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For a company that only 5 years ago had a 3 percent market share and now is pushing around the one-quarter of total market share, getting to the top of the mobile phone tree is not out of the question.
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That’s certainly the impression you get when talking to Josh Delgado, Director of Telecommunications, who says that “Our growth rate this year is nearly 3 times that of the Industry”, and adding that, “unlike other mobile phone makers “we ask the carriers want they want and we do our best to provide it”.
And combining with the telcos to drive up sales seems to be paying off.
Delgado says that Samsung “sells a mobile phone in Australia every 15 seconds”, which means that that over a 12 month period, it sells some 2.1 million units- a figure that at first seems impressive, however looking at it in terms of the number of models the company holds -some two dozen in Australia alone – that number becomes somewhat more believable.
And this may be just one reason why the company has clawed its way to become the number 2 phone vendor globally as well as in Australia.
Furthermore says Delgado, our growth has been phenomenal, adding that “Samsung, sales are up 61 per cent from the same period last year and we’re tracking at over 21 pre cent market share, up from 16 per cent at the end of 2007”.
Delgado also notes the 3.5G segment, which comprised 29 per cent of industry sales in 2007, has grown to now represent 40 per cent of industry sales and “Samsung are over-performing in this growth segment with category share of 26 per cent and we still possess the greatest number of 7.2 Mbps HSDPA mobile phones in the market”.
Moreover, Delgado points out that, “we engaged with over 4 million consumers last year. This year we aim to achieve over 5 million consumer interactions. Importantly, every consumer who purchases a Samsung product has a 48 per cent higher propensity to buy a Samsung mobile phone”.
Asked as to whether such sales volumes were sustainable for the Korean electronics giant, Delgado notes that, “a few years ago, most phone users swapped their phones for newer models about every three years- now the figure is just under two years, so that we are looking to build on that growth”.
In terms of market penetration, Delgado says that unlike other companies that sell just one product or try and push a handful of models to consumers in cookie-cutter fashion, the company has in identified 6 distinct sub-segments, in which it targets with vastly different models.
These sub-sectors are: style, infotainment, multimedia, business, connected and essential, which Delgado says is all part of Samsungs global strategy to increase its market share.
“We understand that our ability to generate continued growth and the best value for consumers is to provide a compelling range of mobile phones for every consumer”.
