Manufacturers never frustrated by Vietnamese consumers on releasing costly new handsets
Manufacturers never frustrated by Vietnamese consumers on releasing costly new handsets
Lines are formed around the world whenever a state-of-the-art tech device is officially released, and enthusiasts in Vietnam, where GDP per capita is still below US$2,000, do not mind queuing to have their hands on the much-anticipated products as early as their global peers.
The Samsung Galaxy S6 and S6 Edge, the latest handsets of the world’s largest smartphone maker, hit stores in 20 countries on Friday, and quickly reaped strong sales there.
Fans of the Korean company in Vietnam lined up in queues at first light on Saturday to become the first to own the devices, dubbed the best Android phones of all time by Forbes.
“I’ve been in the line since 4:00 am,” Vo Hoang Tuan told newswireZing in a video interview while queuing in front of a mobile phone store in District 7, Ho Chi Minh City.
Tuan was waiting to get a Galaxy S6 Edge as he wanted to “experience its curve screen.”
The newest Samsung Galaxy models are available at major mobile phone stores in Hanoi and Ho Chi Minh City, with a 32GB S6 handset fetching VND16.59 million (US$773) and a 32GB S6 Edge priced at VND19.99 million ($932).
Vietnam’s GDP per capita was $1,910.51 in 2013, according to World Bank data. In the Southeast Asian region, the country stood above Cambodia ($1,006) and behind the Philippines ($2,765).
Vietnamese consumers always have to pay more for hi-tech devices, which however does not prevent them from contributing to the revenue success of such manufacturers as Samsung or Apple.
The lowest prices of the Galaxy S6 and S6 Edge in the Korean market are 647,000 won ($591.52) and 807,000 won ($737.79), respectively, according to Business Korea.
As in other parts of the world, the mobile phone market in Vietnam is dominated by Microsoft Mobile, Samsung, and its archrival from the U.S., Apple Inc.
Microsoft sold the most mobile phones in Vietnam in February, accounting for 36.1 percent of the market share, whereas Samsung came second with 18.9 percent, according to data released by German market researcher GFK.
The market share of Apple was 20 percent, nearly double the 11.6 percent it recorded in February last year.
Despite its predominant position, Microsoft was beaten by Samsung when it comes to sales, as it mostly sells budget devices compared to such deluxe series as the Galaxy S and Galaxy Note of the Korean firm.
Even though such Samsung handsets and Apple’s iPhones are expensive products in the Southeast Asian country, local consumers are willing to open their pocket, even to buy the unofficially distributed products at whopping prices.
This is particular the case of iPhones, as Vietnam has rarely been among the markets where Apple’s flagship devices are first released.
Apple’s latest handsets, the iPhone 6 and iPhone 6 Plus, hit stores in ten markets in September last year, months before they were officially available in Vietnam.
But many of the products were bought in Singapore or Hong Kong and taken back to the country as personal belongings by air, a common method of Vietnamese mobile phone traders whenever Apple releases a new iPhone.
These products have been embraced by local consumers, who were willing to pay VND33 million to VND42 million ($1,553-1,977) for a 16GB iPhone 6 Plus Gold taken to Vietnam that way, compared to the $750 contract-free price in the U.S.
And when the iPhones officially arrived in Vietnam in November, many buyers lined up overnight to be the first to purchase the devices.
The price for an iPhone 6 now starts from VND16.99 million ($792) and iPhone 6 Plus, VND19.59 million ($913), according to prices listed by a leading local mobile phone chain
