Electronics

From Q1 in 2019 to Q1 in 2021, the shipments of Xiaomi, OPPO, vivo, Realme and OnePlus smartphones in Europe increased by 286%. Can they maintain such an amazing growth in the future?

Central and Eastern Europe are more suitable for the development of Chinese smartphone manufacturers. Consumers in these areas are more price sensitive, which bodes well for Chinese manufacturers who value affordable prices. They are not so dominated by operators, and consumers are more likely to find the best value-for-money products online. This is very beneficial to manufacturers who initially lacked cooperative relationships with local suppliers but already have good online channels.

However, in Western Europe, consumers are less obsessed with value-for-money devices due to stronger purchasing power, and they are more likely to insist on choosing products they are more familiar with, such as Samsung and Apple.

Samsung and Apple have also achieved growth in Western Europe in the past few years, and the growth of these five Chinese "latecomers" is achieved in the context of Huawei's strategic retreat. Two years ago, Huawei once occupied nearly a quarter of the Western European market, but now it only accounts for 2%.

The question is, when Huawei completely withdraws from the market, can Chinese smartphone manufacturers continue to grow, and can they compete with companies such as Samsung and Apple in Western Europe for a long time?

The brand awareness of Chinese smartphone manufacturers is relatively low, especially in Western Europe. They need to have heavy flagship equipment or breakthrough innovations. To achieve this, strong funds, a large amount of research and development and first-class marketing are indispensable.