Two smartphone companies Samsung and Oppo together account for more than half of Vietnamese smartphone market.
The number of smartphones shipped in Vietnam grew by 1.6% compared to the previous quarter, reaching 3.2 million units in the third quarter of 2022, according to a report by IDC.
This quarter’s sales increased by 28.5% compared to the same period last year, due to a sharp decrease in smartphone consumption last year because of the impact of distance. The number of smartphones in the third quarter is still not equal to the number of devices on the market at the same time in 2019.
The research firm believes that customer demand for smartphones has been reduced due to the influence of inflation and the macroeconomic situation.
According to the General Statistics Office, Vietnam’s exports were lower than expected, falling 14.3% from August to September, causing factories to shut down.
“Rising recession risks in the United States and the European Union from aggressive monetary tightening and supply disruptions due to the Russia-Ukraine war are putting great pressure on the Vietnamese economy, which still needs support for post-pandemic recovery. Consumer sentiment begins to suffer when commodity prices are rising,” said Mr. Vo Tam Thanh, market analyst at IDC Vietnam.
Samsung maintained the leading position in the market with a total of 1.1 million smartphones sold, down 5.4% year-on-year. The company’s market share fell to 34% in the third quarter of 2022, from 46.2% in the third quarter of 2021.
However, the company’s Z Fold4 and Z Flip4 flip phones have tripled compared to before. The company also focuses on expanding the market by opening stores that only sell Samsung products in many provinces.
Oppo holds the 2nd position, with a market share of 21.6%. Machines like Reno8, Reno8 Pro, Reno8 Z, which focus on customer experience and camera upgrade, have increased sales compared to the Reno7 generation.
Xiaomi grew 16% QoQ and 64.1% YoY, reaching 14.9% market share. This company increases sales by launching low-cost smartphones like the Redmi A1 model which costs less than 100 USD, or bringing the Poco C40 model to a lower segment and reducing the selling price for Redmi Note 11.
The number of Apple devices decreased by 11.9% compared to the previous quarter but increased by 173.3 % over the same period. The decline in iPhone sales compared to the previous quarter was due to retailers looking to push older models in preparation for the iPhone 14 series to be released in October.
Meanwhile, the fifth-ranked company, Vivo, grew 9.9% from 4.3% in the previous quarter. Sales increased by 137.1% quarter-on-quarter and 44% year-over-year.