Apple Insider reports that only one third of Samsung sales are in the same class as Apple’s iPhone.
The Bloomberg report stated that “the company, which overtook Apple Inc. (AAPL) in smartphones, has used sales of cheaper handsets in emerging markets to stoke earnings in mobiles as growth in high-end devices slows amid market saturation.”
As its high-end sales stagnates, Samsung has chosen to expand its low-end sales to boost overall smartphone sales.
In stark contrast, Apple’s iPhone sales were up 26 percent over the year ago quarter, setting a new volume record for the September quarter. All of Apple’s smartphones are “high end,” unlike the outdated, 2008-era Galaxy Y model Strategy Analytics Executive Director Neil Mawston cited as an example of the “mass-market models” he said were helping to “lift” Samsung’s volumes.
That report described Samsung’s flagship Galaxy S4 as having “sluggish sales this year,” and referenced the firm’s “the low-end model-driven business strategy.” The company originally projected that the Galaxy S4 would sell 100 million units a year on its own, before sales collapsed this spring shortly after its launch.
It is important to understand that Samsung targets different segments of the market. For a better picture of the market, the sales of Samsung’s high-end model should be used to compare with iPhone sales.
Samsung’s current sales and future plans consistently describe that only around one third of Samsung’s “smartphones” are actually comparable to Apple’s current iPhones, albeit being a generation behind.