After winning the market and users with its clear brand and product positioning, it’s reasonable Xiaomi carries on its ideas to other sideline products. Similar with Xiaomi smartphones, Xiaomi’s sideline smart lifestyle products also feature high quality-price ratio.
As for the close relationship between Xiaomi’s sideline products with its core business, it’s worth noticing that all these sideline products are integrated to Xiaomi’s smartphone ecosystem through Xiaomi smartphones or a variety of APPs. In other words, to enjoy more customized service, users will have to own a Xiaomi smartphone or download the respective APPs. As a result, there’s huge synergistic effect between Xiaomi core smartphones business and its sideline business.


In comparison, Smartisan didn’t have a clear brand positioning and a huge enough user base. Therefore, the attractiveness of Smartisan’s sideline products can be quite limited.
Although Smartisan has always been boasting its high-end design and exquisite craftsmanship, its smartphones are priced at the mid and low-end price point, while its best-selling smartphone model is priced at RMB 1,000 price point. However, it’s worth noticing that sales of even Smartisan’s best-selling smartphone is quite insignificant in the entire Chinese smartphone market. In other words, Smartisan is at a marginalized position in the Chinese smartphone market, in any account.
Without a clear brand positioning and a solid user base, it’s almost like daydreaming when you decide to follow suit and also develop sideline products, especially over-priced high-end products.
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