Quantcast
Latest Stories

New player Lenovo Mobile eyes big chunk of smartphone market in PH

By

P770: For people who demand more “talk” time.

MANILA, Philippines—The Philippine smartphone market posted the highest growth in Southeast Asia in the first quarter of the year, at 402 percent, and it is seen to continue expanding in the coming years.

However, smartphones still account for only 30 percent of total mobile handset purchases in the country during the period, according to research firm GfK Asia. To industry players, this means only one thing—there remains a wide room for expansion.

This exactly is the opportunity that Lenovo Mobile, a newcomer in the smartphone space, is counting on when it came into the picture sometime last year.

Brand counts

Banking on the fast-growing market and its reputation as one of the world’s most reliable brands in laptops and personal computers, Lenovo is not a bit worried about coming late into the game even as major smartphone players are already well entrenched in the market.

“That’s the good thing about technology, it evolves and there’s always opportunity for new players,” says John Rojo, business unit head of Open Communications, the exclusive distributor of Lenovo Mobile.

During its first six months in the Philippines, Lenovo Mobile managed to carve a 3-percent share of the market. Rojo says the goal is to grow its market share to a double-digit figure this year, eventually becoming a strong third or fourth in the market.

“We believe Lenovo Mobile is perfectly situated to take advantage of the explosive growth in the smartphone business because we offer best-in-value devices to our target consumers. Our focus is on the greater majority of consumers who also desire and deserve a smartphone device that is both affordable and reliable in order to assist them in running their daily business.”

John Rojo

Rojo admits it may be too ambitious to target the first two slots that are currently held by Samsung and Nokia. However, he says, the next two slots are wide open for the taking.

“There is no clear third or fourth today, and that’s what we are targeting now.”

Strategies

 

Lenovo Mobile, according to Rojo, intends to achieve its goal through the introduction of new devices, expanding its retail network and enhancing brand awareness.

When it came into the market last year, Lenovo introduced its entry level Android phone that sells for less than P5,000 and a few others. The products earned for it a 3-percent share of the market last year.

This year, Lenovo Mobile turned more aggressive. In the first quarter alone, it introduced five new models, each targeting a specific segment of the market: The IdealPhone S720 is for the multimedia workhorse who constantly use their smartphones to view, edit and share multimedia content; the S890, which was optimized for the entertainment of the “digital native” generation; the IdealPhone P770 for business people who demand more talk time, security, reliability and more handset options; the A800, an all-around entry level smartphone that strikes a balance between performance and price; and the IdealPhone 690, another entry-level smartphone that is the first in its class to break the 1GHz barrier.

The prices of Lenovo phones range from P4,999 to about P20,000.

Entry level smartphone A 800

In the second quarter, three more models were added to the list. Lenovo’s flagship model, the IdealPhone K900, first introduced at the Consumer Electronics Show in Las Vegas last January, and two other models were launched on Thursday.

The flagship model is a super-slim premium smartphone that runs on an Intel Atom processor and features a 5.5-inch screen, a 1080×1920 resolution, 2 GB of RAM, a 13-megapixel Sony Exmor BSI camera at the back and a 2-megapixel shooter at the front. Its all-metal design makes it look classy and solid.

The two other phones launched Thursday were the A390 and A706.

Brand ambassador

To further drum up the Philippine market’s interest in Lenovo phones, the company will soon bring its brand ambassador to the country—NBA superstar Kobe Bryant.

Rojo refuses to discuss the details of Bryant’s visit to the Philippines, but he says the execution of the Bryant-centered campaign will be localized and distinct to the Philippines.

And when the market starts demanding for more Lenovo phones, Rojo says, the company will be ready to serve. Lenovo Mobile, through Open Communications, has been expanding its retail network.

At present, Lenovo phones are available through a partnership with Smart Communications, which bundles the handsets in its subscription plans, and are also sold by independent retail outlets.

Ideal Phone S720 for multimedia workhorse

Focusing on its retail network, Lenovo Mobile is planning to put up retail kiosks and is considering establishing its own concept stores.

“About 70 percent of phone sales are done in the open market, and only 30 percent through operators. Thus, we have to strengthen our presence in the open market,” he says, adding that a special push is underway for the Visayas and Mindanao markets.

Target markets

Lenovo Mobile is targeting the mid-price range market, or the people who wouldn’t mind paying a little bit more for quality products.

“We can’t compete in the very low price range market which is dominated by local makers. We are focusing on those who appreciate the value of their phones and understand that they can get very good features at reasonable prices,” Rojo says.

Lenovo, he says, appeals to the young, those in the 18- to 30-year-old bracket. It is also counting on that segment of the market that is migrating from feature phones to Android phones, and existing smartphone users who are shifting to better alternatives at prices easy on the pocket.


Follow us on Facebook Follow on Twitter Follow on Twitter

Other Stories:





Recent Stories:

DoH denies Filipino nurse no longer positive for MERS virus 40 mins elapsed EXO postpones release of mini album ‘Overdose’ 42 mins elapsed Suspected militant, son killed in Thailand’s south 1 hour elapsed Iran mother spares life of son’s killer after campaign 1 hour elapsed Japan to hunt fewer whales in Pacific this season 1 hour elapsed Deal brings no immediate change to eastern Ukraine 1 hour elapsed China says one-fifth of its farmland is polluted 1 hour elapsed Pakistani madrassa names library after Bin Laden 1 hour elapsed
Complete stories on our Digital Edition newsstand for tablets, netbooks and mobile phones; 14-issue free trial. About to step out? Get breaking alerts on your mobile.phone. Text ON INQ BREAKING to 4467, for Globe, Smart and Sun subscribers in the Philippines.

  • Jose Pepe

    Don’t buy this Chinese crap. My Lenovo A60, just 1 year and 3 months old is now only use for texting. Dual-sim is not functional, call feature is broken, and technical issues with storage crops up. I tell you, this is not a good phone.

  • http://www.facebook.com/brix.villapando Brix Villapando

    MyPhone hindi yata chinese at better than Cherry Mobile sa tingin ko….

  • CmdrAdobo

    Cherry mobile is nice. A pinoy company.

    • Count du Fount de Cakes

      Yep… famous for re-branding chinese products. hehehe

  • Count du Fount de Cakes

    I’m using the Lenovo p770 phone… It’s cheap and I’m not rich enough to buy the more expesive ones. The samsung equivalent is around 22k with a weaker battery life. Its almost half the price so I consider it a bargain. hehehe

  • Wakats

    I won’t patronize any chinese mobile phone brands unless they let go of our Panatag Shoal.

    To show our displeasure to the chinese bullies, boycott all chinese products…..

    • Count du Fount de Cakes

      That might be a patriotic thing to do but we cannot escape the fact that almost everything we use today is made from China. Even Samsung and Iphone components are made in China. The components of the keyboard you are typing on are also made in China. If you’d be true to your word, you’d better be prepared to go back to living in the caves….

      • Wakats

        You’re right but at least, they carry non-chinese brands. What I’m advocating is the boycott of all smart phones with chinese brand like lenovo and other products like maling, etc.

      • Count du Fount de Cakes

        Nonetheless, you’ll still be supporting china in an indirect manner.

  • http://www.facebook.com/noelsantos37 pathfinder093

    ..chinese ang may-ari..



Copyright © 2014,
.
To subscribe to the Philippine Daily Inquirer newspaper in the Philippines, call +63 2 896-6000 for Metro Manila and Metro Cebu or email your subscription request here.
Factual errors? Contact the Philippine Daily Inquirer's day desk. Believe this article violates journalistic ethics? Contact the Inquirer's Reader's Advocate. Or write The Readers' Advocate:
c/o Philippine Daily Inquirer Chino Roces Avenue corner Yague and Mascardo Streets, Makati City, Metro Manila, Philippines Or fax nos. +63 2 8974793 to 94
Advertisement Advertisement
  1. Netizens seethe over Aquino’s ‘sacrifice’ message
  2. Did Deniece Cornejo lambast Vhong Navarro on social media?
  3. Facebook rolls out ‘nearby friends’ feature
  4. Mommy Dionisia sings ‘Riking Bull,’sends netizens ablaze
  5. Taylor Swift tries video blogging, crashes into fan’s bridal shower
  6. Filipinos #PrayForSouthKorea
  7. Nokia recalls 30,000 chargers for Lumia 2520 tablet
  8. Tech company: Change passwords or suffer ‘Heartbleed’
  9. Mommy Dionisia Pacquiao scores, takes over social media
  10. DOF: Tagaytay, QC best at handling funds
  1. Did Deniece Cornejo lambast Vhong Navarro on social media?
  2. Mommy Dionisia Pacquiao scores, takes over social media
  3. Nude and so dangerous
  4. Mommy Dionisia sings ‘Riking Bull,’sends netizens ablaze
  5. Memes flourish after Pacquiao victory
  6. Netizens react to Pacquiao’s victory over Bradley
  7. IT technician found guilty of defrauding firm of P130,000
  8. Philippines may watch ‘blood moon’ online
  9. Samsung flagship smartphone goes on sale worldwide
  10. Heartbleed bug and what you need to know
  1. #RejectedBbPilipinas2014Questions flood Twitter
  2. Did Deniece Cornejo lambast Vhong Navarro on social media?
  3. Netizens fall in love with Crimea prosecutor Natalia Poklonskaya
  4. Mommy Dionisia Pacquiao scores, takes over social media
  5. Nude and so dangerous
  6. Mommy Dionisia sings ‘Riking Bull,’sends netizens ablaze
  7. Why didn’t missing jet passengers use their cellphones?
  8. Russia tries to curb Crimean prosecutor’s Internet fame
  9. Memes flourish after Pacquiao victory
  10. Netizens thank Capa for Lee arrest

News

  • Suspected militant, son killed in Thailand’s south
  • Iran mother spares life of son’s killer after campaign
  • Japan to hunt fewer whales in Pacific this season
  • Deal brings no immediate change to eastern Ukraine
  • China says one-fifth of its farmland is polluted
  • Sports

  • Pacquiao shorts in Bradley fight sold for P1.7M in LA auction
  • Ryu pitches Dodgers past Giants
  • Alonso sets the pace in Chinese GP practice
  • Heat seek Three-peat but Spurs, Pacers top seeds
  • Can Spurs get back at Heat? Can they survive West?
  • Lifestyle

  • Levine designs womenswear with help from fiancee
  • Gabriel Garcia Marquez, Nobel laureate, dies at 87
  • Ford Mustang turns 50 atop Empire State Building
  • Pro visual artists, lensmen to judge Pagcor’s photo contest
  • ‘Labahita a la bacalao’
  • Entertainment

  • EXO postpones release of mini album ‘Overdose’
  • ‘X-men’ filmmaker slams ‘fabricated’ sex attack claims
  • Singer Chris Brown’s bodyguard on trial in DC
  • Whoopi Goldberg debuts as marijuana columnist
  • ‘X-men’ director accused of sex assault on teen boy
  • Business

  • Italy sells luxury state cars on eBay
  • Asian shares mostly up in quiet trade
  • Dollar up in Asia on US jobs data, Ukraine deal
  • Barbie doll has a problem
  • Oil prices mixed ahead of long Easter weekend
  • Technology

  • Nokia recalls 30,000 chargers for Lumia 2520 tablet
  • Facebook rolls out ‘nearby friends’ feature
  • Netizens seethe over Aquino’s ‘sacrifice’ message
  • Filipinos #PrayForSouthKorea
  • Taylor Swift tries video blogging, crashes into fan’s bridal shower
  • Opinion

  • Editorial cartoon, April 17, 2014
  • A humbler Church
  • Deepest darkness
  • ‘Agnihotra’ for Earth’s health
  • It’s the Holy Week, time to think of others
  • Global Nation

  • DoH denies Filipino nurse no longer positive for MERS virus
  • WHO warns vs spread of MERS-Cov, urges vigilance in taking precautions
  • Last call for nominations to ’14 Presidential Awards
  • San Francisco business coalition slams proposed tax on sugary drinks
  • A ‘time-travel’ production of ‘Les Miserable’ at Stanford
  • Advertisement
    Marketplace