Samsung Expects Decline In Q1 Profits; Hopes To Rebuild Lost Market Share With The Upcoming Galaxy S6 And S6 Edge

Since late 2013, Samsung has been going through turbulent times. Due to stiff competition in the smartphone segment, Samsung is being challenged both at the high end and mid and low end markets. Apple has been challenging Samsung in the high end smartphone market. At the same time, the ingress of Lenovo and Xiaomi has made things worse for Samsung in the mid and low end markets.

Owing to growing competition in the smartphone market, Samsung expects a decline in its quarterly earnings, reports CNET. Samsung estimates its operating profit at $5.4 billion (5.9 trillion won) for the quarter ending March 31, a 30 percent decline from the year ago. The South Korean company also estimates its sales could reach $43.2 billion (47 trillion won), down about 12 percent (YoY). Apple recorded 20.4 percent share (up from 17.8 percent, Q4 2013) of the worldwide smartphone sales for the final quarter of 2014. During the same period, Samsung’s market share in smartphone segment had slipped to 19.9 percent from 29.5 percent, reports CNET.

Will the upcoming Samsung Galaxy S6 and Galaxy S6 Edge bring back good times for Samsung?

Samsung is quite positive to boost its sales charts after the launch of its Galaxy S6 and galaxy S6 Edge that will hit the markets on April 10. Reports on Samsung making an attempt to position itself as an expensive smartphone maker with the launch of Galaxy S6 and Galaxy S6 Edge is already rife. The Galaxy siblings will be more expensive than Apple’s iPhone 6 and iPhone 6 Plus. This calls for Samsung to ensure that the Galaxy S6 and Galaxy S6 Edge comes rich in terms of features.

According to a report in the Sydney Morning Herald, Samsung is offering a variety of ‘Galaxy Gifts’ that includes apps like Microsoft One Drive, Kindle, Uber, Evernote, Quickflix and the Australian newspaper, which will come pre-installed for the Australian customers. Besides that, Samsung’s music streaming service, Milk will also come pre-installed in the handsets.

As claimed by Samsung, the new Galaxy smartphones will offer better battery life compared to all its previous models. Telcos in Australia have come up with attractive pricing and striking lucrative deals on mobile data allowances for Galaxy S6 and Galaxy S6 Edge buyers. Leading telcos that include Telstra, Virgin Mobile, Optus have the handsets of all three storage capacities, available for pre-order.

Samsung is making efforts to retain its lost ground in the smartphone market and increase its share in the global smartphone market.

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