COVID-19 outbreak: Realme explains why smartphones are critical now more than ever
This was also the year when Realme expanded into other categories, with much better, more diversified solutions, ranging from genuinely wireless earbuds to clever TVs. “With the growing need for a connected lifestyle and rising demand from consumers, we believe that the AIoT segment holds great potential to grow in 2021,” Madhav says, adding that Realme will launch even much better, more premium devices in India in the new year.
Excerpts.
No a single saw the pandemic coming, how did the smartphone /IoT sector adapt to it –how did your brand adapt to it particularly?
Well, I think in becoming optimistic. Every disruption gives you an chance to go back to the drawing board and develop a stronger blueprint for good results. While the initial months of the pandemic had been really difficult, we utilised this chance to double down on analysis and innovation, dig deep into the customer psyche and realize their expectations and strategy genuinely diversified enterprise portfolios across smartphones and AIoT.
We understood the varied requires of the young, millennial demographic and introduced our “1 core smartphone + 4 smart hubs + N smart gadgets and accessories” item method. We worked tirelessly to create a pipeline of trendsetting solutions with outstanding overall performance and design and style, a hybrid channel method and advertising campaigns with youthful power to resonate with the masses. Just to give you an instance, we understood the rising demand for clever audio solutions from WFH shoppers and launched more than 5 audio solutions soon after the lockdown to bring comfort to a substantial quantity of customers.
Can you speak about the all round method, how you went about repositioning–if any–your solutions in the wake of the pandemic to remain relevant and appeal to purchasers?
Realme as a brand has constantly studied the demands of its shoppers and adapted accordingly. The pandemic brought about some important alterations in customer buying behaviour, which in turn known as for some adjustments to our item method and connected plans. Due to a number of elements, shoppers are now inclined more towards price range and mid-variety smartphones. All our offerings had been received effectively by our shoppers and the response has been constructive. We also saw improved demand for a connected life-style, and thus introduced numerous AIoT solutions across wearables and hearables.
Which class of solutions saw the most significant traction in the wake of the pandemic?
We witnessed maximum traction for the wearables and hearables category. For instance, the TWS market place has virtually doubled and smartwatch market place virtually tripled in Q3 compared to Q2 2020 due to the comfort they supply. Realme Smart Television also saw a higher demand. We sold 1,90,000 units of our clever TVs throughout the festive period alone.
Which class of solutions saw the least footfall?
Compared to every day will have to-haves like clever audio categories, it is a reality that clever household gadgets are nevertheless not extensively identified by the masses. Hence footfall is significantly less. But that is exactly where the chance also lies. We think clever household gadgets are solutions that can truly advantage consumers’ life, enabling them with a clever, connected life empowered by technologies.
What had been some of the most significant challenges for the sector in 2020?
From suspension of sales and manufacturing throughout March and April to disruption in the provide chain, enhance in value of elements, GST hike, suspension in offline and retailing expansion and unavailability of on-ground expertise events, there had been really a handful of challenges that the complete sector, like Realme had to deal with.
However, the pandemic produced every person more conscious of the value of clever gadgets, be it smartphones or clever audio, which did assistance folks to connect with the planet throughout the lockdown and match into a new life-style.
Can you elaborate on the manufacturing and sales elements, how all this was impacted by the pandemic?
Due to the lockdown in March and April and the suspension of sales and manufacturing, we lost a single and a half month’s volume. Local lockdowns also restricted the movement of goods and the provide chain was disrupted.
Manpower disruption was also observed amid the lockdown. With the migrant workers, truckers and helpers going back to their hometown, it took really some time to revamp the complete production cycle with essential security measures in location.
It was a little pause for every person to assessment and update their strategy. Now almost everything has revamped or we can say, we have match into the new normal.
Are items finding much better now–what lies ahead?
Our sales have revamped to how they had been pre-lockdown. As is evidenced by Realme becoming the quickest brand to attain 50 million customers globally. In the festive sales, we garnered more than 6.3 million smartphone and 2 million AIoT customers. Despite the initial challenges, 2020 has turned out to be a thriving year for Realme.
Next year, our ambitions for good results are set even greater. Realme aims to be (a single of) the leading 3 smartphone brands and No.1 on the internet smartphone brand by clocking 25-30 million in sales in CY2021.
We estimate 25-30 million in sales is the minimum quantity that can satisfy the market place demand for Realme with good word of mouth and the improvement of brand salience. However, the stock problem will continue for the entire sector, amongst which the processor is the most essential due to the influence of a pandemic, and so on. We will attempt our greatest to provide at least 25-30 million devices to the market place having said that this has to be evaluated just about every quarter basis in the actual case.
Also Read: How Riot Games is gunning for its second massive esport with Valorant
We will also be focusing more on AIoT enterprise to create a holistic ecosystem. We aim to launch one hundred+ new AIoT and life-style solutions in 2021.