Due to changing customer behavior, with needs on advanced portable multifunction devices such as mobile phones that conform to their modern lifestyles, mobile phone makers are trying to respond to the needs of consumers by developing their mobile phone devices.
Apparently, Smartphones that are now popular with consumers will largely boost overall sales of mobile phones in 2011. Many new smartphone models will likely be launched and manufacturers are beginning to focus on the low-end market. KResearch expects that smartphone sales will show their highest growth in 2011, with a market value of around THB23.7-25.0 billion, rising 31.7-38.8 percent, with sales of 1.8-1.9 million units.
Currently, feature phones occupy the largest market share and it is expected that the competition between feature phones and smartphones will intensify in 2011, thus likely resulting in a decrease in the overall market shares of feature phones. Feature phones have a certain marketing flexibility in that they are designed to appeal to specific customer preferences, responding to certain segments effectively, as well as having prices that are lower than smartphones with similar capabilities. As a result, those features should help maintain satisfactory growth of the feature phone market.
KResearch expects that the feature phone market in 2011 will generate market turnover of around THB38.2-38.7 billion, rising 6.4-7.8 percent YoY, with sales of 8.5-8.6 million units. Meanwhile, sales of other mobile phones, such as PDA phones will decrease because smartphones are being developed to have PDA features, so smartphones will likely supplant PDA phones in the future.
Overall, KResearch expects that the market turnover on mobile phones in 2011 will be around THB 68.7-70.5 billion, rising 13.3-16.2 percent in value, YoY, with sales of 10.8-11.0 million units, 10.9-13.1 percent higher in volume
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