Samsung has big plans to double the value market share in 2020 with the help of M series devices.
In the times where the whole market is expected to go decline, Samsung is aiming for doubling their revenue. The key focus is on online sales. Samsung aims to grow its online smartphone business by 35% in 2020.
The company finished 2019 with a 15% value market share for its online smartphone business.. Now they are planning to exit 2020 with a 30% value market share.
Asim Warsi, Senior VP of Samsung India says “We are aiming to achieve $3.5 billion gross merchandise value (GMV) for our M-series of smartphones since launch in 2019 to end 2020.”
The key to their target could be the M series. The M series has been a serial hit globally. It ranked 2nd in the list of top 10 phones shipped worldwide in H1 2020. The latest Samsung Galaxy M51 which will release in two-three days is also expected to make such an impact.
Samsung claimed that its M series is the single largest brand in India today. Launched in February 2019, the M series crossed over $1 billion in gross merchandise value (GMV) in 2019.
Warsi said that the average selling point or ASP of M-series smartphones is also expected to grow 50% to $250-$300 as more people look to upgrade their smartphones.
There is too much focus on the online market it feels. But Warsi said that they have invested equally in both offline and online. In fact, the major source of sales in India still remains from Offline stores. He said, “Over 25 years us being India, most strategic investments have been towards offline expansion and growing the channel.”
Currently, Samsung is the second largest online smartphone brand in Q2 with a 25% share. A 14% growth from 2019. Samsung also has various student offers and buyback schemes, particularly on their own site. In order to increase sales from their own site. They have a target of 10% sales from their own site.
Samsung has indeed been the big players even in the time of the Corona crisis. The aim is high but achievable. Their M series have really rocked the market in the 25-30k range. The upcoming device is also expected to launch at that price. Let’s see if Samsung’s targets are achieved or not by year-end.