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Windows Phone shows strong gain in Vietnamese market

Posted: 05 Sep 2013 ?? ?Print Version ?Bookmark and Share

Keywords:Windows Phone? Android? smartphone?

According to IDC's most recent report, 5.8 million mobile phones were shipped to Vietnam in 2Q13. Aggressive shipments of low-cost smartphones caused feature phone shipments to contract 25.8 per cent QoQ. As a result, smartphone shipments accounted for 32.7 per cent of total mobile phone shipments in Q2, an increase from only 14.7 per cent in 2Q12, indicated the market research firm.

While a number of flagship smartphone models introduced last quarter gave the Vietnam smartphone market a small boost, it was primarily mass shipments of budget smartphones that made the biggest contribution.

"Home-grown brands have proved a key factor to sparking demand for smartphones in both urban and rural areas of Vietnam, especially for sub-$100 handsets," stated V? L T?m Thanh, senior market analyst, mobile devices at IDC Vietnam.

"We expect these local vendors to continue to do very well outside of tier 1 cities, but they will certainly run into difficulties competing with strong international brands like Nokia and Samsung which are currently also focused on the entry-level smartphone market," he added.

Windows Phone 8 made strong gains in the Vietnamese smartphone market, by posting a growth rate in Q2 of 119 per cent compared to the previous quarter. While this growth comes off a small base compared to Android, Windows Phone has risen from six per cent OS share in 2Q12 to 15 per cent OS share in 2Q13, largely from the local strength of the Nokia brand but also Microsoft's investment in the local developer community.

Daniel Pang, ASEAN research manager for client devices at IDC Asia/Pacific noted, "The strong uptake of Nokia's Lumia 520 has really helped Windows Phone 8 to drive Vietnam's smartphone market. If Nokia can maintain a strong emerging market portfolio, it may be able to continue to differentiate itself from the mass of low-cost vendors."





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