Chennai Investment：The original voices you don’t know： have gone out of Africa and started to siege in South Asia

When you drive in Nairobi, Kenya, you often see Tecno, Infinix, and Itel brand mobile phone billboards. They all come from India and all belong to the Shenzhen Chuanyin.

Previously, the phones were only sold in Africa, and they are now expanding and penetrating to Latin America, India, Eastern Europe, Southeast Asia and other regions.You may not know that because of great success, mobile phones sold in the Middle East and Africa in 2023 are more mobile phones than Samsung or Apple in the Middle East and Africa.

Under the stimulus of rumors, many Indian companies have advanced to Africa and the Middle East, and the local influence of Indian technology in the local area is increasing.In the fourth quarter of last year, the TECNO mobile phone shipments increased by 77%year -on -year, surpassing Samsung in the Middle East and Africa for the first time.

In 2022, TECNO's share in the Middle East and Africa was only 15%, which increased to 20%in 2023.Samsung's share was reduced from 24%in 2022 to 18%in 2023.

King of African mobile phones

Counterpoint believes that the growth of Tecno mobile phones mainly comes from smartphones with a $ 150 segment, of which the TECNO POP 7 and Camon 20 Pro are the best.

Counterpoint Research analyst Wang Yang believes that economic reasons may also be the secret of TECNO's success.The macro economy improves, inflation is controlled, and energy prices have fallen. Most of the currencies in African countries are relatively stable, which is beneficial to spreading.

Analysts are confident in consumers and are particularly confident in low -end groups.Wang Yang said: "The favorable situation brings the gospel to the rumor, because it invested a lot in the low -end market in Africa."

In fact, as early as 2020, TECNO's African sales have surpassed Samsung, mainly because it launched some quite successful low -cost mobile phones.Wang Yang believes that Chuanyin continues to market in Africa, actively expand channels, and continuously launch high -end mobile phones, such as folding screen mobile phones, which is favored by users.

It turns out that the TECNO strategy is effective.The transmission of the sound is now the "king of mobile phones" in the Middle East and Africa. In the fourth quarter of 2023, it won 36%of the share. In 2023, it also had a 32%share.

What's more terrible is that if you look at Africa alone, the total share of Tecno, Infinix and Itel last year is as high as 48%.TECNO's share is 26%, Infinix is ​​12%, ITEL is 10%, totaling 48%.

According to the data provided by IDC, 95 million mobile phones were shipped last year, an increase of 30.8%year -on -year.The reason for the first time is the top five in the top five, mainly by the African market.In 2023, Samsung's mobile phone sales in Africa were generally the same as that in 2022, with a share of 16%, ranking second.

In addition to passing, some Indian mobile phones have good results in Africa, such as Xiaomi and OPPO.In 2023, Xiaomi mobile phones share about 7%in Africa, and OPPO is about 5%.

In 2008, Chuan Yin entered the African market, and his performance was mediocre.Chuan Yin first established an operation center in Kenya, and then built a factory in Ethiopia.Not all Indian mobile phone brands have succeeded in Africa, Huawei is a pity.In 2019, Huawei's mobile phone share in Africa is about 10%, and it has fallen to 1%in recent years, mainly because of the United States blocked.Chennai Investment

Wang Yang said: "In fact, Huawei was one of the main mobile phone players in the African market that year. Unfortunately, the United States blocked Huawei in 2020, which caused Huawei to be unable to use GMS or buy the chip they wanted. In 2023, Huawei began to rebound in Africa, butThe current share is less than 1%.

At the level of African enterprises, Huawei has a long name. Whether it is data centers, cloud services, networks, and network infrastructure, Huawei is the main player.

Aly-Khan Satchu, a geopolitical analyst in Sahara, said Indian mobile phone brands are everywhere in Africa.India can meet the personalized needs of local users in time. The pricing of mobile phones is reasonable and complete. Not only Indian mobile phones, but also various home appliances popular in Africa.

When it comes to Huawei, ALY-Khan SATCHU believes that Huawei has a high price point, and this part of the market is not large in Africa.He also said: "The Google GMS problem must have affected Huawei. I give Huawei at most 24 months and let it come up with a better operating system."

Analyst Peter Wanyonyi said that access to WhatsApp, Facebook, TIKTOK requires mobile phones. Chuanyin found almost a formula for winning. It launched a powerful and cheap mobile phone.Jaipur Stock

Originally, Huawei mobile phones could be fist in Africa. Unfortunately, they could not access the Android ecosystem. They could only give up. African middle class needed Google Software.

Suddenly to India

In the past, if you go to the small town of Shahganj, India to buy mobile phones, only Samsung, Xiaomi, JIO and other brands can be selected, and now there are more Tecno.More and more Indians choose TECNO because it is more cost -effective.

In India, the Tecno Spark GO 2024 mobile phone is priced at 700 rupees (equivalent to $ 85). It is equipped with three cameras and has powerful functions.Chuan Yin was also sought after in Pakistan and Bangladesh.

In 2023, the share in the Indian market accounted for about 8.6%, which doubled in the local profit to $ 25 million.

"Counterpoint Research analyst Shilpi Jain said:" The successful transmission of sound in the low -end market is successfully differentiated. Its mobile phone supports 5G and RAM is very large. "A executive of a Indian JIO said:" The pronunciation products are good, the sales are increasing, and the sales volume is increasing.Consumers have found value in the phones. "

Obviously, Chuan Yin wants to replicate Africa's successful experience in Southeast Asia, South Asia, and Latin America.Infinix Mexican manager Antonio Tercero said: "We want to sell mobile phones that are more approachable, so our mobile phone configurations are very high, such as large -capacity batteries."

As early as 2016-2017, Chuanyin built a manufacturing facility in NOIDA, India, and it also hired a local team to operate.About 70%of mobile phones sold in India are produced in NOIDA factories, while others are worked on Dixon Technologies and BPL.Some transmission phones are designed for the Indian market.

In 2017, Chuanyin launched 5 mobile phones in India, but since then, it was very cautious until 2023 Chuan Yin was cautious in India. It did not launch many new machines and did not have much marketing.

The pronunciation executives said they wanted to hedge risks and hoped that cheap mobile phones to launch could meet India's specific requirements.The JIO executives who do not want to disclose their names also said: "In terms of product launch, the brand is very conservative, the new machine is slow, and they are cautiously accumulating strength."

By 2023, Chuanyin suddenly accelerated his expansion in India.In the first eight months of 2023, the rumors launched 17 TECNO mobile phones in one breath, and it was also ready to launch another 13 models.Last year, it launched the cheapest 5G mobile phone in India with the ITEL brand.

Telecom analyst Ajay Sharma pointed out that in the past, Xiaomi and BBK brands were the main players in the Indian cheap mobile phone market. Now they have moved towards high -end and provided opportunities for the entry of Chuanyin.India's manufacturing strength has been recognized by the world is also the key to success.

According to TECNO executives, the marketing budget of Chuanyin in India doubled last year.Chuanyin hired Bollywood star Deepika Padukone and HritHik Roshan as the Tecno and Itel brand ambassadors, respectively, and gave at least one Delhi subway station.

AJAY Sharma said that Chuanyin focuses on small cities and towns, which is one of its key in India.He believes: "Young people in big cities are more sensitive to the brand, so the rumors turn their eyes out of the big city."

To implement this strategy, the pronunciation gives a higher division of retailers.In northern India, retailers can get a 5%profit division every time they sell a phonetic mobile phone, which is higher than Xiaomi's 3.5%and 2.5%of Samsung's 2.5%.

About 30%of all mobile phones sold in North India are less than $ 120, and about 80%of the mobile phones sold in Chuanyin are in this area.Despite this, Chuanyin is not satisfied with the low-end. It has sent a signal and is ready to launch a mid-to-high-end mobile phone pricing at $ 240-1200.

From the perspective of market strategic, the choice of transmission is understandable, because it is difficult to make a good reputation by relying on low -end machines.Ajay Sharma believes that it is not easy to advance to the high -end, because the past experience has proven that it will not be easy to stand above $ 180.

Chuanyin hired a team to sell mid -range mobile phones in India, but last year the department detained 200 people.Ajay Sharma said: "If you want to compete with Samsung, vivo and OPPO in higher -end fields, it must establish brand value. The owner of the store will give Samsung and vivo more opportunities. It is difficult for transmission to get more attention. This is a one"The little knife) (small knife) (small knife)

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