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Xiaomi's flash sale mentality is alienating consumers

Xiaomi’s Mi 3 phone.
Source: Xiaomi
Xiaomi’s Mi 3 phone.

Chinese Android manufacturer Xiaomi launched its newest product Redmi 1S, a smartphone similar to Apple's iPhone, reporting that it sold 40,000 units in 4.2 seconds.

According to website 9to5Google.com, a site that tracks news on Google and Android, the company's approach is alienating customers. Xiaomi sells a limited stock of its products to consumers in flash-sale or "deal of the day" fashion.

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Xiaomi's recent sale of 20,000 Mi 3 handsets sold out in 2.4 seconds. As impressive as the short-term statistics appears, many consumers have complained about not being able to purchase devices taking to Twitter and Facebook to voice their dissatisfaction.

In July, the company announced that it had more than doubled its year-to-year sales.

—By CNBC

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