Huawei and Honor Release New Goals for Dual Brand Strategy

The head of the Huawei Consumer Business Group Richard Yu has unveiled company's new strategic goals on his official Sina Weibo account. The plan says that Huawei will become number one smartphone vendor in the world, while Honor would become second largest vendor in China and fourth in the world market.

The third and final goal is that the company will support Honor in the development of cutting-edge products and continue its investments in technology innovation, channel distribution and retail strategies while maintaining a firm dual-brand strategy. Yu believes that “Huawei Consumer BG has arrived at a brand new stage,“ and that “Huawei and Honor are likely to become the world’s largest smartphone manufacturer this year.“

New goals are set after the last seven goals, set by Yu in 2012., were achieved. Huawei’s consumer business leads the company’s revenue with an increase of 48.4%, outperforming  carrier network business. Last year, consumer business achieved sales of RMB 348.9 billion, a year-on-year increase of 45.1%, making it the largest contributor to the company's revenue.

Honor has cemented its leading position with strong growth, despite a global industry downturn. According to IDC, the global smartphone market recorded a 3.1% year-over-year decline in shipments in the first three quarters of 2018, but Honor bucked that trend and achieved a 27.1% increase. The brand also achieved a year-on-year increase of over 170% in international sales in 2018. Honor ranked No.2 in global online sales volume with a 29.4% increase YoY in 2018.