Top Smartphone making Companies, Profit and Loss.
Taking the whole world into account list of mobile phone manufacturers is enormous. But only a few companies account for 90% of the global market. This global market of smartphones has shown shrinkage everywhere around the world except in India and a few parts in South East Asia. The list of top smartphone companies includes brands like Samsung, Apple, Huawei, Xiaomi Mi, Oppo, Vivo, and some other brands.
Profit per unit sale
The rank for profit per sale of a single smartphone by famous brands can be given as
- Apple
- Samsung
- Huawei
- Oppo
- Vivo
- Xiaomi
- The overall global market share of these companies are
- Samsung – 19%
- Apple – 14%
- Huawei – 14%
- Xiaomi – 8 %
- Oppo – 8%
- Vivo – 7%
In India
Indian holds a very large market for mobile phones. The Indian market is flooded with phones from top Chinese, brands like Xiaomi, Oppo and Vivo. The other mobile phone brands in India which hold a remarkable position in the Indian market are Samsung, Apple, LG, and Nokia. In this fierce competition with foreign brands Indian brands like Micromax, Intex and LAVA still holds a place in the market.
The total revenue of Indian brands like Micromax, Intex and LAVA fell 22 % that is to Rs. 10,498 crores in the year 2017-18 this was because of fierce competition with Chinese brands like Xiaomi, Oppo, and Vivo. The total revenue of these Chinese brands was Rs. 46,120 crore in the same year. Out of Chinese brands, only Xiaomi was profitable. A similar trend is expected in FY2019-20.
Samsung India Vs others
To fight Chinese brands Samsung cut off its profit by 11% but at the same time revenue of Samsung grew by in FY2018-2019.
The total income of Samsung touched Rs. 61,065 crores in the year in FY2018 from Rs. 55,965 crores of FY2017.
The Global Market
The global market can be divided into two segments premium and normal. Those phones cost more than $400 falls in the premium segment. The premium segment smartphones majorly contribute to the overall global market. Apple holds a major place in the premium segment and in the first quarter of 2019, the market of apple shrunk by 8% which itself is higher than global market shrinkage. This was because of a reduction in apple’s shipment by 20 % because iPhone users are holding back to iPhones for a longer time.
Huawei and Samsung were in lieu of gaining from Apple’s fallings by taking 16% and 25% of the premium segment market. But shipments from Huawei will be reduced by 40-60% because of the trade ban and as premium segment shipment of Huawei is 18% of Huawei’s total shipment brand will definitely have to break down its budget for marketing and R&D. So Samsung will be the only brand that will gain the most by the launch of S10 and Note 10 series premium smartphones.
The overall shrinkage of the Premium segment market will be countered at the end of 2019 by the addition of 5G in premium segment smartphones.
Read also about Top 5 smartphones under Rs.20K in India
