On December 15, Roidmi, a cleaning appliance brand nurtured within Xiaomi’s ecosystem, announced via its official website that it will cease operations in a month. Alongside this decision, the company will discontinue product maintenance, returns, and other after-sales services.
Established in 2015, Roidmi secured early backing from Shunwei Capital, a venture fund led by Xiaomi founder Lei Jun. Initially focused on in-car tools, Roidmi pivoted in 2017 to develop wireless vacuum cleaners and robotic mops. Its sleek handheld vacuum cleaner, launched on Xiaomi’s crowdfunding platform in April 2018, garnered support from 12,000 backers, achieving a funding success rate of 6,141%. The Roidmi EVA robotic mop later raised over USD 1.2 million on Indiegogo.
For comparison, during the Double 12 shopping festival in 2018, Dreame Technology, another Xiaomi ecosystem company, launched a crowdfunding campaign for a wireless vacuum cleaner on Xiaomi Youpin, achieving a completion rate of less than 4,000%. In March 2019, the first Mijia-branded handheld wireless vacuum cleaner, developed in collaboration with Roborock, managed a completion rate of 999%. At the time, Roidmi stood out as the leader in the handheld wireless vacuum cleaner segment.
According to the prospectus of Suzhou-based Cinderson Technology, Roidmi’s parent company in Wuxi reported RMB 600 million (USD 84 million) in revenue in 2022. However, unlike Dreame and Roborock, which managed to establish themselves as top-tier brands in the fiercely competitive cleaning appliance market, Roidmi struggled to gain a lasting foothold during the industry’s boom years. Over time, the brand faded into obscurity, becoming a cautionary tale.
Even in its final days, Roidmi’s branding reflected its deep ties to Xiaomi’s ecosystem. Yet, as an atypical Xiaomi ecosystem company, Roidmi lacked the supply chain strength necessary for sustained success. Its pursuit of a premium pricing strategy in a market driven by price sensitivity further hindered its ability to compete, ultimately leading to its demise.
Roidmi struggled to find its place
Roidmi’s development path diverged sharply from that of mainstream cleaning appliance brands.
Founded in 2015, the company initially focused on in-car accessories such as chargers, magnetic mounts, and cushions, with most products priced below RMB 100 (USD 14). Its pivot toward vacuum cleaners became evident only in 2018 with the launch of an in-car air purifier priced at RMB 699 (USD 97.9), signaling ambitions to elevate its product line and enhance profitability. By the end of that year, Roidmi had discontinued updates to its car product line and shifted entirely to high-end cleaning appliances, making its entry into the market through handheld wireless vacuum cleaners.
In contrast, established players like Ecovacs Robotics, Narwal, Roborock, and Dreame had more traditional or specialized origins. Ecovacs started as an original design and equipment manufacturer (ODM/OEM) for conventional vacuum cleaners, while Narwal invested three years in developing core industrial cleaning technologies before launching its first consumer product. Roborock and Dreame, also members of the Xiaomi ecosystem, initially developed cleaning appliances under Xiaomi’s Mijia brand before branching out.
Industry insiders revealed to 36Kr that Roidmi’s early vacuum cleaners were manufactured by KingClean Electric, a leading Chinese OEM known for its brushless high-speed motors. These components significantly bolstered the quality of Roidmi’s early offerings. KingClean’s chairman, Ni Zugen, an early investor in Roidmi, withdrew his support in 2021, marking a pivotal point in their partnership.
The strain in the Roidmi-KingClean relationship became apparent through Roidmi’s product trajectory. In 2018, the company showcased its handheld wireless vacuum cleaner at CES and later at IFA Berlin and the Hong Kong Electronics Fair (autumn edition), earning recognition with awards like the iF Product Design Award and the Red Dot Design Award. By 2021, however, new product announcements failed to materialize, coinciding with KingClean’s exit.
Despite early success on Xiaomi Youpin, Roidmi’s relationship with Xiaomi was complex. In July 2023, Xiaomi’s internet-of-things investment arm filed a lawsuit against Roidmi over a stock transfer dispute. Shortly afterward, Roidmi rebranded as Wuxi Ruilan Intelligent Technology, though its Roidmi brand name remained intact.
Roidmi’s challenges were partly due to its awkward market positioning. Its premium handheld vacuum cleaners, priced at RMB 2,699 (USD 377.9), and the Roidmi EVA robot mop, launched at RMB 3,999 (USD 559.9), far exceeded market averages. A 2022 industry report placed the average sales price for wireless vacuum cleaners at RMB 1,408 (USD 197.1) and floor washers at RMB 2,822 (USD 395.1). With limited brand recognition and a high-price strategy, Roidmi struggled to convert its high-end aspirations into market success.
Besieged by competition
In its announcement, Roidmi attributed its closure to shifting market conditions and adjustments to its company strategy.
The cleaning appliance industry has indeed seen significant changes in recent years. Data from GfK indicates the market grew twelvefold, from RMB 2.9 billion (USD 406 million) in 2012 to RMB 34.8 billion (USD 4.9 billion) by 2022. However, growth began to decelerate in 2022, with further declines in 2023. Sales volumes dropped 10% year-on-year, accompanied by a 4% decrease in retail unit sales.
As robotic mops gained traction through advances in mapping technology and other features, handheld wireless vacuum cleaners—the cornerstone of Roidmi’s product lineup—lost consumer favor. A 2022 industry report highlighted that robotic mops commanded 38.8% of market revenue, significantly outpacing the 26% share held by wireless vacuum cleaners. Notably, wireless vacuum cleaner sales revenue contracted by 7%, marking it as the only category in the cleaning appliance sector to experience negative growth.
With domestic demand reaching a plateau, many cleaning appliance brands pivoted to overseas markets. A report by Visione Asset noted that global vacuum cleaner sales have stabilized at approximately 85 million units annually, with robotic mops fueling most of the growth in international markets.
Roidmi, which introduced its first robotic mop only in 2021, was late to capitalize on this growth. By that time, Ecovacs’ Deebot 7 series had already been in the market for over 13 years, while competitors like Roborock, Dreame, and Narwal had launched multiple product generations.
Market concentration added to Roidmi’s challenges. GfK data from 2023 revealed that the top five brands in the online robotic mop market accounted for 93% of the cumulative retail market share, leaving limited room for smaller players to compete.
Intensified competition also accelerated the pace of innovation in the cleaning appliance sector. Since 2021, Ecovacs has consistently released at least one major product annually. Roborock and Dreame have moved even faster, with Roborock launching over two products per year and Dreame introducing four new models in 2023 alone. In contrast, Roidmi’s infrequent product releases left it trailing far behind its rivals.
In addition to missing key market opportunities, Roidmi found itself increasingly marginalized within the Xiaomi ecosystem.
Xiaomi’s third-quarter 2021 earnings report revealed its investments in over 300 IoT ecosystem enterprises, 210 of which were established before 2019. However, as IoT consumer product growth slowed to 8.57% in 2020, Xiaomi began streamlining its ecosystem, reducing SKU portfolios, and redirecting investments toward sectors like automotive and semiconductors.
Amid these shifts, Roidmi sought to rebrand and align with a new ecosystem partner. According to Tianyancha, Roidmi founder Wang Zhiqiang also served as the executive director and general manager of Wuxi Qingyi Smart Technology, a participant in Huawei HiLink’s smart appliance ecosystem. Despite these efforts, the partnership yielded little traction—the official WeChat account of Qingyi’s cleaning division has been dormant since June 2022.
Roidmi ultimately struggled due to internal limitations and poor strategic decisions at crucial moments. While the company achieved notable successes, such as spearheading Xiaomi ecosystem projects and earning international design accolades, it lacked the supply chain resilience and strategic focus required to thrive in a fiercely competitive market.
The rise and fall of Roidmi encapsulates the rapid evolution of the IoT and smart appliance industries. Once a standout in Xiaomi’s ecosystem during its prime, Roidmi’s downfall stemmed from its failure to adapt to changing market conditions and build strong ecosystem partnerships.
By the time Roidmi exited, the cleaning appliance industry had been upended by fierce price wars and accelerated innovation cycles. Its departure not only marks the end of a notable chapter but also serves as a cautionary tale for emerging brands navigating an increasingly volatile and competitive landscape.
KrASIA Connection features translated and adapted content that was originally published by 36Kr. This article was written by Ye Danxuan for 36Kr.