Lei Jun pushed Zhimi air conditioner, just to grab Gree’s job？
On August 10, Xiaomi Smart Hardware Ecological Chain Enterprise Zhimi Technology released a fully DC inverter air conditioner priced at 4,399 yuan, but the brand is not "Xiaomi", but "Zhimi". It is understood that Xiaomi will invest in some companies to make it a Xiaomi ecological chain enterprise. Xiaomi does not necessarily hold a controlling stake, but is just one of many investors. Therefore, in addition to cooperating with Xiaomi, ecological chain enterprises also have the need to develop their own brands.
Originally do mobile phone millet, but now to cross the line to do air conditioning, everyone thinks Lei Jun once again into the air conditioning market, is to grab Gree rice bowl, because in recent years Lei Jun and Dong Ming signed 1 billion bet. But more experts worry that air conditioning origin of Gree cross-border do mobile phone, the effect is not good, now do mobile phone origin millet, cross-border do air conditioning can play?
It should be said that since the beginning of this year, Gree, which makes air conditioners, has made mobile phones, and the market has responded indifferently. So, where does Lei Jun, who makes mobile phones, get the confidence to make air conditioners? On the one hand, Xiaomi ecological chain enterprise Zhimi Technology has cooperated with Changhong, and Changhong has occupied a place in the field of white goods after acquiring Meiling, and has a strong technical research and development team and patented technology.
On the other hand, Zhimi air conditioners are cost-effective. Take a fully DC inverter air conditioner priced at 4,399 yuan as an example. Zhimi uses the industry’s top components in both internal and external units, while Japanese air conditioners of the same quality are all priced at more than 6,000.
So, Xiaomi’s high-profile entry into the air-conditioning market this time, do you really want to compete with Gree for a job? The author thinks this possibility does not exist: first, the core technology in the domestic air-conditioning industry is in the hands of established air-conditioning manufacturers such as Gree, Midea, and Haier. In addition, in terms of the market share of China’s air-conditioning market, Gree occupies the top spot with 44%, followed by Midea and Haier. It is even more difficult for a layman to get involved in the delusion of getting a share of the pie.
Second, Xiaomi does not have its own factory for air conditioners, and choosing to find a strong Changhong foundry is the most powerful way for it to enter the air conditioner. However, air conditioners are an asset-heavy industry, and if Xiaomi does not even have production and research and development, the room for play will be very small. At the same time, the after-sales, service and installation of air conditioners are very important, and it is impossible for Xiaomi to establish and improve this system in the short term. It is difficult for it to temporarily occupy a large market share in the air conditioner market.
Obviously, Xiaomi’s entry into the air-conditioning market is not mainly aimed at Gree, the leader of the air-conditioning industry, because it is completely impossible to shake Gree’s market share according to Zhimi’s strength. Therefore, Gree insiders said: "Welcome competition, but it is not so easy to get a share. In this regard, the author believes that Xiaomi Lei Jun is making a big game through the Xiaomi ecological chain, and entering the air-conditioning industry is just a key pawn in this game.
First, switch to the smart small home appliance industry, and then pull back the purchasing power that people have lost overseas. The CEO of Zhimi, a company under Xiaomi’s ecological chain, once said: "Bring back those ordinary people who go to Japan to buy," which is the goal of Zhimi and even other companies in Xiaomi’s ecological chain.
Lei Jun has previously said that "Xiaomi is a mobile phone company, a mobile Internet company, and a new retail company". Lei Jun calls the "new retail" logo, Xiaomi Home, which has opened 149 in just the past year and a half. The retail company of Xiaomi Home mainly sells household appliances, including air purifiers, rice cookers and so on. Now adding Zhimi air conditioners is to fill the gap. This move is to meet people’s demand for smart appliances.
Furthermore, the transformation of Xiaomi’s new retail has helped its mobile phone business recover growth; Xiaomi’s direct-operated experience store has not only promoted offline sales of mobile phones, but also enhanced Xiaomi’s brand experience. Products other than mobile phones placed in Xiaomi’s home have brought more traffic to Xiaomi, higher customer purchase frequency, and finally supported the traffic of offline stores. It is not difficult to understand why Xiaomi is still making efforts in the field of smart appliances such as air conditioners, TVs, and refrigerators.
Finally, two years ago, Xiaomi announced a strategic cooperation with Midea, dedicated to jointly exploring the smart home market. However, due to Xiaomi’s extensive reach and entry into multiple fields, touching the interests of Midea that have been deeply cultivated in the smart home market for a long time, the cooperation between the two parties was suspended. Now, Changhong, which has been low-key, is also accelerating its expansion in the field of smart home and artificial intelligence, and it is a hit when it meets Xiaomi. Entering the field of smart home and artificial intelligence is Xiaomi’s goal.
Xiaomi’s layout in the smart air-conditioning market is by no means to grab Gree’s job, because Gree’s position in the air-conditioning field has been unshakable. But Xiaomi’s entry into the air-conditioning market is mainly to fill the gap in its Xiaomi ecological chain and Xiaomi Home, and increase its deep cultivation in the smart home field, so that Xiaomi can seize a place in the smart home field in the future. This is what Lei Jun, the head of Xiaomi’s family, really wants.