After a long-fought patent infringement lawsuit against Apple in the past that tarnished its image drastically, Samsung is destined to stay atop in the field of technology; besides maintaining its stronghold in the Smartphone market it’s trying to swallow the share of its contenders. But there is no dearth of challenges.
The US market, considered as an Apple bastion, proved good for Samsung fortune, claims the ComScore report. In the Q1 2013-2014, ending December 2014, though Apple can be seen as maintaining the top rank with 41.8 percent market share, Samsung managed its upward growth by 1.2 percentage points, pushing back Motorola, LG and HTC. However, when it comes to worldwide smartphone shipments and sales, Samsung emerged as undisputed leader. Gartner’s report on worldwide smartphone sales, based on the shipment of devices by different vendors till the 3rd quarter of 2012-2013, ending June 2013, shows a thumping victory for Samsung. The brand secured 23.2 percent growth as compared to last year in the same duration. It sold 80.35 million units whilst Apple despite the presence of budget models like iPhone 5s and 5c could manage only 30.3 million units. No doubt the Samsung popularity credit is also shared by Google’s Android, which bagged the number one position with 81.9 percent share of the mobile operating systems in the given period. Consumers across the Asia-Pacific, and Western Europe contributed most to the smartphone sales.
However, there is a matter of concern for Samsung according to a report from the Consumer Intelligence Research Partners (CIRP). It claimed that Apple managed to get 20 percent of its customers from the Android belt and 14 percent from BlackBerry, while Samsung, the biggest Android player, attracted only 7 percent of iOS users. However, facts favoring Samsung included: Apple to Samsung switching remained at 11 percent, and first time buyers preferred Samsung against Apple by a three to one margin. Samsung also lags behind the arch rival, in terms of customers’ loyalty with 38% vs. 42% retention rate.
Thus, the trajectory for Samsung is quite challenging ahead, and demands more homework.
Date: March 6, 2014