Samsung Electronics has retained its leading position in Southeast Asia’s major smartphone markets, but faces fiercer competition from Chinese rivals with cheaper pricing, according to an industry report Thursday.
In the April-June period, Samsung held an 18 % market share in five major countries — Indonesia, the Philippines, Thailand, Vietnam and Malaysia — according to the report by market tracker Canalys. The figure was down by 2 percentage points compared to a year ago, closely followed by Xiaomi’s 17 % and Oppo’s 17 %, both from China.
During the same period, Samsung shipped 4.4 million smartphones, a modest 5 % on-year growth, compared to Xiaomi’s 37 % and Oppo’s 24 %.
Across individual countries, Samsung, the world’s largest smartphone maker by shipment, failed to rank No. 1 in any of the markets. Xiaomi was the top seller in Indonesia and Malaysia, while Oppo topped sales in Thailand and Vietnam.
Canalys said that Chinese smartphone makers are leading the way with aggressive pricing and sales incentives, taking advantage of regional price sensitivity in Southeast Asia.
So far, Samsung has maintained its top position largely due to its dominance in mid- to low-priced phones sold in emerging markets rather than in the saturated premium segment.
“Since Southeast Asian smartphone users are seeking affordable phones unless Samsung Electronics steps up its pricing strategy to compete with Chinese companies, it will eventually lose its top position in the Southeast Asian market. Competing on price is essential,” an industry source said on the condition of anonymity.
Source: The Nation
