Windows Phone Up-and-Coming Challenger to Android for Vietnam Smartphone Market
A total of 5.8 million mobile phones were shipped to Vietnam in the second
quarter of 2013, according to IDC's Vietnam Quarterly Mobile Phone Tracker.
Aggressive shipments of low-cost smartphones caused feature phone shipments to
contract 25.8% quarter-on-quarter (QoQ).
As a result, smartphone shipments accounted for 32.7% of total mobile phone shipments in Q2 2013, a noticeable increase from only 14.7% in Q2 2012.
While a number of flagship smartphone models introduced last quarter gave the Vietnam smartphone market a small boost, it was primarily mass shipments of budget smartphones that made the biggest contribution.
"Homegrown brands have proved a key factor to sparking demand for smartphones in both urban and rural areas of Vietnam, especially for sub-US$100 handsets," says Võ Lê Tâm Thanh, Senior Market Analyst, Mobile Devices at IDC Vietnam.
"We expect these local vendors to continue to do very well outside of tier 1 cities, but they will certainly run into difficulties competing with strong international brands like Nokia and Samsung which are currently also focused on the entry-level smartphone market," he adds.
Windows Phone 8 made strong gains in the Vietnamese smartphone market, by posting a growth rate in Q2 2013 of 119% compared to the previous quarter. While this growth comes off a small base compared to Android, Windows Phone has risen from 6% OS share in Q2 2012 to 15% OS share in Q2 2013, largely from the local strength of the Nokia brand but also Microsoft's investment in the local developer community.
Daniel Pang, ASEAN Research Manager for Client Devices at IDC Asia/Pacific comments, "The strong uptake of Nokia's Lumia 520 has really helped Windows Phone 8 to drive Vietnam's smartphone market. If Nokia can maintain a strong emerging market portfolio, it may be able to continue to differentiate itself from the mass of low-cost vendors."