How Xiaomi became China’s Apple overnight

Their most famous technique is their flash sales, where a limited number of devices are sold at an announced time, and potential customers have to line up (online) for the right to try to purchase one of the devices. Flash sales  They sold 40,000 of their cheap RedMi 1S phones in four seconds.  generate the “sold out in minutes” figures so often associated with the company. In a recent move to sell phones in India, they sold 40,000 of their cheap RedMi 1S phones in four seconds. Here again, as with many of their later moves, the company understood that this was where they needed to be early on. Lei Jun had a great appreciation for the odd dynamics of ecommerce from his days at Joyo, where the peak number of transactions a site can be asked to perform is a significant multiple of the median load. When testing an early version of their ecommerce platform, the company opted to sell cans of Coke to the employees. The original plan was to sell the Coke for 1 yuan (about 15 cents), but Lei decided on a more radical strategy—sell a Coke for 1 mao (1.5 cents). Demand for 1 mao Cokes subjected the system to enormous load even with very few users, exactly the capabilities they’d need to build up to handle flash sales.


Origen: Clay Shirky explains how Xiaomi became China’s Apple overnight – Quartz


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