By Zhou Xiaoqi and Wang Lin
Source: Tech planet (ID: tech168)
Lei Jun knows destiny, Xiaomi's new decade.
In 2010, starting with a bowl of Millet Congee, Xiaomi opened a decade of ups and downs. Over the past decade, Xiaomi has grown from a small 13-person Zhongguancun company to now has eight buildings, with annual revenue of more than 200 billion, and Lei Jun in the top 500 companies
Now, standing at the intersection of the previous 10 years, Xiaomi is undoubtedly more mature, but the competition is also more severe.
According to the quarterly mobile phone tracking report released by IDC, a third-party data company, in the first quarter of 2020, Huawei shipped 28.4 million units, accounting for 42.6% of the market share, followed by vivo and oppo, accounting for 18.1% and 17.8% of the domestic market respectively.
Xiaomi didn't make it into the top three. In the first quarter of 2020, the shipment of Xiaomi mobile phones (including Hongmi mobile phones) was only 7 million, accounting for 10.6% of the domestic market share.
Xiaomi's overseas market is not so smooth. According to canalys, a market research organization, in the first quarter of 2020, the Indian market accounted for 1 / 3 of the millet shipment volume. In that quarter, the Indian market sold 10.3 million units, accounting for 30.6% of the local market share.
India is Xiaomi's second largest mobile phone market, but in June it launched a wave of resistance to Chinese-made, forcing Xiaomi to brand its retail stores
However, Xiaomi is not only a mobile phone manufacturer. It has already expanded its business to IOT, Internet services and other sectors.
Earlier this year, Lei Jun said in a full letter that
At the node of Xiaomi's decade, tech planet (wechat ID: tech618) interviewed a number of Xiaomi employees, including new comers who joined Xiaomi and old people who accompanied Xiaomi through difficult times. From the perspective of witnesses and insiders, they restored Xiaomi's ten-year offensive road.
Gu Fei's working time: 2 years, position: overseas market
In 2013, when I was a student, I bought Xiaomi mobile phone 3, which was the first millet mobile phone I had.
At that time, compared with other domestic mobile phones, Xiaomi mobile phone system did very well, and only sold 1999 yuan, the price has an absolute advantage, since then I have become a
In 2018, I graduated from college, out of the good feelings of Xiaomi, I put a resume to Xiaomi. Because of the experience of studying abroad, all the interview process is quite smooth, so I became an employee of Xiaomi overseas market, and I also changed my identity from
Become a successful person
In the summer of 2018, Xiaomi had just entered the country, and its popularity was rising and its sales were good. However, it did not last long. Later, Millet's market share in the local market gradually declined from 20% to about 10%.
There is a big difference between the overseas market and the domestic market. The country where I work is not as developed as China's e-commerce and mobile payment system, and most of the sales still rely on local operators. But at the beginning, Xiaomi also adopted the same online sales model as in China, which was not feasible in overseas markets.
And at the beginning, Xiaomi still maintained a very low price, which made the offline channel providers unprofitable and would not sell Xiaomi mobile phones.
At the end of that year, the headquarters replaced the business leader in charge of the country, transferred other people, readjusted the sales mode, attached importance to offline channels, and also took out part of the benefits to the channel providers. After this adjustment, the overall sales gradually reversed.
In the country where I work, the competitiveness of millet ecological chain products is very strong. Originally, the local market is full of various miscellaneous brand products. The price of international brands is very expensive, and ordinary consumers can't afford it. After Xiaomi ecological chain products entered the market, they immediately occupied most of the market by relying on cost performance and design, and also obtained very good local evaluation.
Of course, millet also has some problems. Last year, Xiaomi TV entered the country where I worked. At that time, because of the good publicity in the early stage, the sales volume suddenly rose. However, the control ability of Xiaomi in the supply chain was still too weak, resulting in the production capacity failing to keep up with the sales volume.
Xiaomi's overseas expansion strategy has been steady and steady, and has not carried out expansion with great fanfare. After the United States banned Huawei, Xiaomi has also been more firm in the strategy.
But in fact, Xiaomi faces the same problems as Huawei. If Xiaomi is banned in the United States, it may be worse than Huawei, because the technology can't compare with others, and Huawei has a good market share in China, and Xiaomi can't compete with Huawei.
In fact, I'm worried that in the next decade, other mobile phone manufacturers in China will be staring at Xiaomi. Now, domestic enterprises are also subject to geographical restrictions, and the competition is really fierce.
However, I still admire general Lei, who can lead Xiaomi to become one of the world's top 500 companies in ten years. Moreover, I have gained a lot of growth in Xiaomi. I hope Xiaomi can have better development in the future.
I didn't work as a deserter in the hard times. I often worked overtime until two or three o'clock in the morning and slept in the office
Wang Yang's working time: 7 years, position: mobile phone R & D
I have joined Xiaomi since 2014 and have experienced more than half of the development of Xiaomi. If we use one word to summarize the company's development in recent years, I think it is more appropriate to have ups and downs.
When I joined Xiaomi, Xiaomi was already famous, but after I went in, I found that Xiaomi was in a very difficult situation. At that time, there were few people in our R & D department, and the entire R & D system of the company was not perfect, and we felt that it was still in a relatively chaotic state.
At that time, before 2015, Xiaomi became popular by relying on marketing. Indeed, the owners were quite good at marketing, but then they met with supply chain problems, which directly led to the sudden decline of millet sales in 2016.
At that time, when we contacted the suppliers, we found that some people in the company thought Xiaomi was very good, there were many suppliers to choose from, and their attitude was really arrogant.
Later, Mr. Lei started to grasp the supply chain himself, and gradually changed some things, such as stricter acceptance standards, more fair and transparent audit, and changed his condescending attitude towards suppliers, and now he regards suppliers as partners.
At that time, we also held various mobilization meetings to encourage morale and reflect on ourselves all the time. At the same time, the testing standards of the products were stricter. Of course, we worked overtime more frequently. We often went home at 1:2 a.m. that year, and I slept in the office many times.
However, although the company was in bad condition at that time, no one in our department left. If we retreat at this time, we feel like deserters, and we all want to do a good job of mobile phones.
At that time, we were still developing a full screen mobile phone, Xiaomi mix. In order to make Xiaomi mix meet the mass production standard, we often stayed up late and worked overtime in the company. It was common to leave work at two or three o'clock in the morning.
Millet mix mobile phone, picture source network
However, I may be from a technical background. When I first developed mix, I didn't really have a great perception of this mobile phone. I didn't think that this mobile phone would be so popular and loved by so many people. After the release, I found that my colleagues began to use this mobile phone every day.
Now I think of it, I'm still very proud to be deeply involved in the research and development of this mobile phone. That is to say, from this mobile phone, I have a deeper perception of users. I realize that engineers may pay too much attention to parameters and technology, but in fact, they should pay more attention to users' behavior habits and their pursuit of a sense of technology.
Now we often deal with users. Sometimes I pretend to be a customer service provider, learn from users some problems encountered in the use process, and restore the usage scenarios, so that these problems can be avoided in the later product design, even if some usage scenarios are very small.
For example, once I visited a user, he worked in the printing room, because there were many printers and photocopiers in the printing room, and he attached some static electricity to his hand when he printed things, so that when he touched the phone, he might find that the phone might get a little stuck, but after a while, the phone recovered.
This situation is indeed very rare, but after he gave us feedback on this problem, we subsequently improved the design of Xiaomi's mobile phone protection standard.
Although Xiaomi has passed ten years and has become one of the top 500 companies in the world, I don't think Xiaomi has reached its most brilliant moment. Maybe in three or four years, when the ecological chain enterprises become more mature and stable, and the overseas market is also running, it will be the real highlight moment.
After listing, half of my old staff Kwai left and went to the byte fast.
Liu Yan working time :2 years, position: R & D
I joined the company after Xiaomi went public, so I didn't feel much about options and stocks.
In the past two years, there are two big feelings. One is that Xiaomi is really poor. For example, when our new employees are employed, they only have a coupon of 1000 yuan, and there is no internal price for buying a mobile phone. Xiaomi has ushered in the 10th anniversary. Each of us has issued a T-shirt. Last year, the first anniversary of its listing, everyone has a bottle of rice wine and a T-shirt.
Because of this, last year, I was in a departmental tide of departures. About half of the old employees left after they had cash in. Many of them went to the byte beating and Kwai Fu. After all, the money was much more. At that point, it was just half a year when the company was listed, and the stock and options could be lifted.
But Xiaomi's stock performance is really bad, so far we have bought back 40 times. It's normal for Millet's share price to fall all the time, because a large number of stocks are held by individuals rather than institutions. Individuals will always cash in. Although Xiaomi's stock price performance was not very good in the year when it was first listed, we still contracted a large stadium to watch the angel of Vimy at the annual meeting. The grand prize of that year was Xiaopeng automobile.
The other is that Xiaomi has made a lot of adjustments. Maybe Mr. Lei is also very anxious. He is afraid that he will be eliminated. He also knows that Xiaomi's moat may not be so deep that he can't make money on the merit book. Xiaomi has no such capital. He is like an ant on the hot pot, attacking everywhere (IOT, finance, small loans and so on). There is no way. Now we are also gambling on the future direction. You can see Baidu gambling AI, but this is too erratic. Who knows whether it can succeed in the end.
Last year, the commercialization side achieved a gross profit of 1 billion yuan a month. In that month, we worked overtime every day, went to work at 9 o'clock, 12 o'clock, and went to work on Saturdays. Later, we completed the KPI. After that, Mr. Lei specially came over for a meeting to encourage us. I was deeply impressed that he had already had a small stomach and looked rather haggard.
Although the money is small, but the atmosphere of millet is still very good. In contrast, Xiaomi has a lot of Microsoft employees, the management system is relatively easy, no PUA, no mandatory overtime. This is the reason why I came to Xiaomi. Although I got offers from Huawei and Ali at the same time, their treatment is much higher than that of Xiaomi.
Every year on rice noodle festival, we write business cards for rice noodles. At first, each person wrote two cards, and then each person wrote 20 cards. Last year, each of us received 1000 shares, and about three months later, we signed the agreement.
The current situation, the Indian incident, and the situation of Qualcomm, have doomed Xiaomi's future road will not be very easy. But I think the current economic situation is also good for Xiaomi, because millet is cheap. As long as you are cheap enough, someone will pay for it.
Xiaomi is rich in marketing personnel, lack of internal growth of technical personnel
Xu Meng's working time: 4 years, position: Xiaomi ecological chain
I joined the Xiaomi ecological chain department in 2014, when I was learning attitude, because I was a traditional industry, eating with friends, they always complained that I was too backward thinking, talking about what is the sharing economy, what is the millet model, what is the Internet, I was confused, so, I reduced my salary to join Xiaomi.
What gives me the deepest feeling is that Lei is really diligent. At that time, Lei always had to personally do a lot of rice label products, including jeans, bracelets and so on. He himself was an excellent product manager.
Once very late, I met Lei Jun in the elevator, I asked him, what is Xiaomi mode. Lei replied to me: are you in the ecological chain department? It's actually
The millet model that Mr. Lei said actually infiltrates into every cell of Xiaomi.
Xiaomi is not a factory as the outside world says. It has a large number of industrial designers. We push a product and have a whole set of plans. From user demand collection to project to final sales, is a system.
When Xiaomi customer service was just established, general manager Lei attached great importance to customer service, because customer service is the place closest to users, and Mr. Lei would report to customer service and user group at regular intervals. Xiaomi customer service has great authority, their treatment is very good, this has become a channel to collect user needs. We will list a top 10 user demand every quarter, and then we will study the product positioning according to the ranking. After that, the business department will step in to study whether to do it or not.
At that time, we had a pricing logic called cost pricing, which was later renamed as sincere pricing and honest evaluation. For example, the price of an air water purifier on the market is generally 3000 yuan, and I will sell it for 3000 yuan. Because my cost is only 1000 yuan, our price will be increased by about 10%.
Xiaomi ecological chain products, tuyuan Xiaomi official website
Low price does not mean that the product quality is not good, such as millet water purifier. There is a rule in this industry, which is to make money by replacing parts after sales. There may be dozens or even hundreds of parts in a water purifier. But in fact, it is clear that only 10 or 20 parts can solve the problem. If we do this, we can solve the cost. In the end, to what extent do we mention technology? We use injection molding technology. After users buy the water purifier, I only need to change to three or four filter elements.
In 2016, there were great problems in the whole millet industry. Due to the rapid expansion, the ecological chain department will also have many problems, such as low product standards and poor control of user demand. At that time, all the eco chain companies were focusing on one thing: how can I survive after I leave Xiaomi one day? That's why the brand Xiaomi Youpin appeared later, that is, I can sell some non Xiaomi brand products.
At that time, everyone was reflecting, Xiaomi has been rich in marketing personnel, marketing colleagues also have a certain sense of superiority, but Xiaomi lacks continuous innovation, at that time a lot of dug from the outside, There is no talent to grow up inside. This is the problem Xiaomi needs to overcome for a long time.
Frankly speaking, Xiaomi now wants to enter the 3C new retail field, there are still many things to break through, the first is the change of user groups. For example, more than half of the users over there are female intellectuals with strong willingness to pay, but more than half of Xiaomi are male users.
In 2018, I left Xiaomi because of my career development. Although my income was not as high as that in traditional industries until I left, I still thank Xiaomi very much. In fact, in Xiaomi, we seldom emphasize what kind of company I am. The essence of Xiaomi is the pursuit of efficiency.
Last night, I also looked at Lei's 10 th Anniversary speech.
Lin Hao's working time: 7 years, position: Information Department
I jumped to Xiaomi from the traditional industry. At that time, my friends recommended that Xiaomi had a chance to talk. When I came to chat, I found that Xiaomi was building an enterprise level information framework. I happened to be doing this business, so I joined Xiaomi.
In fact, the black light factory mentioned in Mr. Lei's speech yesterday has another important function besides the production of high-end mobile phones. It exports equipment, standards and systems to dozens of OEM factories around the world through the successful model of black light factory test, so that the OEM factory can quickly meet various requirements for the production of millet mobile phones.
For example, in our own factory, we can test out the best state of various equipment in advance, and then form a set of standardized system, so that we can quickly copy and promote it to the next generation of factories to improve production efficiency. The reason for the birth of this system is because of the important setback Xiaomi experienced in 10 years.
Now looking back, 2016 must be Xiaomi's special critical moment. At that time, Xiaomi's supply chain encountered problems, and the owners realized that only Internet gene could not do a good job in mobile phones, so they still had to dig deep into the manufacturing industry.
As Mr. Lei said in his speech, making mobile phones is like selling seafood. Once you encounter problems, you can easily die. In the electronics industry, it is conservatively estimated that the discount rate will be 30% to 50% for the original 100 yuan items one year later. If the mobile phones can not be sold, the whole millet industry will have problems.
At that time, Xiaomi mobile phones could not be sold. A large number of suppliers were still asking for debts. The factory still had a large number of raw materials in constant depreciation. The whole situation was really breathtaking. Think of LETV's mobile phone falling down, that is, half a year to a year.
Xiaomi has experienced ups and downs in its peak period
Although everyone is talking about digitalization now, it was very difficult to implement it at that time. We need to standardize all the contents of business, logistics, finance, etc., that is to say, we should make a set of standards for managing global OEM factories.
Because it was related to the life and death of the company, we all held our breath at that time and were thinking of various ways to make the company develop better and save the company.
Basically, in 2016, we all left work at 11:00 and had almost no rest on weekends, of course, bosses were later than us, often at one or two in the morning. Finally, a digital supply chain road, Xiaomi's future development is of great significance.
Now, Xiaomi is still full of various challenges. We are also trying to do something that can change the industry, or believe that Xiaomi can go out of the same way.
At the request of the interviewees, Gu Fei, Wang Yang, Liu Yan, Xu Meng and Lin Hao are pseudonyms. )