Xiaomi's Wang Teng: Product Definition Faces Challenges at the End of the Year, Downgrade at the Same Price or Upgrade and Increase Price?

Xiaomi's Wang Teng: Product Definition Faces Challenges at the End of the Year, Downgrade at the Same Price or Upgrade and Increase Price?Wang Teng, Deputy General Manager of Xiaomi's China Region Marketing Department and General Manager of Redmi brand, expressed on Weibo today that with the continuous rise of upstream costs, there is a huge challenge in product definition at the end of this year. Wang Teng said: "Downgrade and keep the same price, or upgrade and slightly increase the price, which one do you prefer? I know everyone wants more for the same price, but it's really difficult this year

Xiaomi's Wang Teng: Product Definition Faces Challenges at the End of the Year, Downgrade at the Same Price or Upgrade and Increase Price?

Wang Teng, Deputy General Manager of Xiaomi's China Region Marketing Department and General Manager of Redmi brand, expressed on Weibo today that with the continuous rise of upstream costs, there is a huge challenge in product definition at the end of this year. Wang Teng said: "Downgrade and keep the same price, or upgrade and slightly increase the price, which one do you prefer? I know everyone wants more for the same price, but it's really difficult this year."

Wang Teng's remarks sparked heated discussions among netizens. Many netizens said that in the current economic environment, they prefer downgrade at the same price, hoping that mobile phone manufacturers can control costs and maintain price stability. However, some netizens believe that if mobile phone manufacturers can provide more powerful performance and better configuration, they are willing to accept a moderate price increase.

IT Home noticed that before posting this Weibo, Wang Teng also forwarded a Weibo from blogger @DigitalChatStation, who mentioned that the "mid-cup" phone equipped with Snapdragon 8Gen4 processor has a downgrade in imaging: the main camera has stagnated or even regressed, the telephoto camera has been cut from a periscope to a straight lens, and the focal length of the straight lens has been shortened.

This news has also caused concern among netizens, who are worried that mobile phone manufacturers will cut back on configurations to control costs, ultimately affecting user experience.

Wang Teng's Weibo shows that mobile phone manufacturers are facing tremendous pressure in the current market environment. On the one hand, the continuous rise of upstream costs puts cost pressure on mobile phone manufacturers; on the other hand, consumers want more powerful performance and better configurations, while unwilling to accept excessive prices.

In this context, mobile phone manufacturers need to make tough choices: downgrade and keep the same price, or upgrade and slightly increase the price? The final choice will determine the future direction of mobile phone manufacturers.

From the current situation, mobile phone manufacturers may adopt two strategies:

1. Downgrade at the Same Price

To maintain market competitiveness, mobile phone manufacturers may choose to downgrade at the same price to attract users with limited budgets. However, this strategy may lead to a decline in user experience, affecting the brand's long-term development.

2. Upgrade and Increase Price

Some mobile phone manufacturers may choose to upgrade and increase prices to enhance the premium pricing capability of their products, but this strategy may lead to user loss, especially users with limited budgets.

Ultimately, which strategy is more effective needs to be judged based on market conditions and consumer demand.

No matter which strategy mobile phone manufacturers ultimately choose, they need to carefully consider user needs to stand out in the fierce market competition.