Lithium‐rich cathode materials (LRMs) have garnered significant interest owing to their high reversible discharge capacity (exceeding 250 mAh g⁻¹), which is attributed to the redox reactions of transition metal (TM) ions as well as the distinctive redox processes of oxygen anions. However, there are still many problems, such as their relatively poor rate performance and voltage fading and hysteresis, hindering their practical applications. Herein, the recent insights into the mechanisms and the latest advancements in the research of LRMs are discussed. Strategies to promote the performance of LRMs are discussed following a top‐down approach from the morphology design to electronic structure modulation. Finally, the ongoing efforts in this area are also discussed to inspire more new ideas for the future development of LRMs.