Connect with us

Featured

Huawei ships 100m phones

Published

on

Huawei has announced that it has shipped over 100 million smartphones worldwide in 2015, position it as one of the top consumer device companies in the world.

Over the last five years, shipments of Huawei’s smartphones have increased more than 3,000 percent, from 3 million in 2010 to 100 million in 2015. This year’s performance represents an important achievement as Huawei continues to grow and launch several global flagship devices each year that are focused on the premium market and integrate the best in creativity, design, fashion, photography and performance.

“Huawei’s success is not accidental. These results directly reflect the consumer demand for our products, and we’re proud to deliver premium smartphone devices to people around the world,” said  Kevin Ho,

President, Huawei Consumer Business Group Handset product line. “The smartphone landscape is constantly changing as people look for devices that let them extend the boundaries of what’s possible. We look forward to continued growth in 2016 as we expand our product portfolio and partner with some of the world’s top brands to bring the best devices to market.”

In 2015 Huawei recorded a 30 percent increase in its mid-to-high-end smartphone shipments, including:

  • Through September, 4 million P8 smartphone shipments, 7.5 million P7 smartphone shipments, and 6.5 million Mate 7 smartphone shipments.
  • The launch of Huawei’s Mate S smartphone, which was sold in 48 countries across Asia and Europe and Europe.
  • Huawei’s Nexus 6P smartphone made in collaboration with Google, which made headway in North America.
  • The Mate 8 smartphone, which was launched in China in November.

This success is a result of Huawei’s extensive research and development efforts, diversification across markets, omni-channel strategy and the brand loyalty inspired by its products.

Research and Development:

Huawei’s expansive R&D efforts set the standard for the most unique and innovative consumer devices to hit the market in 2014. Last year Huawei invested 14.2 percent ($6.3 billion USD) of its annual revenue in R&D while securing 76,687 patents, 18,000 of which apply to Huawei devices.

Huawei has established 16 research laboratories in various countries including China, Germany, Sweden, Russia and India. Each R&D center is chosen for a strategic purpose. For example, Huawei’s research institute in Japan focuses on materials and technology, utilizing Japan’s spirit of pursuing perfection. In Paris, Huawei collaborates with the Paris Aesthetics Center to consult French luxury designers to ensure its smartphones reflect the most cutting-edge fashion trends. With R&D as its foundation, Huawei has achieved an important balance constantly improving its product concept, hardware architecture and EMUI user interface.

Diversification and Omni-channel Strategy:

2015 marked a significant shift in Huawei’s market strategy. While Huawei experienced excellent results in the mid-to-low-end market, this year it launched a series of premium smartphone to expand its portfolio into the high-end market, attracting attention from consumers across the globe. To meet the growing demand for Huawei devices, Huawei established over ten thousand experience centers and franchised stores in China and will open 1,000 additional stores in 2016. By leveraging brick-and-mortar establishments where consumers can hold and try using the devices, quality online and offline retailers and streamlined distribution channels, Huawei is expanding the reach of its devices to people everywhere.

Looking Forward:

Huawei employs the world’s most elite engineers and developers to deliver exceptional results. Driven by their passion for perfection, the Huawei team works tirelessly to provide consumers with the best experience and develop products that are truly worth pursuing.

2015 signifies an important milestone for Huawei, with its record-breaking domestic smartphone shipments and recognition as a top-three smartphone brand worldwide. Huawei is confident that it will continue to disrupt the global smartphone market in 2016.

Featured

Online retail gets real

After decades of experience in selling online, retailers still seek out the secret of reaching the digital consumer, writes ARTHUR GOLDSTUCK.

Published

on

It’s been 23 years since the first pizza and the first bunch of flowers was sold online. One would think, after all this time, that retailers would know exactly what works, and exactly how the digital consumer thinks.

Yet, in shopping-mad South Africa, only 4% of adults regularly shop online. One could blame high data costs, low levels of tech-savviness, or lack of trust. However, that doesn’t explain why a population where more than a quarter of people have a debit or credit card and almost 40% of people use the Internet is staying away.

The new Online Retail in South Africa 2019 study, conducted by World Wide Worx with the support of Visa and Platinum Seed, reveals that growth is in fact healthy, but is still coming off a low base. This year, the total sale of retail products online is expected to pass the R14-billion mark, making up 1.4% of total retail.

This figure represents 25% growth over 2017, and comes after the same rate of growth was seen in 2017. At this rate, it is clear that online retail is going mainstream, driven by aggressive marketing, and new shopping channels like mobile shopping. 

But it is equally clear that not all retailers are getting it right. According to the study, the unwillingness of business to reinvest revenue in developing their online presence is one of the main barriers to long-term success. Only one in five companies surveyed invested more than 20% of their online turnover back into their online store. Over half invested less than 10% back.

On the surface, the industry looks healthy, as a surprisingly high 71% of online retailers surveyed say they are profitable. But this brings to mind the early days of Amazon.com, in 1996, when founder Jeff Bezos was asked when it would become profitable.

He declared that it would not be profitable for at least another five years. And if it did, he said, it would be in big trouble. He meant that it was so important for long-term sustainability that Amazon reinvest all its revenues in customer systems, that it could not afford to look for short-term profits.

According to the South African study, the single most critical factor in the success of online retail activities is customer service. A vast majority, 98% of respondents, regarded it as important. This positions customer service as the very heart of online retail. For Amazon, investment back into systems that would streamline customer service became the key to the world’s digital wallets.

In South Africa online still make up a small proportion of overall retail, but for the first time we see the promise of a broader range of businesses in terms of category, size, turnover and employee numbers. This is a sign that our local market is beginning to mature. 

Clothing and apparel is the fastest growing sector, but is also the sector with the highest turnover of businesses. It illustrates the dangers of a low barrier to entry: the survival rate of online stores in this sector is probably directly opposite to the ease of setting up an online apparel store.

A fast-growing category that was fairly low on the agenda in the past, alcohol, tobacco and vaping, has benefited from the increased online supply of vapes, juices and accessories. It also suggests that smoking bans, and the change in the legal status of marijuana during the survey, may have boosted demand. 

In the coming weeks, we can expect online retail to fall under the spotlight as never before. Black Friday, a shopping tradition imported “wholesale” from the United States, is expected to become the biggest online shopping day of the year in South Africa, as it is in the USA.

Initially, it was just a gimmick in South Africa, attempting to cash in on what was a purely American tradition of insane sales on the Friday after Thanksgiving Day, which occurs on the third Thursday of November every year. It is followed by Cyber Monday, making the entire weekend one of major promotions and great bargains.

It has grown every year in South Africa since its first introduction about six years ago, and last year it broke into the mainstream, with numerous high profile retailers embracing it, and many consumers experiencing it for the first time. 

It is now positioned as the prime bargain day of the year for consumers, and many wait in anticipation for it, as they do in the USA. Along with Cyber Monday, it provides an excuse for retailers to go all out in their marketing, and for consumers to storm the display shelves or web pages. South African shoppers, clearly, are easily enticed by bargains.

Word of mouth around Black Friday has also grown massively in the past two years, driven by both media and shoppers who have found ridiculous bargains. As news spreads that the most ridiculous of the bargains are to be had online, even those who were reticent of digital shopping will be tempted to convert.

The Online Retail in SA 2019 report has shown over the years that, as people become more experienced in using the Internet, their propensity to shop online increases. This is part of the World Wide Worx model known as the Digital Participation Curve. The key missing factor in the Curve is that most retailers do not know how to convert that propensity into actual online shopping behaviour. Black Friday will be one of the keys to conversion.

Carry on reading to find out about the online retailers of the year.

Previous Page1 of 2

Continue Reading

Featured

Reliable satellite Internet?

MzansiSat, a satellite-Internet business, aims to beam Internet connections to places in South Africa which don’t have access to cabled and mobile network infrastructure, writes BRYAN TURNER.

Published

on

Stellenbosch-based MzansiSat promises to provide cheap wholesale Internet to Internet Service Providers for as little as R25 per Gigabyte. Providers who offer more expensive Internet services could benefit greatly from partnering with MzansiSat, says the company. 

“Using MzansiSat, we hope that we can carry over cost-savings benefits to the consumer,” says Victor Stephanopoli, MzansiSat chief operating officer.

The company, which has been spun off from StellSat, has been looking to increase its investor portfolio while it waits for spectrum approval. The additional investment will allow MzansiSat’s satellite to operate in more regions across Africa.

The MzansiSat satellite is being built by Thales Alenia Space, a French company which is also acting as technical partner to MzansiSat. In addition to building the satellite, Thales Alenia Space will also be assisting MzansiSat in coordinating the launch. The company intends to launch the satellite into the 56°E orbital slot in a geostationary orbit, which enables communication almost anywhere in Africa. The launch is expected to happen in 2022. 

The satellite will have 76 transponders, 48 of which will be Ku-band and 28 C-band. Ku-band is all about high-speed performance, while C-band deals with weather-resistance. The design intention is for customers of MzansiSat to choose between very cheap, reliable data and very fast, power-efficient data. 

C-band is an older technology, which makes bandwidth cheaper and almost never affected by rain but requires bigger dishes and slower bandwidth compared to Ku-band connections. On the other hand, Ku-band is faster, experiences less microwave interference, and requires less power to run – but is less reliable with bad weather conditions.

MzansiSat’s potential military applications are significant, due to the nature of the military being mobile and possibly in remote areas without connectivity.  Connectivity everywhere would be potentially be life-saving.

Consumers in remote areas will benefit, even though satellite is higher in latency than fibre and LTE connections. While this level of latency is high (a fifth of a second in theory), satellite connections are still adequate for browsing the Internet and watching online content. 

The Internet of Things (IoT) may see the benefits of satellite Internet before consumers do. The applications of IoT in agriculture are vast, from hydration sensors to soil nutrient testers, and can be realised with an Internet connection which is available in a remote area.

Stephanopoli says that e-learning in remote areas can also benefit from MzansiSat’s presence, as many school resources are becoming readily available online. 

“Through our network, the learning experience can be beamed into classrooms across the country to substitute or complement local resources within the South African schooling system.”

Continue Reading

Trending

Copyright © 2018 World Wide Worx