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Gionee Launched 6 New Small-Bezel Smartphones and Extended Partnership with JD to Offline

by Yiwen Wu | Nov 27, 2017

Part of its efforts for brand lifting, Gionee yesterday unveiled 6 new smartphone models in China: S11s, S11, M7 Plus, F6, F205, and Steel 3. All of them come with small bezel design. Taking into account of M7 and Steel 2 Plus the two models launched in September, Gionee now has 8 small-bezel smartphones in its product portfolio with retail price ranging from RMB999 (USD150) to RMB4399 (USD665). Small bezel display has already become the new differentiator for Gionee.

In addition to the new product launch, Gionee and (a leading e-commerce platform in China) announced a new partnership deal. These two companies will extend their cooperation from online channels to offline channels in tier 1 and tier 2 cities in China. They will also jointly explore overseas markets including Indonesia and Thailand.

We are impressed by Gionee’s fast-move towards small-bezel display and consider it as a smart move. Displays always lead hardware innovation for smartphones, and we believe small-bezel display will lead the wave before the bendable display and foldable display start to take off from 2019 / 2020 onwards. On the other hand, we caution the market is going to get crowded very quickly as all the vendors including Huawei, OPPO, vivo, and Xiaomi are embracing the trend. How to differentiate and stand out from the growing small-bezel wave has become the new challenge for Gionee and all other Android players.

Gionee has been strong in lower tier cities in China but suffered for long with weaker brand perception in the top tier cities. The partnership with JD will help Gionee to balance its channel mix, which is critical for the vendor to maintain the current momentum. We view Gionee’s new product launch and new channel development will help to lift up the vendor’s brand perception among affluent users in top tier cities, which in turn will improve the vendor’s growth and profitability in the longer run.

Our latest report Q3 ’17 : Gionee : Brand Lifting Drive Revenue Growth was published. WSS clients could access the full report via this link.


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