Tuesday, December 01, 2015

Why Huawei has been successful?

Huawei launched its first smart phone four years ago and now has take 16% global smartphone market share in Q2 2015. I would tend to argue that three strategies contributing to its fast growth.

- Successful digital marketing campaign. Its CEO, Yu Qiangdong, the most notable key opinion leader for Huawei's smartphone, initiated and fully leveraged Weibo (Chinese Facebook), Wechat and QQ Space to promote their brand and products.  It copied and super-passed Xiaomi's marketing efforts and gained Huawei tons of loyal consumers.

- Premium tier product focus.  China market has been trading up. Huawei follows the trend and keeps invested and innovated on the premium tier products, such as Mate 8 which will be launched in Spring,2016. This leveraged its strong R&D and differentiated its branding with Xiaomi which represents the mid/low tier.

- Unique competitive advantages on patent, and supplier power in the telecom ecosystem. Huawei has the strongest R&D capability among Chinese players, and it has built strong relationship with Chinese telecoms companies due to its long-term strategic cooperation as telecom infrastructure supplier.

Therefore, I would argue that Huawei would be the most competitive player in China mobile industry in the coming future.

Reference:
http://www.idigitaltimes.com/huawei-mate-8-release-date-details-everything-know-about-chinese-flagship-its-ces-493980

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