Minggu, 30 April 2017

Here It Is A Whiz Vendor In The 2016 Global Market

The year 2016 has passed since one month yesterday. Many surprises that occur especially with regard to competition in the smartphone business. Some brands slip and have to give up their positions to their competitors. There is also a big case that happened to the smartphone manufacturer who came from South Korea who was forced to withdraw its products from the market because of problems.

In general, according to market researcher Counterpoint, global smartphone shipments grew 3% per year in 2016. However, in Q4 2016 smartphone shipments reached a record 440 million units with a year on year growth of 9% as a result of strong holiday sales that could boost Annual shipping growth.

This growth is sustained by cheap LTE enabled smartphones. Even according to Tarun Pathark Associate Director at Counterpoint Research, LTE adoption is much faster than other cellular technologies. The demand for LTE devices so far until 2016 has reached 1 billion more.

The highest demand for global LTE devices is led by China, almost half the total LTE customers worldwide. With this fact, LTE technology will become the dominant technology where its speed will increase and its adoption rate will be wider.

Associated with sales performance during 2016, Research Analyst, Shobhit Srivastava, global smartphone market rose slightly by 3%. Even big brands like Apple and Samsung have decreased annual growth.

Surprisingly enough, most of that growth was driven by three Chinese brands such as Huawei, Oppo and Vivo, where the combined of them grew 57% with shipments of over 300 million units globally. Furthermore, Chinese brands continue to expand new marketing areas. Thus, most of China's leading brands recorded healthy growth in 2016.

Samsung remains the most dominant

The aggressiveness of Chinese vendors in the global market can not undermine Samsung's position as a 2016 market share based on delivery. According to Counterpoint Research, Samsung smartphone shipments in 2016 reached 310.3 million units. But for Samsung, that figure shows a decrease of 4% compared to 2015.

The second position is held by Apple through iPhone products. Although sales of the iPhone 6s had reportedly less encouraging, Apple recorded shipments of 215.2 million units. Although in fact, iPhone shipments in 2016, fell by 7% when compared to 2015.

In fact, sales of iPhone 6s in China lost to the sale of Oppo R9. This is the iPhone's first defeat in five years. Oppo managed to sell the R9 series as many as 17 million units in China in 2016, or meraup 4% of market share. While the iPhone 6s only sold 12 million units.

Apple does not enjoy smartphone shipments growth in China where in 2016 handset shipments rose 6% to 465 million units. While Oppo shipments rose 109%, beat Vivo (up 78%) and Huawei (up 21%). For the record, Apple's shipments in the country fell 21% last year, just slightly above Xiaomi, Xiaomi formerly known as "Apple China" decreased 22% in 2016.

Moreover, according to Counterpoint Research Research Director Neil Shah, the key features that have driven the growth of the smartphone market are fast charging, OLED display, large batteries and dual cameras. And this feature is not owned by Apple iPhone 6s.

In addition, Counterpoint also noted that Apple's failure in China's smartphone market has to do with the skyrocketing demand of mid-range handset in the country. Neil Shah, said if true the upcoming iPhone using OLED screen will be a positive impact for Apple.

Could be, tragedy nahas that befell the Samsung Galaxy Note 7 contribute to the performance of Apple. So the iPhone 7 and 7 Plus that managed to make a greater distance from rival Samsung for high end smartphones. Jeff Fieldhack, Research Director at Counterpoint Research, said, "During the first eight months of 2016, Apple's smartphone market share was at a record low compared to the last few years, but the launch of the iPhone 7 series has been able to offset most of the previous downturn."

The third rank, according to Counterpoint Research, is held by Huawei with 139 million shipments.

That figure is also an increase of 27% over the previous year which only reached 108.7 million. Huawei managed to boost sales performance through some excellent products such as P9. Cooperation with Leica on multiple camera features, is an appropriate strategy.

While the fourth position is held by Oppo. Oppo is known as an aggressive vendor in developing countries such as Indonesia. Oppo's strategy of relying on direct sales to consumers has won the competition from vendors who rely on lightning sales via online. So Oppo successfully pushed into the top five positions. Oppo recorded the highest growth of 111.7% in 2016 compared with the previous year. Oppo shipments recorded 92.5 million while in 2015 only 43.7 million.

In position five is still held by vendors from China Vivo. Vivo growth is also quite significant in 2016 with an increase of 77.9%. Vivo managed to deliver 71.7 million units compared to 40.3 million in 2015.

Unfortunately, Xiaomi who had been the most aggressive vendor two years ago, his position is at the seventh level under ZTE. Xiaomi recorded some excellent smartphones. Finally Xiaomi introduced Mi Mix that has a design that inspires several other vendors. Even so, the performance of manufacturers led by Lei Jun has not been satisfactory in the past year.

Xiaomi who remains optimistic

Xiaomi intend to rise from adversity. The optimistic feeling was conveyed by CEO Lei Jun. As quoted by Reuters (12/1) Xiaomi in 2017 target sales of more than 100 billion yuan (14.47 billion US dollars).

Xiaomi said it would make adjustments to several business areas, including increasing offline retail presence and encouraging more overseas businesses. For 2017, Xiaomi plans to open 200 more Mi Home stores and a total of 1,000 offline stores, as e-commerce is proving to absorb only 20 percent of China's overall smartphone market, Lei said.

But this is certainly not easy for Xiaomi. Because there are still many big questions, why the VP Hugo Barra leave Xiaomi. In fact, some gossip mentioned that Xiaomi will be absent in the MWC event. In fact, this great event is always used as a moment of show the benefits of the latest smartphone from various big brands. Is Xiaomi able to keep up with his rivals? Let's wait and see. And do not forget, this year Nokia has started its comeback in the smartphone market.

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