Tuesday, 17 November 2020 06:47

realme becomes fastest brand to hit 50m unit shipments: Counterpoint

The realme C11 which was released in Australia recently. The realme C11 which was released in Australia recently. Supplied

The Chinese realme smartphone brand has recorded 132% growth quarter-on-quarter in the third quarter, to become the fastest to reach 50 million shipments, the technology analyst firm Counterpoint Research says, quoting figures from its Market Monitor service.

The firm said that top OEMs like Huawei, Apple, OPPO, vivo and LG had seen shipments decline in the quarter, but realme was one of a handful that had defied the global trend.

realme had 45% year-on-year growth, Counterpoint said, adding that this was a bounce back from the pall of gloom cast by the pandemic, and a remarkable show of resilience.

"In India, realme grew to become one of the top five smartphone brands in 1Q 2019. It entered the Southeast Asia market in 4Q 2018 and achieved the top five brand ranking in several countries within two quarters after launch; in European countries such as Spain, realme entered the top five list within one month of launching," Counterpoint said.

Counterpoint research analyst Flora Tang said: “Inevitably, the COVID-19 pandemic has caused negative effects to the global smartphone industry, such as supply chain disruption, delayed market demand, and reduced consumer confidence.

realme chart counterpoint

"During this period, we expect consumers to shift more towards the mid and budget smartphone segments, opting for value-for-money products. This is the price range where realme has a clear competitive edge with strong product offerings.

"According to our observations, realme continued the aggressive product launch plan in 2020 despite the pandemic’s shadow, bringing fresh air to the market with the realme 6/6 Pro/6i series, realme X3/X3 SuperZoom, the new Narzo series, and various models within the realme C series.

"These models, with premium features such as multiple cameras, AI-capable chipsets, long battery life, and stylish form factors, have received positive feedback among consumers from India, and various European and SEA countries including Spain, UK, Italy, France, Poland, Indonesia, the Philippines, Malaysia, Thailand, Vietnam, and more.

"In the mature market of China, realme was the rising star, releasing four budget 5G models during 3Q, namely realme V5 5G, realme X7 5G, realme X7 Pro 5G and realme V3 5G. These models gained immediate market traction, driving up sales of realme in China by 90% from the last quarter.

"With the launch of realme V3 5G, realme also brought down the price threshold of 5G phones in China to around US$150 (A$205). By the end of September, realme had built a complete 5G portfolio covering products from entry-level to the premium segment, and the share of 5G smartphones in realme’s China sales has exceeded 90%, the highest among the major manufacturers.

realme two 3q 2020

"realme’s 5G smartphone offerings, especially the flagship X50/X50 Pro 5G, also gained traction in other mature markets such as Europe and Australia.”

Counterpoint associate director Tarun Pathak added, “Apart from the strong product portfolio, the efficiency of realme in tackling the rapid market changes is also a key success factor. realme is a young brand, and thus we expect its organisation and decision-making flow to be more immediate and flexible than the traditional electronics giants.

"During the difficult pandemic period, consumers shifted to online purchase, and realme, with its online-centric expertise, acted fast to cater to consumers’ needs. It offered after-care services in various markets, including extended product warranties, delivery within 7 to 14 days, contactless delivery, and online customer centres.

"In some SEA countries, realme also provided live streaming e-commerce training to its sales representatives, encouraging them to try this novel way of conducting business while staying safe during the lockdown. realme has been helping the emerging markets to develop towards a more digital economy. And its efforts paid off with the strong growth in Q3.”

Pathak said realme was expanding towards an AIoT (AI+IoT) ecosystem with the “1+4+N” products strategy (1 core smartphone + 4 smart hubs + N smart gadgets and accessories).

"It has been enriching the ecosystem by releasing competitive smart products, such as realme smart TVs, True Wireless Stereo earbuds, the realme Watch, a realme Smart Cam 360°, and more.

"In 3Q 2020, shipments of realme TWS products in India grew 45% quarter-on-quarter to take a 12% market share, and rank third among the country’s top brands list. Both realme Buds Q and realme Buds Air Neo entered India’s top five best-selling TWS models in Q3."

Graphics courtesy Counterpoint Research

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Sam Varghese has been writing for iTWire since 2006, a year after the site came into existence. For nearly a decade thereafter, he wrote mostly about free and open source software, based on his own use of this genre of software. Since May 2016, he has been writing across many areas of technology. He has been a journalist for nearly 40 years in India (Indian Express and Deccan Herald), the UAE (Khaleej Times) and Australia (Daily Commercial News (now defunct) and The Age). His personal blog is titled Irregular Expression.

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