Is Samsung heading for an uphill task by aiming to capture 60% smartphone revenue share in 2013

Telecom Lead India: Samsung wants to capture 60 percent revenue share of smartphone market in India in 2013. Is the Korean device major aiming for too high in India?

Though it’s not completely clear about future launches of Samsung, Apple, Research In Motion (RIM), Nokia, LG, HTC, etc. it will be a big task to capture 60 percent revenue share in India since Apple, RIM and Nokia will be aggressive in the domestic mobile handset market.

Nokia will play around with its so-far unsuccessful Lumia range. RIM is betting big on BlackBerry 10. Moreover, Samsung will face the aftermath of the ongoing patent battle (with Apple) in 2013. Apple iPhone 5 will be in demand in the coming year as well.

Moreover, ZTE and Huawei, with their 4G/LTE range will try to conquer Indian mobile market. ZTE is already trying to become the third largest mobile vendor in the world.

Besides, Samsung will have challenges from homegrown mobile vendors such as Micromax, Spice and Videocon.

If Reliance Industries going to buy 4G handsets from Samsung and the Mukesh Ambani’s 4G plans take off in early 2013, it will positively impact the Korean devices major’s smartphone targets.

According to Yahoo, Apple devices such as iPhone 5, iPad 3, iPad mini, iPhone 4 and iPod Touch have dominated as the top 10 searched gadgets on Yahoo! in 2012. Samsung Galaxy Tab, Samsung Galaxy S III and Samsung Galaxy Note are the devices from Samsung, the leading smartphone major, among the top searched gadgets on Yahoo! in 2012.

Kindle Fire and Nook are the remaining devices in the Top10 list of most searched gadgets in Yahoo!. BlackBerry 10 and Nokia Lumia did not find place in the list. These trends may continue next year.

Ericsson’s Mobility Report says approximately 40 percent of all mobile phones sold worldwide in the third quarter of 2012 were smartphones, compared to around 30 percent for the full year in 2011.

Samsung, which is the market leader in smartphone segment, now has close to 48 per cent market share by value.

Samsung is planning to open 20 brand shops by next year. It currently has three such stores.

According to CMR’s India Mobile Handsets Market Review, during 1H 2012 (January-June 2012), total India shipments of smartphones were 5.50 million units.

 

 

 

Top Smartphone Players in H1 2012
(in terms of percent of unit shipments)

Player Rank Share ( percent of unit shipments of smartphones)
Samsung #1 41.6 percent
Nokia #2 19.2 percent
RIM #3 12.1 percent

Source: CMR’s India Mobile Handsets Market Review, 2Q 2012, September 2012 release

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