Samsung seemingly long out of the influence of Apple, this year voluntarily went on the same way that “Apple” the brand has chosen a year and a half ago. This opinion was expressed by a leading analyst of the consulting Agency Bernstein Tony Sacconaghi. Setting the current generation flagships such high prices, the Koreans took a big risk that may turn out to have a significant decline in sales of branded smartphones and a further decline in market share.
New Galaxy S10 are very expensive, except for the youngest Galaxy S10e, which has all chances to become the best-selling model of all, says Sacconaghi. Following Apple in the formation of retail prices, Samsung contributes to the decline in demand for branded devices and increase sales of brands such as Xiaomi and Huawei, which, although released flagship smartphones on the most modern hardware, yet be more flexible in pricing.
Killed Samsung sales of Galaxy S10
Why consumers don’t want to spend $ 1,000 on a smartphone – the question is long closed, said the analyst.
First, many of us have long ceased to change smartphones every two years, not to mention the annual update to the new model. Now I use them for 2-3 or even 4 years. In the end, if you already have a Galaxy S8 with a quality display and an attractive appearance, to be updated on a “top ten” meaning not very much.
Second, users corny pall innovation. Sets of four major chambers, dozens of gigabytes of RAM and numerous CPU cores no longer admirable, forcing to doubt the usefulness of such a number of technological innovations.
Third, consumers recognized that the technology can be cheap. This proved Chinese manufacturers, whose flagships are worth 400-500 dollars and through this demonstrate the tremendous sales growth.
Contrary to the predictions of industry analysts that sooner or later consumers get used to high prices for smartphones, this did not happen. Even Apple have realized that there were several ill-advised, focusing on the premium segment of the market, and gradually began to reduce prices. There is no doubt that it will take only 2-3 months and the same will be engaged in Samsung.
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