It’s a known fact that almost everyone with the moolah would buy an iPhone. The days of premium android smartphones are gone. Hell, even apple is facing stagnation. This is evident from places like India where the iPhone 6s failed to sell in huge volumes like the iPhone 6. Looks like the year 2016 would bring down the prices of smartphone for good but more importantly, will force the manufacturer to improve the mid-range and low end smartphones.
Samsung Electronics is doing precisely the same. It concentrated on premium phone such as the galaxy s-series and note series smartphones till now. As a result of that, the Chinese and Indian manufacturers have taken over the non-premium market. Samsung still sells more number of smartphone than anyone but the real question is for how long?
Apple is dominating the premium smartphone segment and Samsung is getting cannibalized in rest of the categories by the likes of Xaomi, Huawei and micromax.
As the reports are coming in that Samsung Electronics will decrease its smartphone shipments by 12% next year, it is evident that Samsung is with a plan. Samsung doesn’t want the good enough non-premium phones from now on. It wants to manufacture low end and mid ranged phone that can compete with the like of nexus range and the one plus two that offer premium experience at a sub premium price.
It also plans to integrate the premium services such as Samsung pay and its security focus work software, Samsung Knox into these phone to be released in 2016. That’s actually a good thing for the consumers. They get more number of premium services and devices at a reduced price tag.
We now expect high end display, finger print readers and powerful internals in the low end mobiles. This is a sensible move from Samsung Electronics as it has also decided to lower the price of its upcoming flagships by 10-20%. Samsung really makes all of its cash from the non-premium phone that sell in tunes of hundreds of millions and making these phones significantly better will help it immensely in 2016 to regain its dominant position.
