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TECNO beats Samsung to win the African smartphone crown in 2020

TECNO beats Samsung to win the African smartphone crown in 2020

Counterpoint Technology Market Research, a global research firm specializing in products in the TMT (technology, media and telecom) industry, just released a report in late April showing that TECNO managed to replace Samsung as Africa’s top smartphone brand for the first time in 2020, riding on a successful launch of models in the affordable and mid-ranged mobile phone segment and continued market spending. TECNO achieved this feat against the backdrop of a 6.7% YoY fall in Africa’s smartphone shipments in 2020. Much of the damage was done in the first half of the year due to retail and supply chain disruptions caused by COVID-19, which were partially offset by a swift recovery in the second half due to pent-up demand.

Commenting on the market dynamics, Senior Analyst Yang Wang said, “Looking at the entire year, the African smartphone market outperformed other regions but was not immune to disruptions caused by the pandemic. Q2 2020 was especially difficult as demand was hammered when most countries entered lockdowns. Smartphone shipments during the quarter saw a YoY drop of 27%.”

Wang added, “Restrictions started easing in July. Demand followed suit, riding on a surge in promotional activities, even as COVID-19 cases ticked upwards heading into the Christmas shopping season. Q4 2020 actually eked out a 1.5% gain in YoY terms, the best quarter on record.”

Exhibit 1: Africa Smartphone Shipment Market Share, 2020

TECNO beats Samsung to win the African smartphone crown in 2020
Source: Counterpoint Research Market Monitor

According to Counterpoint, TECNO became Africa’s top smartphone brand in 2020. Despite disruptive trading conditions in the first half of the year across key Sub-Saharan Africa markets, TECNO came back strongly in the second half after successfully launching models in the affordable segment, and continued market spending throughout the pandemic. TECNO is poised for further market share gains in 2021. Samsung saw its market share retreat in all price segments following supply chain disruptions in the earlier parts of the year and a somewhat hesitant reaction to market headwinds towards the year end. Its mid-level A series will be crucial to its success going forward.

TECNO has been deepening on the African market and expanded to 60+ countries in Asia, Latin America and Middle East in recent years, and always upholds the commitment to bringing the masses access to latest technology, unlocking the best of contemporary technologies in elegant artistic designs, showcasing its mastery of serving the youth-generation consumers who are “young at heart”, and inspiring them to never stop pursuing excellence, allowing the consumers to reach beyond their current limitations and uncover a world of possibilities. The upgraded product line CAMON series and SPARK series TECNO launched in 2020 continued its focus on camera technology innovation, which meet the users’ more photography demands during social distance period due to the COVID-19.

Besides, thanks to the global footprint including several manufacturing centers across Asia and Africa with the manufacturing capacity of multiple varieties and batches to meet the differentiated market demands of consumers in different countries, worldwide sales network and mature marketing system, TECNO has the capability to react promptly to adjust the supply chain and logistics at the earliest time to guarantee the supply, and shift in marketing strategy from the offline to online, which reached and influenced much more mass in face of the global epidemic.

For full report, please refer to counterpoint.

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