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Samsung's annual sales volume in China jumps

By Gao Yuan in Guangzhou | China Daily | Updated: 2013-03-13 09:17

 Samsung's annual sales volume in China jumps

A Samsung mobile phone store in Shanghai. With 17.7 percent of the market share in the country, the company sold more than 30 million smartphones in China last year. [Photo/China Daily]

Electronics giant grabs top spot in nation's smartphone market in 2012

Samsung Electronics Co Ltd, the world's largest mobile phone and television maker, said on Tuesday its sales volume in China hit $14.3 billion in 2012, a jump of more than 50 percent year-on-year.

The South Korean company said that it is ready to expand its lead in the consumer electronics sector this year and that it will also boost its business-to-business units.

"Last year, we registered the best-ever performance as the world's largest consumer electronics maker, and China is becoming one of the most important markets for Samsung," said Park Jae-chun, chief executive officer of Samsung Greater China.

In 2012, the company grabbed the top market shares in the mobile, display and flat-panel TV sectors in China, said Park.

Data from research company Strategy Analytics showed that - for the first time ever - Samsung topped China's smartphone market in 2012, with its sales nearly tripling year-on-year.

With 17.7 percent of the market share in the country, the company sold more than 30 million smartphones in China last year, up from 10.9 million the previous year.

Samsung's long-time rival, Apple Inc, ranked third, behind local electronics giant Lenovo Group Ltd.

Samsung's annual sales volume in China jumps

Analysts said that as the number of smartphone users in China continues to grow, Samsung may cement its dominance even further because it has a more diversified product line than competitors such as Apple.

A total of 460 million smartphones will likely be sold annually in China by 2017, estimated IDC, an industry consultancy.

Park also pledged to provide additional services for commercial customers in China to boost revenue.

Although the company did not disclose detailed expansion plans for the B2B sector, the retail, pharmaceutical and hospitality industries are likely the target areas for Samsung.

"Samsung's B2B business in China is not as active as its consumer sectors. We need to build customer awareness and fully engage with innovation strategies," said Quan Song, head of Samsung China's B2B department.

The only area where Samsung found itself struggling in China was in the household electrical appliances sector, although its global market share continued to increase.

Local TV makers such as Hisense Co Ltd took the lead in terms of market share, while Samsung's share slumped in the first three quarters of last year, data from industry research firm China Market Monitor Co Ltd showed.

"The Chinese TV market will be dominated by the top companies in the future, companies with thin market shares will find it difficult to survive," said Li Jixiang, vice-president of CMM.

Samsung is now eyeing the higher-end of the TV market.

China's demand for 3D or smart TVs could be above 53 million units this year, according to CMM. Less than 35 million 3D or smart TV sets were sold in the country last year.

On Tuesday, the company released an 85-inch HD smart TV targeting the wealthiest consumers in China. The new product is scheduled to enter the Chinese market in June.

gaoyuan@chinadaily.com.cn

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