Samsung may not be able to complete 350 million mobile phone targets | China's market share is less than 1%

On June 21, South Korean media quoted sources as saying that Samsung Electronics may not be able to achieve its 350 million smartphone sales target this year.

It is reported that, initially, Samsung's smart phone sales target for 2018 was 320 million units, but due to the strong booking momentum of the new-generation flagship smart phone Galaxy S9 in the first quarter of this year, Samsung will increase its smartphone sales target to 350 million units this year. but according to At present, people familiar with the matter said that sales of the Galaxy S9 were lower than expected, coupled with Samsung's sluggish business in the Chinese market, the sales target of 350 million units is now difficult to achieve.

In fact, the sales target of 350 million units is also higher than Samsung’s actual mobile phone sales in the past few years. Research firm Strategy Analytics data shows that in 2015 Samsung’s smartphone sales were 319.7 million units, and 2016 sales were 309.4 million units. Sales in 2017 For the 319.8 million units, sales in the first quarter of this year were about 78 million.

Noh Geun-chang, an analyst at South Korea’s investment company HMC Investment & Securities, expects that Samsung’s smart phone sales in the second quarter of this year will be only about 73 million due to poor performance of the Galaxy S9 and S9 Plus.

For this reason, Samsung Electronics' mobile phone division’s profits in the second quarter of this year may also disappoint investors. Both investment companies Shinhan Investment and Korea Investment & Securities expect Samsung’s smartphone division’s operating profit to reach 2.3 trillion won in the second quarter, a year-on-year decline. 43.3%.

In an open news, when the smart phone just emerged, Samsung had once occupied the top position in China's mobile phone market with its industry-leading technology and product strategy. In 2013, it captured nearly 20% of the market share. But in recent years, The global smartphone market is saturating, and the Chinese mobile phone manufacturers continue to introduce cost-effective products, causing Samsung and Apple to suffer from sluggish market demand. Samsung’s market share has dropped to less than 1% last year. The market share in China has also begun to decline. According to a report released by the market research firm Canalys, Apple currently ranks fifth in the Chinese market with a market share of approximately 8%.

According to sources, due to the competition between Chinese manufacturers and Apple's companies, Samsung's mobile phone division has asked the sales team to make every effort to promote the growth of mobile phone sales. In order to revive the Chinese market business, Samsung had previously exchanged blood for the high-level office of China, and conducted The streamlining of operations, including the announcement of the cancellation of the seven major branches in China, has turned into 26 offices, and the standing, junior, and deputy-level leaders have become heads of offices.

Gao Dongzheng, president of Samsung’s mobile communications division, once stated that China has always been one of Samsung’s most important strategic markets. As long as Samsung sticks to the launch of excellent products and services, regaining the trust of Chinese consumers will sooner or later come.

2016 GoodChinaBrand | ICP: 12011751 | China Exports