Summary:
- The Chinese smart speaker market sees a decline in sales volume and revenue, with Xiaomi leading the market.
- Xiaomi’s market share has increased significantly, demonstrating its strength in ecosystem integration.
- The high-end segment is thriving, with notable growth driven by innovative product launches.
Xiaomi Dominates the Smart Speaker Market in Q3 2025
The third quarter of 2025 revealed a challenging landscape for China’s smart speaker market, according to a recent report. Total sales volume reached 3.057 million units, reflecting an 11.9% decrease from the previous year. Correspondingly, the market’s revenue fell to 860 million yuan, a decline of 4.0%. However, consumers are willing to spend more, leading to an average price increase of 8.9%, bringing it to 280 yuan.
Xiaomi: A Leader in Innovation and Integration
Xiaomi has firmly established itself as the market leader, commanding a remarkable 48.8% market share, up from 33.7% in 2023. This growth of approximately six percentage points is a significant achievement in a contracting market. The brand’s success can be attributed to its effective integration of various technological ecosystems—spanning vehicles, home devices, and mobile technology.
Innovations like the Xiaomi Sound 2 MAX, which launched at a competitive price of 1,999 yuan, have resonated with consumers. The device quickly surpassed 1,000 units in sales within the first week of its release. This is part of Xiaomi’s broader strategy to drive growth in the high-end market, evidenced by a 42% increase in year-on-year sales for products priced over 1,000 yuan.
Competitive Landscape
Trailing Xiaomi is Baidu, which holds a significant 32.8% market share. Meanwhile, Tmall Elf has witnessed a drop to 16%, primarily due to slower product iterations. The combined share of these top three brands—Xiaomi, Baidu, and Tmall Elf—accounts for an impressive 97.2% of the market, highlighting the fierce competition within the industry.
In addition to advancements in high-end products, Xiaomi has focused on enhancing user experience through models equipped with screens. The Home Screen Pro8, featuring upgraded PTZ cameras, caters to specific consumer needs such as elderly care and children’s companionship, resulting in an increase in screen penetration to 17.4%.
Future Outlook
As the smart speaker market continues to evolve, brands must adapt to shifting consumer preferences and technological advancements. Xiaomi’s commitment to innovation and ecosystem connectivity positions it for continued success amidst industry challenges. The focus on premium products and a deep understanding of user needs will likely drive future growth for the company.
In summary, Xiaomi’s strategic advancements and market share gains serve as a testament to its dominance in the smart speaker industry, while the overall market grapples with declining sales and revenue.
