Samsung abandons laptops in SA

2014-05-08 08:49
Windows 8 is seen on a Samsung hybrid device. (Duncan Alfreds, News24)

Windows 8 is seen on a Samsung hybrid device. (Duncan Alfreds, News24)

Multimedia   ·   User Galleries   ·   News in Pictures Send us your pictures  ·  Send us your stories

Cape Town - Samsung has announced that it will no longer supply laptops in South Africa due to a shift in consumer demand.

"Samsung has announced that due to a shift in consumer trends, it will no longer be supplying notebooks in the South African region, effective April 2014. The decision was taken as the company has moved its focus toward solutions that are aligned with the evolution of the technology market and the changing end user demands," the electronics giant announced.

According to data from research organisation the IDC, the notebook market in SA declined by 18.8%, mirroring a massive 31.6% in East Africa.

"Huge volumes of low-cost mini notebooks were shipped to East Africa during the corresponding period of 2013, and these devices are no longer in production," said James Mutua, a research analyst at IDC East Africa.

The company added that the change was indicative of a number of factors.

New strategy

"The disappearance of mini notebooks from the market combined with the impact of VAT, inventory issues, shifts in vendor strategies, and channel realignment initiatives to negatively impact the buoyancy of East Africa's PC shipments in Q1 2014," said Mutua.

Most research indicates that particularly in developing countries like SA, consumers are shifting to smart mobile devices like tablets at the expense of traditional PCs.

Samsung said that its new strategy was more focused on its tablet offerings.

"Changes in the mobile market offer us the opportunity refine our product offering. Samsung is well positioned to deliver innovative solutions that meet the needs of South Africans, with tablet devices such as the Galaxy NotePro 12.2 inch," said Craige Fleischer, director of Mobile Communications at Samsung Electronics South Africa.


Samsung is shifting its focus to tablets in SA. (Duncan Alfreds, News24)

While Samsung has a wide range of tablets, it has not been able to offer them at a price point of R1 000.

In SA, the cheapest Android tablet is the Proline R718DC with an 18cm display that retails for around R900, though it's significantly underpowered compared to Samsung tablets.

Growth

Research from Gartner indicated that while Android tablets were on a massive growth trajectory, hardware vendors had to focus on customer experience to build brand loyalty.

"As the Android tablet market becomes highly commoditised, in 2014, it will be critical for vendors to focus on device experience and meaningful technology and ecosystem value - beyond just hardware and cost - to ensure brand loyalty and improved margins," said Roberta Cozza, research director at Gartner.

Gartner's research also showed that tablet growth was concentrated in developing countries with a 145% increase, compared to 31% in developed economies.


- Follow Duncan on Twitter
- News24
Read more on:    samsung  |  computing  |  mobile
SHARE:

Read News24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
4 comments
Add your comment
Comment 0 characters remaining
 

Inside News24

 
/News
 

Joburg hot spots for cocktails, craft beer, tapas and wine!

It’s the season to be jolly – so we’ve rounded up some new Joburg hot spots!

 
 

I love summer.24

The craziest deaths of 2014
How to make this a sensual, sexy summer!
This is what South Africans Googled in 2014!
This hilarious song is your new holiday anthem

Jobs in Cape Town [change area]

Property [change area]

Travel - Look, Book, Go!

Kalahari.com - shop online today

2DAYS ONLY – 30% off Appliances

Coffee makers, blenders, fans, juicers and more. T&Cs apply. Shop now!

2 DAYS ONLY – 40% off books

Get 40% off when you buy 2 books. For two days only! T&Cs apply. Buy now!

Up to 50% off on outdoor gear

Save on chairs, blankets, cooler bags, umbrellas and more. Shop now!

Save on Samsung

Cameras, mobile phones, TVs, Tablets and more. While stocks last. Shop now!

Grand Theft Auto 5

Now available on PS4, Xbox One and PC from R649. Buy now!

OLX Free Classifieds [change area]

Samsung Galaxy s4

Mobile, Cell Phones in South Africa, Western Cape, Cape Town. Date October 24

Best bargain in big bay

Real Estate, Houses - Apartments for Sale in South Africa, Western Cape, Cape Town. Date October 25

VW Golf 6, 1.6 Trendline (Excellent condition)

Vehicles, Cars in South Africa, Western Cape, Cape Town. Date October 25

Horoscopes
Aquarius
Aquarius

You may be emotionally defensive or reserved today. You need to step up today as there may be extra responsibilities to deal with....read more

There are new stories on the homepage. Click here to see them.
 
English
Afrikaans
isiZulu

Hello 

Create Profile

Creating your profile will enable you to submit photos and stories to get published on News24.


Please provide a username for your profile page:

This username must be unique, cannot be edited and will be used in the URL to your profile page across the entire 24.com network.

Settings

Location Settings

News24 allows you to edit the display of certain components based on a location. If you wish to personalise the page based on your preferences, please select a location for each component and click "Submit" in order for the changes to take affect.








Facebook Sign-In

Hi News addict,

Join the News24 Community to be involved in breaking the news.

Log in with Facebook to comment and personalise news, weather and listings.