Xiaomi is entering into Korean market.
According to industry, Xiaomi is opening its first store at Hansol Plaza that is located in Jungja-dong in Bundang. With its range of business activity expanding not just to Smartphones but also wearable equipment and electronic products, it is as if it is directly charging into Korean market for its business.
Large advertisement that indicates Xiaomi entering into Korean market was hung on outside wall of Hansol Plaza. Xiaomi is planning to use first floor for public relation and sales and fifth floor for after service (AS) center. It is not yet known about its actual opening date.
Xiaomi is well-known in Korea for its medium to low-priced Smartphones, Mi-Band, Action Cam, and others. Customers either directly purchased its products on Chinese websites or through Korean online shopping malls or certain electronic product stores.
Its products have competitive edge in markets due to their prices and qualities, and Xiaomi is expanding its range of customers. There are opportunities for Korean customers to personally look and choose its products as its first Korean store is built in Korea. As AS, which has been difficult for Korean customers to get in contact with, is made possible in Korea, it seems that its popularity in Korean market will increase.
Netizens are showing a lot of interests as they hear that first Xiaomi store is opening in Korea. There were a lot of comments posted on community sites such as Facebook, blogs, and others, and this predicts its popular sensation among customers.
Biggest focus is whether or not Xiaomi will sell its Smartphones at its store. Because there is only an advertisement about its opening hung on side of Hansol Plaza, no one knows yet about which products it is going to sell.
If it wants to sell its Smartphones in Korea, there are many works for Xiaomi needs to do such as cooperating with mobile communication companies. Due to this reason, it is likely that even though it sells Smartphones, it will not bring much aftereffects if it does not partner up with communication companies midst of attentions that it receives from customers.
With its medium to low-priced Smartphones, Xiaomi became the top Smartphone seller in Chinese market and top 5 in global market. Its ‘Redmi Note 2’, which costs about $85 (100,000 KRW) and recently been shown to customers, received a lot of attention as 800,000 phones were sold out in just half a day in Chinese market. It is putting pressure on other manufacturers with its high performance level compared to price.
However some predicts that it will not affect Korean Smartphone market too much even if it decides to sell its Smartphones in Korean market. Huawei, which entered Korean market last year, has yet to bring any effect or change dynamic of overall Smartphone market even though it operates 40 AS centers in Korea.
However one needs to focus on the fact that Xiaomi is a company that does not sell only Smartphones. It manufacturers external batteries, internet cameras, scales, selfie sticks, action cams, small home appliances, and accessories along with TVs, water purifiers, and humidifiers. Xiaomi will soon start selling its TVs and water purifiers in Korean market.
Electronic industry is seeing that although Xiaomi is starting its sales with G market, Auction, and others, it will soon go after offline markets as well depending on progress of its sales. As opening of its store in Korea corresponds to industry’s prediction, interests on Xiaomi’s operation hereafter are slowly increasing.
Staff Reporter An, Hochun | hcan@etnews.com