Samsung’s market share in China tanked below 1% once again
It is no secret that Samsung is in a dire state in the Chinese smartphone market. In fact, the company has been struggling to retain its market share in most markets around the world, but the situation in China is particularly worse as the company’s market share dropped to negligible levels there. Samsung executives acknowledged this poor performance and vowed to fight back the declining fortunes in the world’s largest smartphone market.
Sadly, none of the efforts by Samsung to regain relevance in China seems to be yielding the desired results yet. According to a report from Strategy Analytics, the company’s market share in China tanked below 1% in Q2 2018. Samsung reportedly shipped a mere 800,000 units during the April-June quarter, resulting in a 0.8% market share and 12th rank in the Chinese smartphone market.
Down from 1.3% in Q1 2018
This is not the first time Samsung’s market share in China has fallen to such abysmal levels. Towards the second half of 2017, the company’s position in China had weakened dramatically, and its market share reportedly fell below 1% in Q4 2017. However, the company recovered slightly and managed to grab 1.3% market share in the first quarter of this year, primarily due to the initial sales of the Galaxy S9. These market share numbers look devastating when compared to the above 20% market share the company held a few years back.
As per the report, Huawei grabbed 27% market share and emerged as the largest vendor in China. Oppo, Vivo, and Xiaomi occupied the next three ranks, respectively. Carving out a niche market for itself in the premium segment, even Apple managed to grab an impressive 5.7% market share.
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Samsung have two problems in china 1 is the price samsung mid rang phone have the same price with Chinese high end phone but with a less battery and less powered cpu 2 all samsung fone have same design example the A9 in chine have big bezels for 1999 YUAN when for 1099 you have better body to screen ratio phone better or same cpu and better battery from Chinese brand something entry level phone are a shame really and over priced so why will they buy samsung when local brand are offering better (kind of) for better price BY… Read more »
Makes sense they are struggling when the Chinese market demands high end spec sheets at lower price point.
Having a flagship with single camera and 4gb ram for £800 is a no go in the market. Even in the western countries.
Their mid range phones just don’t compete in performance or price.
They’re reporting year on year profits, so who cares if they are not selling massively in China, they’re probably spending twice what they’re making in China for China marketing and exclusive devices. They’re strategy is just stupid for China. they cannot dominate the premium market there so why try?! Less than 1%, you’d like to think they would take the hint.
A large chunk of Samsung’s profits is from their Semiconductor and Display businesses. The smartphone division is not doing that well, primarily because they are so weak in the largest smartphone market. China does matter to them if they want to sell their flagships in high volume.
Isn’t that the whole point of investing in other things?! isn’t that business… They don’t need China to sell high volumes of their flagship device, what they need to do is cut down on these ridiculous spending habits on China and give the rest of the world a fairer deal… iPhones are not selling cheap they’re selling their brand. Samsung are already established as a brand for cheap/budget phones in Asia – they’ve spent way too much trying to break into their premium market and making the rest of the world pay for it. You sell high in India and… Read more »
Samsung have to work on changing design for phone work on there pricin and also compare what they are offering to what Chinese are offering in they same segment and then maybe will be have hope