Was HTC smartphone the biggest business failure of 2012?
Back in 2011, Taiwan’s HTC was leading in smartphone market share, but last year in 2012 Samsung became a juggernaut – thanks to its Galaxy SIII and other Android phones. HTC smartphone sales shrank by 36 percent, revenues were down 61% from October of last year. So what went wrong with HTC?
Samsung now dominates smartphone market share worldwide, over the past 12 months, Samsung revenues were $173 billion. HTC continued to lose market share to Apple Inc. and Samsung Electronics Co. Investors and consumers are losing confidence and are dumping HTC. How did HTC lose its edge to Samsung?
HTC’s slogan : “quietly brilliant” Why so so quiet?
1) Over the past 12 months, Samsung revenues were $173 billion the main reason was the size of Samsung marketing budget – Samsung spent 4 to 6 times more in advertising than HTC.
Once-trendsetting company, HTC could have afforded to spend more on marketing.
2) On the other hand Samsung was selling its Galaxy SIII on all four major carriers, AT&T, T-Mobile, Sprint and Verizon. Look what HTC did with its “One X” – only on AT&T. the One X, is only available on AT&T.
T-Mobile and Sprint had rather weird version of the “One X”, called “One S” and “One V” – not as good as real one, Verizon passed on the HTC One series altogether.
An exclusive with one carrier “AT&T” on HTC’s top phone, the One X – Big Mistake!