Local Vietnamese Smartphone Brands Have Only 8% Market Share
Exhibit 1: Vietnam Smartphone Shipments Market Share – Q3 2017
Source: Counterpoint Research: Quarterly Market Monitor Q3 2017
Exhibit 2: Vietnam’s Bestselling Smartphone Model Rankings – Q3 2017
Source: Counterpoint Research: Quarterly Market Monitor Q3 2017
Market Summary:- Vietnam’s Handset Market grew 17%, but the smartphone market remained flat annually indicating growth in feature phones.
- Smartphone penetration in terms of shipments reached 51%. Feature phones are still a sizeable market for OEMs to target.
- The top five brands accounted for almost four-fifths of smartphone shipments in Q3 2017.
- Local players’ smartphone contribution hit an all-time low of 8%.
- Samsung continues to lead Vietnam’s smartphone market with a market share of 43%. Vietnam is one of the few countries in the APAC region where Samsung is still enjoying a significant lead over its nearest competitor.
- However, in the premium segment Samsung leads by a thin margin over Apple, but Apple is expected to lead premium segment in Q4 2017.
- Vietnam is one of the best performing countries in the SEA region for Apple. It is scaling both its offline and online presence in the country where it currently has 15 Apple authorized stores. However, gray market sales of iPhones continue to be a big challenge for the company to tackle.
- Samsung & OPPO alone captured 2/3rd of the Vietnam smartphone market during Q3 2017.
- Oppo is the second largest smartphone brand in the country, capturing 22% of the market. Almost 60% of its sales were driven by its bestselling mid segment model A37.
- Brands like Vivo are scaling up fast as they increase their portfolio and distribution presence.
- The entry of Nokia HMD and iTel among top five players in smartphone segment was one of the key trends during the quarter as they ramp up their presence in the sub $150 segment, which was also the fastest growing segment.
- For Nokia HMD, Nokia 3 was its best-selling device while for iTel it was S11 Plus.
- Vietnam’s Smartphone market is expected to grow by 10% YoY in CY 2017.
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Author
Tarun Pathak
Tarun is a Research Director with Counterpoint Research, based out of Gurgaon (near New Delhi). Tarun has 10 years of work experience with a key focus on the evolving mobile device ecosystem with specialties in Emerging Markets. He understands specific mobile industry nuances, helping clients to navigate through the rapidly changing technological trends. As a Telecom Analyst he has been quoted extensively by the leading media platforms. Tarun holds a Post Graduate Diploma in Management, specializing in International Business from the Amity International Business School and is a graduate in Physical Sciences from Jammu University, Jammu in the northern Indian state of Jammu & Kashmir.