Executive Summary
Smartphone use is increasing, and their functions are improving, providing more opportunities to users. At the same time, video blogging and active social media profile maintenance are essential trends that influence the use of smartphones. Such activities require creating photo and video content, the quality of which significantly affects their popularity. Tripods and selfie sticks are valuable tools for creating videos and pictures.
The Mi Selfie Stick Tripod, developed by Xiaomi, is a two-in-one product – a tripod and a selfie stick – making it convenient. The current marketing plan considers Xiaomi’s activities and opportunities in selling the Mi Selfie Stick Tripod. As the program demonstrates, the item may be in high demand among a particular group of consumers, but it faces significant competition from large companies. The plan proposes measures to promote the product on social media, establishing consumer relationships, increasing awareness, and enhancing sales.
Situation Analysis
Internal Factors
Organizational Objectives
Xiaomi has a clear mission, vision, and goals that direct its activities. The organization’s mission is to make quality technological products available to everyone (Xiaomi, 2023a). The company’s vision is to win the loyalty of its customers, which is reflected in the statement, “Make friends with users and be the coolest company in the users’ hearts” (Xiaomi, 2023a, para. 3). Based on mission and vision, Xiaomi has the following objectives:
- striving for innovation and continuous improvement in product development;
- ensuring products’ operational efficiency;
- providing a positive user experience by creating high-quality products at affordable prices.
Marketing Objectives
Taking into account Xiaomi’s organizational goals, the current marketing plan for Mi Selfie Stick Tripod sets the following objectives:
- Increase product awareness among the target audience by applying marketing strategies within three months.
- Increase product sales through advertising and customer relations within six months.
- Improve consumer satisfaction by setting affordable prices and providing the necessary support to use the product within one year.
SWOT Analysis
Xiaomi operates under the influence of various factors, which must be considered when planning activities. The SWOT analysis represents internal factors reflected in strengths (S) and weaknesses (W) and external factors – opportunities (O) and threats (T) (Houben et al., 1999). It is essential in the company’s analytics and strategy building (McDonald, 1992). Table 1 shows the results of the SWOT analysis for Xiaomi.
Table 1 – Xiaomi SWOT Analysis
Environmental Force Analysis/External Factors
Customer Analysis
Buying a product like the Selfie Stick Tripod will interest several customer groups. In particular, the audience includes wholesalers, retailers, distributors, and end users (Advance Market Analytics, 2022). The end users are consumers who like to shoot photos and videos (Xiaomi, 2023b). The product is of particular interest to bloggers who create such content daily.
Consumers perceive tripods as a tool to help make videos and photos; therefore, their stability, weight, functionality, and flexibility are the most important criteria that affect choice (Advance Market Analytics, 2022). The decision to purchase a tripod is also influenced by factors such as the growth in smartphone use, increased shooting requirements amid the popularity of video blogging, and the availability of these products (Advance Market Analytics, 2022). The company can reach its consumers on its website, social networks, specialized stores, and online stores.
Competitor Analysis
Xiaomi operates in a highly competitive environment, including the tripod market. The company’s Direct competitors are manufacturers of tripods for phones, and indirect competitors are alternative stands for phones, for example, built into cases. According to Research Reports World (2022), the largest global companies on the market are Samsung, Canon Inc., and Nikon. These organizations have different advertising budgets, which, according to the latest available data, are as follows:
- Samsung – $2.3 billion in 2021 (“Samsung Electronics,” 2022).
- Canon Inc. – $6.6 million in 2022 (McCoy, 2022).
- Nikon – 13,932 million Yen in the 2022-2023 financial year (Nikon Corporation, 2023).
Product Strategy
Xiaomi has created a Selfie Stick Tripod for users who want to create high-quality photos and videos. The product’s strength is that it combines several features – it can be used as a selfie stick and a tripod. It has a remote control function and a non-slip grip, easily expanding and adapting depending on the user’s needs (Xiaomi, 2023b). A potential weakness is the difficulty of connecting the remote control through Bluetooth.
The product has distinctive characteristics in capacity and capability. It can work with Bluetooth version 3.0 and smartphones using Android 4.3 or iOS 5.0 or higher (Xiaomi, 2023b). The tripod is also capable of rotating the holder 360 degrees. In branding, the company introduces the product through its name, Mi Selfie Stick Tripod, and positions it as a device for creative users to capture moments in their lives. Such a position can attract not only those who professionally shoot videos and photos but also individuals for whom photography is a hobby.
The product’s design corresponds to the brand and emphasizes a minimalistic style and functionality, which should affect its packaging. The aluminum alloy tripod is light, 155 grams, and durable; therefore, users can easily carry it when needed (Xiaomi, 2023b). From 19 centimeters, it can extend to 51 centimeters for ease of use (Xiaomi, 2023b). Its peculiarity is in several functions, remote control, and accessibility – such a product costs about $25-30 on Amazon. Currently, the company supports users by providing instructions and answers to questions on the site.
Place/Distribution Strategy
Xiaomi can use multiple distribution channels to sell its products. Direct distribution is possible through the company’s website or retail stores. The company’s online store is one of the opportunities for Xiaomi to control prices and monitor traffic to identify users’ interests for personalization and efficient interactions (Constantinides, 2006). Indirect distribution is possible through other wholesalers and retailers in multiple countries, such as online or regular stores selling phones and accessories.
Considering the end users of Selfie Stick Tripod, the current plan proposes using the Social Media Marketing (SMM) approach, one of their digital marketing approaches. The number of social media users is high and continues to grow, providing a significant audience (Alqasa & Afaneh, 2022). Moreover, research shows that social media contributes to product promotion and sales growth (Ampountolas et al., 2019). SMM involves the management of social media profiles and creating content, which contributes to the dissemination of product information and communication with consumers, which is consistent with the marketing plan’s goals.
Promotion Strategy
Social media promotion tools include profile creation, management, and advertising. Creating profiles across multiple social media requires planning, producing content, and regularly updating it (Aboulhosn, 2019). Social media is also a convenient platform for communicating with users, answering their questions, and understanding product satisfaction. Advertising in social media involves posts that appear in user recommendations and cooperation with popular influencers. Such measures will help increase consumer awareness, promote tripod sales, and improve service satisfaction.
Pricing Strategy
The price of a product depends on the market conditions in which the company operates. Setting a suitable price should attract buyers, support the company’s profits, and protect its position in the market. Xiaomi operates in a competitive environment, and some other manufacturers offer similar products.
At the same time, Xiaomi already occupies an influential place in the technology industry, and new companies need long-term work to reach this level. A cost/plus pricing strategy is helpful in the presence of potential product substitutes and is necessary to protect market share and support profit levels (Roach & Milhollin, 2021). For this reason, the current marketing plan suggests using cost/plus pricing for the Selfie Stick Tripod.
Implementation Plan of the Marketing Plan
Table 2 – Implementation Plan
Note. The table includes the key steps to achieving the marketing plan’s objectives and the methods that need to be applied for each stage.
Monitor, Evaluate, and Control
Monitoring the execution and impact of the plan is an integral part of its implementation. The current marketing plan offers two assessments – process assessment and impact assessment. Process evaluation is necessary to monitor the execution of all plan steps and, if necessary, adjust actions. It will be performed every two weeks between February and June.
The impact assessment is aimed at understanding the results that the implementation of the marketing plan has achieved. It can be held at intervals once a month from March to August, during which August will be a time for critical assessment after the completion of the plan implementation. The created marketing plan should affect key examination measures of sales, product awareness, and consumer satisfaction. Managers can also use analytics tools available on social media to understand engagement and reach levels. The assessment will help the company know the plan’s effectiveness and adjust further actions.
References
Aboulhosn, S. (2019). How to craft an effective social media content strategy. Sprout Social.
Advance Market Analytics. (2022). Phone tripod comprehensive study by type (traditional, tabletop, flexible), distribution channel (specialty stores, online retailers, specialty stores, other), size (upto10 inches, 11-20 inches, 21-30 inches, above 30 inches), connectivity (wireless, wired) players and region – Global market outlook to 2026.
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Ampountolas, A., Shaw, G., & James, S. (2019). The role of social media as a distribution channel for promoting pricing strategies. Journal of Hospitality and Tourism Insights, 2(1), pp. 75-91.
Constantinides, E. (2006). The marketing mix revisited: Towards the 21st century marketing. Journal of marketing management, 22(3-4), 407-438.
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Morris, C. (2022). What is a content management system (CMS)? Search Engine Journal.
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Roach, A., & Milhollin, R. (2021). Selecting an appropriate pricing strategy. The University of Missouri.
Sun, L., & Fah, C. T. (2020). Xiaomi-transforming the competitive smartphone market to become a major player. Eurasian Journal of Social Sciences, 8(3), 96-110.
Xiaomi. (2023a). About us.
Xiaomi. (2023b). Mi Selfie Stick Tripod (with Bluetooth remote).