Magazine article African Business

Samsung Set to Make a Clean Sweep in Africa: Nokia's Decade-Old Stranglehold on the African Mobile Market Is under Severe Pressure from Samsung. by Customising Its Products, Such as Television Sets, to African Conditions, the Korean Electronics Giant Seems Set to Sweep All before It over the Next Few Years. Francis L. Sackitey Reports

Magazine article African Business

Samsung Set to Make a Clean Sweep in Africa: Nokia's Decade-Old Stranglehold on the African Mobile Market Is under Severe Pressure from Samsung. by Customising Its Products, Such as Television Sets, to African Conditions, the Korean Electronics Giant Seems Set to Sweep All before It over the Next Few Years. Francis L. Sackitey Reports

Article excerpt

AFRICA HAS ALWAYS BEEN A HOT MAR-ket for electronic gadgets such as mobile phones, computers, cameras, refrigerators, microwaves, television sets. But the mobile phone remains the most popular electronic gadget in Africa and the African love affair with this device shows no signs of cooling.

Nokia used to hold sway in the African mobile market but now Samsung has taken the lead with its new strategy of ruling not only Africa but the whole world. For the third quarter in a row, Samsung has beaten Nokia, which has held the title as the number one seller for 14 straight years in the world market. Recent statistics show that Samsung holds a staggering 23.7% of the world market, 3.6% more than its share in 2011. In the third quarter of 2012, it Sold 105.4M phones, which is a 21% increase over its sales in the third quarter of 2011.

In terms of smartphones, Samsung held 31.3% of the global market, which was more than double that of Apple's 15%. Clearly Samsung sees a noticeable increase in its hold on the market due to the incredible success of the Galaxy line of smart phones. Nokia, which holds the second place, sold 82.9m phones in the third quarter in 2012, which was a drop of 22.2%.

Africa is Samsung's second-largest and fastest mobile phone market in the world after China, having grown from a base of 90m in 2005 to a current estimate of 45om handsets. Launching the new Samsung Galaxy Note II and Samsung Galaxy Camera in Cape Town, Samsung Electronics Africa vice- president and COO, George Ferreira, said that Samsung mobile phone penetration was 65% with a 500% growth rate in the continent.

Samsung Electronics Co Ltd, a global leader in semiconductor, telecommunication, digital media and digital convergence technologies, posted 2011 consolidated sales of $14.3.1bn. Employing approximately 206,000 people in 197 offices across 72 countries, the company operates two separate organisations to coordinate its nine independent business units: Digital Media & Communications and Device Solutions. Samsung Electronics was named the world's most sustainable technology company in the 2011 Dow Jones Sustain-ability Index.

The company's products in Africa range from smartphones, Galaxy Note II 8r III, Notebook PCs and digital cameras to refrigerators, microwaves, and Satellite LED TVs.

Responding to consumer needs

Specifically designed for the African market, the Samsung Free Satellite LED TV allows consumers to enjoy over 30 English-language channels and more than 27 French channels at no cost to them. The television set is also fitted with a built-in satellite tuner that can be connected directly to the satellite dish without the need for a set-top box.

"Through a deep understanding of our consumer needs and wants, and the market trends that have become apparent, we designed this tailor-made solution to the requirements of our African consumers," said Vishwas Saxena, business leader for consumer electronics at Samsung.

"It has a triple protector technology and withstands the impact of humidity, lightning and electricity surge through reduced power dependency. These TVs are also installed by professionally trained and accredited installers who understand what it means for our consumers to enjoy an uninterrupted TV experience," Saxena continued.

Fully aware of the digital broadcast migration which is scheduled to hit the world by 2015, Samsung has prepared to get their satellite televisions ready to meet the market demand. According to an article by Peter Galace titled, 'Prospects in the Africa Satellite Market', "today only one out of three homes in Africa has a TV set, but this number is expected to grow significantly in the coming years. The digital migration in Africa is already being driven by satellite, and the markets are ready and eager for assistance."

Digital migration became a reality at the 2006 Regional Radio communication Conference (RRC-06) in Geneva, where it was resolved that the digital migration process should be completed by 2015. …

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