The Price Of The Smartphone Xiaomi No Longer Cheap?

Xiaomi is known for presenting smartphone with qualified specification, but the price is affordable. Ranging from entry level device to his flagship was sold at a price that is still reachable.

But not long ago CEO Xiaomi mention, the price could be the hosts Xiaomi smartphone will cost more than it does today.

The Price Of The Smartphone Xiaomi

 

"Actually, we want to get rid of the reputation of our smartphone device is priced below 2,000 yuan (around Rp 4.2 millions). We would like to invest more and make better products, "says CEO Xiaomi Lei Jun, as quoted from Liputan6.com Techno Android Authority, Friday (8/3/2019).

He added, this is likely the last time Xiaomi selling smartphone with high specifications with prices below 3,000 Yuan (about Usd 6.3 millions).

"I told internal (Xiaomi), this might be the last time our smartphone prices below 3,000 Yuan, " said Lei Jun, referring to Mi 9.

"In the future, our smartphones might be more expensive, not many (Ascension), but may be a bit more expensive, " said he.

Commitment To Take A Bit Of Profit

 

Previously, Xiaomi never express their commitment will continue to take profit and no more than 5 percent.

However, the journalist Android Authority, Tristan Rayner mentions, it is likely the company is not yet generating profit margins of five percent.

 "For another perspective, imagine you announce to your friends will limit the income for the year of USD 1 million and give them anything that is produced outside of it. Your friends may feel good but they do not realise you are not approaching that number,  "said Tristan at that time.

However, if indeed Xiaomi cling to a five percent profit margin, nothing can stop it from raising the costs associated with the creation of its smartphones.

This means that by making more expensive smartphones and components more expensive, technically sticking to the promised earnings.

For example, the display screen is sharper, better quality material, waterproof, RAM is bigger and more storage space.

However, comments CEO who mentioned they want to make a better device, naturally consumers will receive a variety of benefits.

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