Thanks to Huawei, Xiaomi is rushing to the high end, and the average price of domestic mobile phones

Mondo Technology Updated on 2024-01-19

According togfkThe data shows that in the third quarter of 2023, ChinaMobile phonesmarketSmartphonesThe average price has reached 3,480 yuan, showing a clear upward trend. Compare this to 2015Mobile phonesThe average price is less than 2,000 yuan, and in 2019, it was only 2,685 yuan. This illustrates since 2019,Mobile phonesThe average price is showing a fast** trend.

The reason for this is mainly domestic productionMobile phonesbrands, such as:HuaweiwithXiaomiand so on, they have pursued their goals to the high-end market. Xiaomi Digital SeriesMobile phonesThe starting price has exceeded 3999 yuan, andHuawei's Mate PThe series is even more ** repeatedly, more than 150,000 yuan. Other manufacturers such as OPPO, vivo, and Honor are also rushing to the high-end marketMobile phonesBrands continue to improve the configuration and performance of their products, and so does pricing.

Mobile phonesThe reason why manufacturers are targeting the high-end market is that only high-end models can bring them a lot of moneyProfits。In contrast, low- and mid-range models tend to be only available through marketing and salesProfitsProfitsSpace is small. It is only by increasing the pricing of the product that you can earn enoughProfitsand will part of itProfitsFor R&D and innovation to launch betterMobile phonesCompete with international brands.

Although this price increase strategy may not be friendly to consumers, as people prefer to be able to buy products that are more cost-effective. But forMobile phonesFor manufacturers, rushing to the high-end market is the only way for them to survive and develop. Only by earning highProfitsIn order to have enough funds for R&D and innovation to promote the progress of the entire industry.

1. Innovation-driven

Rushing to the high-end market can be drivenMobile phonesManufacturers do more R&D and innovation work. Only in the high-end market can the value of technology and innovation be truly reflected. By investing more money and effort,Mobile phonesVendors can introduce more advanced products to meet users' needs for performance, functionality, and experience.

2. Enhance brand value

Rushing to the high-end market can be promotedMobile phonesThe value and image of the brand. toHuaweiFor example, itsmate/pThe high-end models of the series are expensive, but they have been quite successful in the market. This is not only because of the excellent performance of the product, but also because:HuaweiThe status and image in the high-end market have been greatly improved, and it has become a popular choice in the hearts of high-end users.

3. Improve market competitiveness

Rushing to the high-end market can be improvedMobile phonesManufacturers' market competitiveness. With international brands such as:ApplesCompared to domesticMobile phonesManufacturers are relatively competitive in the low-end market. And in the high-end market, it is only by providing excellent product performance and user experience that it can compete head-on with international brands.

4. Expand profit margins

Rushing to the high-end market can beMobile phonesManufacturers bring biggerProfitsSpace. Users in the high-end market have higher requirements for products and are willing to pay higher for high-quality products. In contrast, the competition in the low-end market is fierceProfitsLess space. By increasing pricing,Mobile phonesManufacturers can achieve higher profitability through the high-end market.

Consumers for:Mobile phones** often has a love-hate mentality. On the one hand, they want to be able to buy at a cost-effective priceMobile phonesproducts, enjoy more advancedTechnologyConvenience and fun. And on the other hand, they want toMobile phones** It can be more accessible to the people, so that more people can have high-quality productsMobile phones

Although consumers don't want toMobile phonesToo high, but they also can't deny that only by improvingMobile phonesMobile phonesOnly then can manufacturers have enough funds for R&D and innovation. In this way, there will be more innovative products on the market to meet the needs of users. So, consumers understandMobile phonesThe reason for the price increase of the manufacturer, despite the purchaseMobile phonesmay be hesitant.

ForMobile phonesVendors are faced with a dilemma. On the one hand, ifMobile phonesToo high can lead to consumer complaints and dissatisfaction, affecting sales and brand image. On the other hand, ifMobile phones**Too low for the manufacturer to get enoughProfitsIt is also difficult to carry out R&D and innovation. Therefore,Mobile phonesManufacturers need toProfitsand market demand.

ChinaMobile phonesmarketSmartphonesThe upward trend of average prices is obvious, mainly due to domestic productionMobile phonesThe brand rushes to the high-end market. Mobile phonesMaker improvesMobile phones** The motivation lies in achieving moreProfitsand more R&D and innovation. Although this may be somewhat unfriendly to consumers, it also brings them a more advanced selection of products. Consumers withMobile phonesThere is a love-hate psychological contradiction between manufacturers, hoping to be able to buy cost-effectiveMobile phones, but also understand that the brand needs to be realizedProfitsand development. Mobile phonesManufacturers need to find a balance in the process of balancing ** and market demand to meet the needs of consumers while realizing their own interests and goals.

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