Honor (荣耀) says it is evaluating a domestic sub‑brand to boost online‑offline channel cooperation

Key announcement

It has been reported that Honor (荣耀) CEO Li Jian (李健) told media after a product launch that the company is assessing the feasibility of establishing a sub‑brand in the domestic Chinese market to better synchronise its online and offline channels. The comment, shared via Chinese tech outlet IT之家 (ithome) citing blogger @宁思潇潇, frames the proposal as a channel‑and‑portfolio optimisation rather than an imminent product split. Honor currently ranks among the top three smartphone vendors in China by market share, the company says.

Background

Reportedly, this is not the first time Honor has floated the sub‑brand idea. In May 2022 then‑CEO Zhao Ming (赵明) responded to rumours about a proposed sub‑brand called “Xingyao” (星耀), saying Honor’s existing series already met consumer needs and that multi‑brand management would require more time to mature. Honor’s brand strategy has been closely watched since its 2020 separation from Huawei, a split driven by a mix of corporate restructuring and external trade pressures that helped the company regain access to certain global suppliers.

Why it matters

Why would a leading Chinese phone maker consider a sub‑brand now? A distinct label can help sharpen price segmentation, tailor product mixes to different retail channels and protect a premium main brand while allowing experimental lines to be sold more aggressively offline or online. But will a sub‑brand dilute Honor’s hard‑won positioning or create clearer channel playbooks? That question matters not just commercially but geopolitically: U.S. trade restrictions on Chinese telecom firms and shifting supply‑chain controls have pushed Chinese vendors to be more nimble with branding and distribution. For now, it has been reported that Honor is only evaluating the idea — no launch decision has been announced.