JAKARTA (TheInsiderStories) – Smartphone sales in Indonesia grew 6 percent during the second quarter (2Q) of 2019 driven by the promotions during the festive season of Ramadan, both in the online and offline segment, the latest research from Counterpoint’ Market Monitor service showed.
Research Analyst, Parv Sharma, said Chinese brands are the reason for the growth of the smartphone market in Indonesia. Four out of the top five brands in the country are now Chinese.
“Their combined market share is more than 55 percent. Realme, launched in 4Q 2018, showed impressive growth with an aggressive pricing strategy,” he said in the report.
In three quarters, the product has captured an 8 percent market share, becoming the number five brand by volume. Realme’ leaner portfolio with aggressive online focus and value for money proposition has helped it gain market share. However, it’s also looking to expand in the offline segment to grow further.
On the distribution landscape, Associate Director, Tarun Pathak added, that South Korea’ Samsung continues to lead the smartphone market with a 27 percent share. Further, the strong offline presence has helped it maintain a dominant position in the market.
Local brands are continuously losing share to global and Chinese brands. This has led to the market being concentrated at the top with the top five brands now capturing 82 percent of the market.
“Advan was the only local smartphone brand in the top 10 list by market share, coming in at the seventh position,” he noted.
In details, the report showed Xiaomi grew at 18 percent in the 2Q driven by the Redmi 6A and Redmi 7 series. It’s expanding its retail strategy with strong offline presence and official stores on portals of online partners like Lazada, Blibli, Shoppee, and others.
OPPO A5s, A3s were the best-selling models and grew at 6 percent in the same quarter. OPPO has a learner portfolio and is diversifying with the Reno series aimed at the high-to-mid segments.
Vivo grew at a healthy rate of 50 percent, holding on to the fourth position in the market. Vivo is launching similar models that it has launched in China but with lower-end specs to keep the competitive price in the market.
Asus is another global brand that registered growth but was pushed down to the sixth position by Realme. Asus Max, Max Pro is performing well in the market while, Advan, Nokia HMD, and Huawei also maintained their position among the top ten smartphone brands.
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