Samsung Electronics seems to have seen a decline in market share in Asia last year due to the onslaught from Apple and Chinese manufacturers. While Apple is targeting the Indian market to increase iPhone sales, Chinese corporations such as Xiaomi, Oppo, and Vivo are enticing Southeast Asian and Middle Eastern consumers with budget-friendly mid-range smartphones. Samsung Electronics is striving to restore its market position by launching the mid-range Galaxy A series smartphones.
According to market research firm IDC, Samsung Electronics recorded a market share of 13.2%, a decrease of 3.8 percentage points (P) year-on-year in the Indian smartphone market last year. The shipments dropped by more than 19% compared to the previous year, causing it to fall from first place in 2023 to second place last year. Vivo, which was in second place in 2023, ranked first for the first time with a market share of 16.6%, up 1.4% P from the previous year. Sixth-place Apple increased its shipments in India by 34.6% last year.
Apple is making headway in India by opening two Apple Stores for the first time last year and expanding its manufacturing facilities. Vivo has been analyzed to have increased its market share through discount promotions around the end of the year and early this year, leading with mid-range smartphones such as the "T3 Lite 5G" priced in the 200,000 won range and the "Y28s" priced in the 400,000 won range.
Samsung Electronics experienced a decrease in market share in the Middle Eastern market, where it remains in the lead. According to market research firm Canalys, Samsung Electronics maintained its first place in the Middle East with a market share of 30%, down 4% P from the previous year. In contrast, Xiaomi, which was in third place in this market in 2023, rose to a tie for second place with a market share of 17%, up 3% P from the previous year. It is known that Xiaomi focused on selling the "Poco F6" series of smartphones priced in the 500,000 won range in the United Arab Emirates (UAE) region last year.
Samsung Electronics recorded a market share of 17%, a decrease of 4% P compared to the previous year, in the Southeast Asian market, which includes Indonesia, the Philippines, Thailand, and Vietnam, and has fallen to second place. During the same period, Oppo increased its market share by 1% P, rising to first place for the first time in this market. Oppo raised its market share with low-cost smartphones such as the A18 and A3x, priced in the 100,000 won range.
Samsung Electronics is making efforts to regain its market position by increasing the release of the Galaxy A series, which has recorded the highest sales. Samsung Electronics is expected to launch the Galaxy A56 and A36 models as early as next month. These two products are expected to be equipped with Qualcomm Snapdragon chipsets, allowing them to perform a variety of tasks such as gaming.
Park Kang-ho, a researcher at DAISHIN SECURITIES, noted, "As smartphone performance becomes standardized, price competitiveness is emerging as an important factor. Samsung Electronics, which must maintain its premium brand image, is inevitably in a position to lose market share."