Marketing Mix of Huawei


Huawei was founded in 1987. It is a China based leading global information and communication technology and solutions provider. Apart from that it is a leading player in the smartphone industry which has maintained its position among the top three smartphone brands consistently. Huawei’s growth is a result of its focus on technological innovation and product quality as well as its pricing strategy. The company is also a leader in 5G innovation. Huawei is owned by its employees. It has implemented an employee shareholding scheme through the Union of Huawei Investment and Holding Co. Ltd which involves 96,768 employee shareholders. No external organization or government agency owns shares in Huawei. This business model offers some important  advantages and also lots of decision making freedom. The company places heavy focus on research and innovation and owns more than 87,000 patents.

Learn more about Huawei company through this marketing mix: Product, Place, Price and Promotion.

Product: –

Huawei is a leading technological company and a rival of Apple, Samsung and other leading smartphone makers. Its business is diversified and divided into various segments that cater to the needs of the individual and enterprises as well as government agencies. The entire business of Huawei is divided into three primary segments that include: carrier business, consumer business and enterprise business.

Consumer business is the largest business segment of Huawei accounting for the largest part of its revenue. This segment  makes and sells smartphones, tablets, wearable devices, converged home devices, as well as the applications on these devices for consumers and businesses.

The enterprise  business segment of Huawei builds a digital infrastructure platform by using new ICT technologies including cloud computing, software-defined networking, big data and Internet of Things to provide products and services that help industries (like government, public utilities, finance, energy, transport, and manufacturing) digitize their processes.

The carrier business segment provides a range of products, services and business solutions including wireless network, fixed network, cloud core network, carrier software, IT infrastructure, network energy, professional services, and network rollout services, for global telecom carriers. This is the second largest business segment based upon revenue.

Place: –

Huawei is based in Shenzhen China. However, it is a global company. Its network and business operations are spread over more than 170 countries. The brand has also struck long term partnerships with more than 13000 suppliers. While Huawei is a  Chinese company and among the leading technology companies of China, it has managed its global presence well through its large network of suppliers and distributors. The company has also deployed its WTTx wireless broadband solution across more than 180 networks in more than 120 countries which connects more than 40 million users. Huawei is also advancing its 5G research faster and is working with more than a thousand partners from around the globe to build an efficient ecosystem for its 4.5G network. Partnership with other organizations and important players in the technology industry has also enabled Huawei to extend its global presence.

Price: –

In terms of pricing, Huawei has adopted a competitive pricing strategy which has enabled it to reach millions of users and cater to a large base of middle class customers. It is among the leading smartphone brands of the world. However, Huawei has brought good quality products at affordable prices. It does not mean, the brand only targets the lower end market. It target both the higher and the lower ends. While its products are very good in terms of quality and performance, they have been priced competitively so as to drive sales. It has also brought several smartphones for the higher end market. However, the purpose is to be competitive and stay ahead of the rivals. Apart from smartphones, in other categories and business segments too, the company has priced its products competitively.

Promotion: –

Huawei uses both digital and traditional channels for marketing. Globally, it sells its smartphones through ecommerce channels which are also an important promotional channel for the brand. Apart from that  social media and other forms of digital promotions are also an integral part of its marketing strategy. The company is also known for hiring Movie and sports stars for endorsements and promotions of its products. In 2016, Lionel Messi became the global brand Ambassador for Huawei. In various parts of the world, the company has hired more stars to help it promote its products and improve brand awareness. Indian Badminton Star Saina Nehwal as well as Super Woman Gal Gadot are also brand ambassadors for Huawei.  Around the world, the company has also partnered with several small and big organizations as a part of its marketing strategy. It helps the brand grow its brand awareness in several regional markets. In several countries, it also sponsors, Football and other sports clubs.