Xiaomi Wants To Diversify Its Portfolio in India; Planning A Payments Bank Next!
Along with their mobile business, Xiaomi wants to venture into other sectors as well.
India’s current leading smartphone maker Xiaomi has made a regulatory filing in India and has presented an expansion roadmap for Xiaomi in the country. The Chinese company wants to sell electric cars in the country and are even planning to enter the digital payments space with their payments bank business.
Once dubbed as the world’s most valuable startup, Xiaomi has come a long way into the country. India being their largest global market after China, the company wants to sell all sorts of vehicles for transport and conveyance in the future, which also includes transport equipment, components and spare parts.
Diversification of Business
Along with their mobile business, Xiaomi wants to venture into other sectors as well. The Chinese company wants to start with non-banking financial business, payments bank, leasing and other finance related services. It is also planning a payment gateway and a server of settlement systems operators and mobile virtual network operators.
Among the products the company is planning to sell in India, it plans to sell laptops, gaming consoles, computers, computer accessories and lifestyle products along with network equipment.
The Beijing based company also wants to set up more manufacturing units in the country and wants to potentially manufacture and sell merchandised clothes, toys, backpacks and suitcases in India.
IPO Filing – The Stock Market Entry
Xiaomi is planning an initial share sale next year, which would take the company’s valuation past $50 billion. The cash raised will help the company to strengthen their position in the Indian consumer market and will also help in expansion.
In China, Xiaomi stands out as a major conglomerate, which makes and sells a wide range of products. The company has already launched electric bikes in China (including foldable models) along with bicycles and electric scooters.
Xiaomi also sells laptops, tablets, televisions, smart lighting solutions and different healthcare products like electric toothbrushes, blood-pressure monitors among others.
The company also manufacturers large appliances like washing machines, refrigerators, air-conditioners, vacuum cleaners, air purifiers and water purifiers. Lifestyle products from Xiaomi include clothes, toys, shoes, bags and luggage, bedding, bath, kitchen, dining products and much more.
Next Target: Non-Smartphone Products
According to the filing, Xiaomi India will sell their products through online as well as offline channels in the country. The change in the regulatory filings indicate that the company can now choose to launch and sell any product in India in the future.
It is also planning to bring several non-smartphone products to the country which will be specifically customised to suit Indian needs and conditions.
The new move from Xiaomi will allow the company to enter into previously unexplored section of the Indian market with wider margins and a massive product range.
The Brand Speaks
Xiaomi has successfully built a positive brand image of its smartphone business in India. This positive image will provide Xiaomi with equal opportunities for success with its other products, beyond smartphones, in India.
Apart from smartphones, presently it has a smart band and power banks among a few other products available in the country. With the focus on launching more own brand Mi Home stores, strengthening investments, non financial banking, payments bank and a more diverse portfolio, India may see an influx of Xiaomi products very soon!