adopted a more streamlined product strategy this year, focusing on a single flagship model in each price segment. This marked a departure from its previous strategy of launching multiple devices in the same segment. By concentrating its efforts on fewer models, Xiaomi revitalized its sales and marketing efforts, expanding into new markets while strengthening its position in existing ones.
Strong Performance in Entry and Mid-Range Segments
Xiaomi’s dominance was particularly evident in the entry and mid-range segments, while the company also made a strong push into the premium market with its foldable and “ultra” models. The company saw significant success in the sub-$200 segment, where economic recovery in key markets fueled demand for affordable devices. This growth was supported by promotional efforts in regions like Latin America, helping to offset seasonal declines in other markets.
With this impressive performance, Xiaomi has solidified its position in the global smartphone market, gaining a competitive edge over its rivals.