Lenovo's Liu Jun: Outstanding performance, accounting for 40% of China's PC market share

    "Lenovo's share of the Chinese PC market is expected to reach a record high of 40% in fiscal 2019, which is unprecedented," said Liu Jun, executive vice president of Lenovo Group and president of China, who looked in a good mood during an interview during CES 2020.

　　Two and a half years have passed since he returned to Lenovo. The Lenovo China region that Liu Jun is in charge of has performed well, not only has the PC market share hit a new high, but the non-PC business has also grown steadily. "Non-PC business revenue accounts for more than 10%, and service business revenue exceeds US$700 million. Considering that Lenovo China's PC business revenue exceeds US$10 billion, this growth is quite good."

　　In Liu Jun's view, the performance growth is mainly the result of two major transformations: customer-centric transformation and intelligent IoT transformation. Customer-centric transformation means that Lenovo's consumer business has completely opened up online and offline channels, achieved the same price online and offline, and adjusted product prices dynamically, allowing consumers to experience the products up close. From the consumer's perspective, the intuitive feeling is that Lenovo's PC prices in China have become more affordable in the past year.

　　Another example of transformation that is close to consumers that he mentioned is that 50% of Lenovo's PC business in China currently comes from the young people and student market. Therefore, Lenovo is working hard to develop customized products for young people based on their preferences, adjust marketing strategies, and integrate technology and trends into products. The previous in-depth cooperation with the Palace Museum to create cultural and creative co-branded PC products (Fu Lai Yun Zhuan Yoga C940 and Long Ding Qian Kun AIO 520X Max) is a representative product in this regard.

　　Liu Jun said that in the future, the company will continue to cooperate to develop IPs that represent the Chinese spirit, such as the Forbidden City and the women's volleyball team. "Chinese cultural elements are a major trend in products. They are well received not only in the Chinese market, but also in overseas markets."

     When talking about Lenovo China's business in 2020, Liu Jun mentioned two key words: "acceleration and ecology". Acceleration means continuing to promote the above two transformation goals, and ecology means breaking the internal and external boundaries of the enterprise and achieving openness, integration and cooperation.

　　According to him, Lenovo China's current revenue contribution is 60% from 2B business, while the consumer market accounts for 40%. In Lenovo's 2B business, smart services will be the focus of future growth, including smart city solutions, smart energy, and smart agriculture.

　　Liu Jun said that Lenovo positioned itself as an operator and service provider of new smart cities, with the target market being the intelligent transformation market. It would cooperate with the country's top design institutes to design and consult the entire city from the top level and provide customers with a package of services. He highlighted Lenovo's smart city construction projects with Shangrao City, Jiangxi Province, and Wenchang City, Hainan Province.

　　Liu Jun concluded that Lenovo has several competitive advantages in the intelligent transformation market. The first is the accumulation of core technologies. Lenovo itself is an intelligent enterprise, and Lenovo's experience in intelligent transformation can help more customers complete intelligent transformation. The second is the service delivery advantage. Lenovo has the strongest delivery capabilities in the field of IT services in China. Lenovo has more than 10,000 engineers in China, and can provide the most practical delivery in cities as small as counties.