Consumers are not kings and queens; they are our friends: Anuj Sharma, Xiaomi India

Diwali is the biggest shopping season for Indian consumers. To build on the momentum, brands outdo each other in launching lucrative offers and discounts much ahead of Diwali. The idea is to get the consumers to buy in early before they can get a complete picture of the market and its festive offerings. 

 Xiaomi has taken a unique approach this season. Instead of launching its own Diwali campaign, it has come up with a quirky campaign that rather asks consumers to - “Wait! Don’t Buy Tech Yet”. 

The campaign, which comprises a series of 3 digital films, urges consumers to wait for the company’s annual festive offer “Diwali with Mi -Tech Ka Shubh Muhurat '' that will be launched on September 20. 

Exchange4media spoke to Xiaomi India CMO to understand his strategy behind this campaign and his plans to take the company ahead.

You have returned to Xiaomi India as CMO at a time when both Indian and global economies are undergoing huge churns. While inflation and joblessness are affecting the consumers' sentiments, markets are fully open after two subdued years. What are your biggest challenges at this point in time?

When I left Xiaomi in 2020, the pandemic lockdown was just announced. Over the past two years, the team dynamics and the way overall communication happens have changed completely. The first challenge that I had was to keep the team intact that worked together in the physical space for two years and try to move in a particular direction. Then taking my internal challenge to the external world, we noticed a lot of different voices of consumers. People are confused about what to buy and what not.  The telecom space has also changed as the complexity of 4G and 5G came in. Lots of noise is coming from users and no one is holding their hands and guiding them. Right from the start, Xiaomi educates consumers without hard selling and manipulation. 

How has Xiaomi India’s marketing strategy evolved over the last two years?

Till 2019, marketing strategy was comparatively simpler than today. It's not just the complexity of 100 TV channels anymore. There are many OTT channels, some people are watching content alone and some are with family. Lots of short video content has also come up. Markets are open and returned to normalcy. 

At the same time, the media landscape changed forever after the IPL digital media rights went higher than TV.  Reaching the right consumers at the right time is the biggest challenge now. IPL is the first hint of that changing marketing dynamics. 

Onam, Dussehra and Diwali are some of the biggest shopping seasons for Indian consumers but you are recommending them to wait and not buy tech products yet. Why?

It looks like a weird strategy. Diwali is the start of new things, it's a family festival and also a community festival. A lot of students buy our devices, they continue buying our devices when they are in their first job. Some are married, some not. All of them have a common trait-they want complete control over their matters. At the same time, they fear they are making wrong choices in their lives, not just while buying a device, but in other important aspects of life as well. We want to hold their hands during this journey. 

In Xiaomi, we are not supposed to treat our consumers as kings and queens. We believe our fans and consumers are our friends. Many times, you appease kings and queens by telling lies. Friends don’t do that. They give the right advice. 

The entire campaign is born out of an interesting incident that happened with my colleague Sumit. He wanted to drive down to Goa for a holiday in August. He went to a petrol pump and asked for a full tank. The petrol pump guy told Sumit that petrol prices would go down tomorrow morning so if he can wait, it would help him save money. Sumit agreed as he had to leave the next morning. The next day, he saved around Rs 100 for a full tank. 

When he returned from Goa, he was talking a lot about the petrol pump guy who helped him save 100 bucks. We realized that if someone gives you good advice, however small it is, it sticks with you forever. 

In this campaign, we are just telling consumers to wait for 10 days to gain something more. We are taking that inspiration to amplify our products. 

What are your marketing plans for this festive season?

Our approach goes against everything the rest of the industry is saying in the run-up to the Diwali sales. We always believed in complete transparency with our fans and consumers. Just like any good friend, we want our friends not to rush into making the wrong decisions unless they see the entire landscape of offers. 

We have planned a lot of offers for all our products such as smartphones, smart TVs, speakers, audio peripherals, tablets, and smart home products.

How much Adex are you planning to spend this festive season compared to the last two years? 

Almost 200% compared to 2020. Most of it is going towards digital-around 70-80 percent. 

Now that market is almost back to pre-COVID levels, how are you expecting the festive season sale turn out to be this year?

Nobody knows for sure but consumer sentiments are positive this time. 5G services are being rolled out in October. Recently, we expanded our portfolio by including a 5G device under Rs 15,000. From the family perspective, we hope for a rise in demand for larger TVs up to 50 inches. The intent seems to be there. We hope it converts into sales. 

There are reports that India seeks to oust Chinese firms from the sub-$150 phone market. Although the government has rejected these reports. Are you working on a new strategy? 

We have seen the media reports and the government denials as well. We are in touch with the government. Right now, there is no change in our strategy.