A year ago, HTC’s share price once soared to NT$1,230, due to the popularity of its Android smartphones, which surpassed Nokia’s market share as the world’s second-largest smartphone maker.
One year later, due to its market share, it was gradually eroded. HTC’s share price fell to NT$378.5, a decline of more than 70%. Just last week, HTC announced its withdrawal from the Brazilian smartphone market, which has a strong growth momentum, due to the declining market share.
In the case where Apple and Samsung erode the profits of most high-end smart phones, HTC, which insists on not using low-end smart phones, seems to be falling into an embarrassing position.
Machine-sea tactics buried the root cause of HTC, the mobile phone brand that was once expected to compete with Apple, Samsung and three worlds, why in a short period of one year from the peak at an alarming rate of decline? This may also be said from the time when HTC is going strong.
At that time, HTC’s global market share had reached 18.22% at one time, and it had a three-point global smart phone market trend with Samsung and Apple.
In 2011, HTC adopted a strategy that most Android manufacturers are familiar with, namely the launch of several different models of Android smartphones in a short period of time. However, although one strategy became the magic weapon for HTC's success at the time, it also laid the “backfire†for the rapid decline after HTC.
The introduction of new models soon after the interval, although it can continue to attract the attention of consumers, but it also led to manufacturers must continue to fine-tune the product and exhausted.
However, unlike other Android smart phone manufacturers, HTC is a mobile phone manufacturer that always targets the high-end market, and "sea tactics" is hard to allow it to own one or more star machines. The result is that no one can remember HTC's single product, but they remember Apple's iPhone 4S and Samsung's Galaxy series of smart phones.
In fact, the sales of Apple and Samsung also proved that by focusing on one or a series of products can achieve the purpose of expanding market share. Apple's single-quarter iPhone sales can reach 30 million units, and the Samsung Galaxy S II smart phone also successfully sold 10 million units within six months of its launch.
Of course, HTC discovered the problems caused by “sea tactics†at the end of 2011 and began to adjust its strategy. Ren Weiguang, general manager of HTC China, once said frankly that from the third quarter of 2011, when HTC sales broke records, the company had found that such a move would not be ideal because everyone would feel that HTC had no star models.
HTC Chairman Wang Xuehong also told Phoenix Technologies at this year's Mobile World Conference (MWC2012) that HTC will change its fine line and reduce the number of new machines released. She said that it will reduce the number of mobile phone models released each year and instead focus its resources and marketing on fixed model phones. This not only helps smart phone manufacturers save R&D and marketing costs, but also enables suppliers of supply chains to scale up in production to better control raw materials and transportation.
However, although HTC has already realized the problem and started a strategic transformation, the fierce competitive environment of the smartphone industry in 2012 has made HTC's transformation more difficult.
According to relevant statistics, with the continuous growth of Apple iPhone 4S and Samsung Galaxy series sales, as of the first quarter of 2012, HTC’s global market share has dropped from 18.22% to 7.28%.
In its most important North American market, according to the latest data from comScore, a US market research company, as of April 2012, mobile phone users aged 13 and above in the United States reached 234 million. Samsung tops the list with a 25.9% share, followed by LG (19.2%), Apple (14.4%), Motorola (12.5%) and HTC (6.0%). In 2011, HTC, which was still the top spot in the US smartphone market, quickly fell to fifth place in 2012.
HTC's positioning puzzled that in the case of the North American market losing ground and the overall weakness of the smart phone market in Western Europe, HTC had to start seeking new markets to get out of the current predicament.
Ren Weiguang said in a conversation with Phoenix Technology that HTC plans to focus on expanding markets in the Asia-Pacific region and will strive to convert Western European and North American markets with a total sales volume of 80-90% of their sales to Western Europe, North America, and Asia Pacific each accounting for 30% of the total. Market sales structure.
Some analysts believe that HTC has been under strong siege from Apple and Samsung in Western Europe and North America. The market share has gradually narrowed, and the focus on expanding the Asia-Pacific market will hopefully help HTC regain the overall market share rebound.
However, Ren Weiguang emphasized that although HTC will focus on expanding markets in emerging countries in the Asia-Pacific region, HTC will still focus on the fine line and will not make low-end smart phones.
In the eyes of many people in the industry, HTC's persistent high-end positioning will make it more difficult to compete in the future of smart phones. In emerging Asia-Pacific markets, the market space for high-end smart phone market is also not large.
According to ABI statistics, in the first quarter of 2012, Apple and Samsung occupied 55% of the market share of the smart phone industry and divided the industry's profits by 90%. At the same time, the two giants basically monopolized the high-end smart phone market, which made other days for other mobile phone manufacturers located in high-end smart phones very difficult.
Li Yi, secretary-general of the China Mobile Internet Industry Alliance, said that Apple will launch the new iPhone in October this year. It is feared that the HTC that insists on the high-end line will be even more rampant.
"At the same time, because there are many users in the high-end market waiting for the release of the new iPhone, there will be many users in this area that will not be replaced before October." Li Yi said that in addition, Samsung also announced that if the new iPhone is released After that, its full range of products will significantly reduce prices, which will also have a great impact on HTC.
In the Chinese market, relevant agencies predict that the major demand areas of the Chinese smartphone market in 2012 will be in the low to mid-range smart phone market of 2,000 yuan or less, and smartphones priced at more than 2,000 yuan will account for only 10% of the total market space. .
Although HTC has also cooperated with China Unicom to launch its first new smartphone priced at RMB 2,000, it is priced at RMB 1999. However, Yi Yi Consulting CEO and chief analyst Zhang Yi said that compared with other thousand yuan smart machine manufacturers, HTC's thousand yuan smart machine is still lacking price advantage, it is still difficult to reverse the HTC loss in the high-end market share and profits.
In the high-end market eroded by Apple and Samsung, HTC announced that it will enter the nova market on a large scale but will not be a low-end smart phone. It is at a formidable crossroads. How does HTC come back in the fiercely competitive smartphone market?
One year later, due to its market share, it was gradually eroded. HTC’s share price fell to NT$378.5, a decline of more than 70%. Just last week, HTC announced its withdrawal from the Brazilian smartphone market, which has a strong growth momentum, due to the declining market share.
In the case where Apple and Samsung erode the profits of most high-end smart phones, HTC, which insists on not using low-end smart phones, seems to be falling into an embarrassing position.
Machine-sea tactics buried the root cause of HTC, the mobile phone brand that was once expected to compete with Apple, Samsung and three worlds, why in a short period of one year from the peak at an alarming rate of decline? This may also be said from the time when HTC is going strong.
At that time, HTC’s global market share had reached 18.22% at one time, and it had a three-point global smart phone market trend with Samsung and Apple.
In 2011, HTC adopted a strategy that most Android manufacturers are familiar with, namely the launch of several different models of Android smartphones in a short period of time. However, although one strategy became the magic weapon for HTC's success at the time, it also laid the “backfire†for the rapid decline after HTC.
The introduction of new models soon after the interval, although it can continue to attract the attention of consumers, but it also led to manufacturers must continue to fine-tune the product and exhausted.
However, unlike other Android smart phone manufacturers, HTC is a mobile phone manufacturer that always targets the high-end market, and "sea tactics" is hard to allow it to own one or more star machines. The result is that no one can remember HTC's single product, but they remember Apple's iPhone 4S and Samsung's Galaxy series of smart phones.
In fact, the sales of Apple and Samsung also proved that by focusing on one or a series of products can achieve the purpose of expanding market share. Apple's single-quarter iPhone sales can reach 30 million units, and the Samsung Galaxy S II smart phone also successfully sold 10 million units within six months of its launch.
Of course, HTC discovered the problems caused by “sea tactics†at the end of 2011 and began to adjust its strategy. Ren Weiguang, general manager of HTC China, once said frankly that from the third quarter of 2011, when HTC sales broke records, the company had found that such a move would not be ideal because everyone would feel that HTC had no star models.
HTC Chairman Wang Xuehong also told Phoenix Technologies at this year's Mobile World Conference (MWC2012) that HTC will change its fine line and reduce the number of new machines released. She said that it will reduce the number of mobile phone models released each year and instead focus its resources and marketing on fixed model phones. This not only helps smart phone manufacturers save R&D and marketing costs, but also enables suppliers of supply chains to scale up in production to better control raw materials and transportation.
However, although HTC has already realized the problem and started a strategic transformation, the fierce competitive environment of the smartphone industry in 2012 has made HTC's transformation more difficult.
According to relevant statistics, with the continuous growth of Apple iPhone 4S and Samsung Galaxy series sales, as of the first quarter of 2012, HTC’s global market share has dropped from 18.22% to 7.28%.
In its most important North American market, according to the latest data from comScore, a US market research company, as of April 2012, mobile phone users aged 13 and above in the United States reached 234 million. Samsung tops the list with a 25.9% share, followed by LG (19.2%), Apple (14.4%), Motorola (12.5%) and HTC (6.0%). In 2011, HTC, which was still the top spot in the US smartphone market, quickly fell to fifth place in 2012.
HTC's positioning puzzled that in the case of the North American market losing ground and the overall weakness of the smart phone market in Western Europe, HTC had to start seeking new markets to get out of the current predicament.
Ren Weiguang said in a conversation with Phoenix Technology that HTC plans to focus on expanding markets in the Asia-Pacific region and will strive to convert Western European and North American markets with a total sales volume of 80-90% of their sales to Western Europe, North America, and Asia Pacific each accounting for 30% of the total. Market sales structure.
Some analysts believe that HTC has been under strong siege from Apple and Samsung in Western Europe and North America. The market share has gradually narrowed, and the focus on expanding the Asia-Pacific market will hopefully help HTC regain the overall market share rebound.
However, Ren Weiguang emphasized that although HTC will focus on expanding markets in emerging countries in the Asia-Pacific region, HTC will still focus on the fine line and will not make low-end smart phones.
In the eyes of many people in the industry, HTC's persistent high-end positioning will make it more difficult to compete in the future of smart phones. In emerging Asia-Pacific markets, the market space for high-end smart phone market is also not large.
According to ABI statistics, in the first quarter of 2012, Apple and Samsung occupied 55% of the market share of the smart phone industry and divided the industry's profits by 90%. At the same time, the two giants basically monopolized the high-end smart phone market, which made other days for other mobile phone manufacturers located in high-end smart phones very difficult.
Li Yi, secretary-general of the China Mobile Internet Industry Alliance, said that Apple will launch the new iPhone in October this year. It is feared that the HTC that insists on the high-end line will be even more rampant.
"At the same time, because there are many users in the high-end market waiting for the release of the new iPhone, there will be many users in this area that will not be replaced before October." Li Yi said that in addition, Samsung also announced that if the new iPhone is released After that, its full range of products will significantly reduce prices, which will also have a great impact on HTC.
In the Chinese market, relevant agencies predict that the major demand areas of the Chinese smartphone market in 2012 will be in the low to mid-range smart phone market of 2,000 yuan or less, and smartphones priced at more than 2,000 yuan will account for only 10% of the total market space. .
Although HTC has also cooperated with China Unicom to launch its first new smartphone priced at RMB 2,000, it is priced at RMB 1999. However, Yi Yi Consulting CEO and chief analyst Zhang Yi said that compared with other thousand yuan smart machine manufacturers, HTC's thousand yuan smart machine is still lacking price advantage, it is still difficult to reverse the HTC loss in the high-end market share and profits.
In the high-end market eroded by Apple and Samsung, HTC announced that it will enter the nova market on a large scale but will not be a low-end smart phone. It is at a formidable crossroads. How does HTC come back in the fiercely competitive smartphone market?
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