The top five brands account for 92% of the market while the remaining 35 brands make up the remaining 8%. In addition, the focus is only on the top 5 models, which account for 45% of the market.
Commenting on the third quarter's findings, Tina Lu, Counterpoint's senior analyst, said that Argentina is an extremely closed market where mobile devices allow only specific authorizations to be imported, and in all mobile devices sold between January and September Less than 3% of the imported equipment costs less than 110% of the tax, with most of the equipment being assembled at Tierra del Fuego, which is still lower than the import duty, although the cost of assembly is high.A consequence of high production costs is that machines of the same type Argentinean consumers pay twice as much for Chile and the United States.
Commenting on the regulatory reforms, Tina Lu added that the current government has the intention of opening up the market and will also reduce the tax revenue on mobile devices. However, it is not too far off when the launch has not been explicitly answered yet. , Argentina will complete about 11.5 million units in sales by 2017, which is still 3 million below current holdings and more than 2 million mobile devices have illegally entered each year since 2014. Recently, the government announced that it will implement one Mechanism to prevent the illegal import of mobile devices that are not assembled in the country into Argentina, and although the process is difficult to implement, the government has sent a signal that it is trying to tighten controls in this regard.
Parv Sharma, a research assistant, said Samsung has been the absolute leader in the performance of the brand in terms of brand performance and has always had a strong competitive advantage in its brand building and marketing execution strategy. "Samsung is also the only brand with a presence in Argentina , Of which four stores are located near Buenos Aires.Most recently, the company also opened more sales outlets in the kiosk, specializing in the sale of accessories.Thus, Samsung's layout in various regions is still relatively Perfect.
In the absence of more than five years later, Apple recently re-entered the Argentine market, it currently accounts for less than 1%, this is because iphone in Argentina is more than twice the price of the United States, this body also Normally, an iPhone 7 32GB phone, for example, is currently selling for about $ 1,400 in Argentina, with more than half of the costs coming from taxes and distribution, and Apple's only Argentine distributor, Claro.
Figure 1: 2017 Q3 Argentina smartphone shipments rankings and market share
As shown in Figure 1, in Argentina, Samsung's Q3 sales in 2017 increased by more than 26%, but its market share dropped more than 10% compared with Q3 in 2016. LG has been Samsung's biggest competitor and its share Only a slight increase of 1%, but its sales volume increased by more than 71% every year. Its K-series smartphones are very competitive, which helps the brand to grow in the market.However, LG is facing fierce competition from Samsung and Motorola Competition.Motorola, its smartphone sales grew 254% compared with the same period, the market share also reached 13.9% .The launch of its C series allows the brand to compete with Samsung's J series.Huawei, compared with last year's share of slightly Growth. Another brand Alcatel's share and sales have more than doubled, performed well.
Figure 2: 2017 Q3 Top-selling smartphone rankings in Argentina
As shown in Figure 2, among the best-selling smartphones in Argentina, Samsung occupies 5 of the top 10 models and the Samsung Galaxy J2 Prime is the best-selling model in all of these models, the Samsung Galaxy J7 is All of the top 10 are the most expensive, with an average selling price of $ 190. And LG has three of the top 10 models, all from the K series, and Motorola is also among the top 10 models.