Samsung has come under intense pressure in the Chinese smartphone market over the past few years. It’s market share clocked in at less than 1 percent while it was at 20 percent back in 2013. Local competitors like Huawei and Xiaomi have given Samsung a tough time in the lucrative market. However, Samsung now feels that it has a good chance of regaining some lost market share.
The Galaxy S10, Samsung’s latest flagship series, is selling well in China. It’s giving the company confidence to say that the flagship will help Samsung regain some of its lost market share in the country. Samsung has already taken some significant steps recently to overhaul its smartphone business in China. The company apologized for its poor performance in China last year and made some major organizational changes.
Operations were streamlined and the local chiefs were replaced. Its strategy for China now involves focusing on consumers that are willing to spend more on its premium products. It also teamed up with local service providers like Alibaba, WeChat, Baidu and others to offer improved artificial intelligence features and IoT services. Samsung even introduced some new technologies in China first. The Galaxy A8s was the first smartphone with an Infinity-O display. Not only was it unveiled in China, it was also released there first.
Samsung mobile boss DJ Koh said during the company’s annual general meeting that “It has been tough in China in the last two years. We have changed everything from our organization and people to distribution channels.” He added that he’s positive the flagship and mid-price models will bring a change for the company’s fortunes in China.