Smartphone shipments in Vietnam increased 57 per cent to 11.6 million units last year and accounted for 41 per cent of total handsets shipped.
According to an IDC report, smartphone sales are expected to surpass feature phones this year, which represented more than 63 per cent of total shipments back in 2013. Overall handset shipments rose 13 per cent to 28.7 million units in 2014.
“Rapidly declining smartphone prices has led to the rise of smartphone penetration rates in Vietnam,” said Võ Lê Tâm Thanh, a senior analyst at IDC. “The low-cost segment has been the main driver, with six out of ten smartphones priced below $150.”
Samsung remained on top, although its market share has dropped from 54 per cent in 2012 to 26 per cent last year (see chart below, click to enlarge). Microsoft/Nokia, on the other hand, continued to grow, with its share climbing from 16 per cent in 2013 to 24 per cent in 2014.
“Microsoft continues to defy global trends with Vietnam where the company has established a stronghold within the region,” said Daniel Pang, senior research manager for devices at IDC ASEAN. “However, most of its shipments are targeted towards budget consumers, as the lucrative premium segment is still dominated by Apple and Samsung.”
Thanh noted that while the Vietnamese are more resistant to the phablet craze than other markets, IDC continues to see growing interest in larger screen sizes. This trend is helped by both declining prices and higher interest in internet browsing and mobile gaming on larger screen phones.