Judging by the latest data, Samsung and Apple goes to unprecedented measures in order to seize the share of LG in the South Korean smartphone market. Before the latter announced the closure of the relevant business, she occupied a large niche in the local retail.
Now the leading positions in the South Korean market Samsung and Apple organized trade-in, thanks to which you can exchange the LG smartphone with a surcharge on the model from one or another manufacturer. So, Samsung picks up LG smartphones when exchanging the flagships of the Galaxy S21 series, Galaxy Z Fold 2 and Galaxy Z Flip 5G. Of course, the cost of “deduction” depends on the model and state of the smartphone. Moreover, Samsung additionally offers a subsidy for the purchase of own new products in the amount of $ 135.
Apple uses an almost similar scheme and not only exchanges old LG to the new iPhone until September 25, but also offers subsidy of the same size to buyers iPhone 12 and iPhone 12 mini. It is worth noting that the company first offers subsidies for replacing someone else’s products.
Both manufacturers are available only in South Korea. According to marketing analysts, the struggle of companies goes for the share of the South Korean market, on which LG, leaving on July 31, still occupies a niche more than 10%. The company has long tried to preserve the profitability of the production of smartphones, but she failed. At first she left the Chinese market, and now leaves the global, including local.
According to the Counterpoint Research, LG agency is the third largest market share by the manufacturer of smartphones in South Korea. Now the company owns about 13% of the market, 65% – Samsung, and 20% – Apple. The remaining 2% falls on other companies.
Although Samsung and Apple are already trying to take place LG, there are similar ambitions from other companies. It is known that Xiaomi intends to produce high-quality mid-level smartphones for the Korean market, since they have significant demand. According to Counterpoint Research, in 2019, in the Korean market, 34% of users owned smartphones for 400 or less dollars, and in 2020 this figure rose to 41%. Neither Samsung flagships nor Apple smartphones to this huge segment do not belong.