Text/Di Lin Audit/Zi Yang Correction/Zhi Qiu
Since the second half of 2020, the attention of domestic consumers has mostly focused on Huawei and Xiaomi, which can break the wrist with Apple.
After all, so far, only these two domestic mobile phone giants have really surpassed Apple and climbed to the second position in the world.
Affected by this, OPPO and vivo have been left out a lot, not to mention the little-known domestic invisible giant - Transsion.
Domestic mobile phone invisible giant
For Transsion, most consumers should not be impressed, or even never heard of, this domestic mobile phone brand was officially established in 2006, the founder is the former waveguide mobile phone executive Zhu Zhaojiang.
Although Transsion was founded earlier than Xiaomi, the company did not participate in the fierce competition in the Chinese smartphone market, but chose the African market in a unique way.
With China's strong supply chain system and highly localized development strategy, Transsion quickly spread across the African continent.
In 2019, TRANSSION has surpassed Samsung and Apple to become the "king of Africa", with a market share of 52.5%.
In the same year, Transsion also officially landed on the Science and Technology Innovation Board, with a market value of nearly 200 billion yuan, and for a time this domestic mobile phone brand was in the limelight in the industry.
It was surrounded and suppressed by Xiaomi and Huawei
But unfortunately, Transsion's stock price has not remained at the high level at the time of the IPO, and the company's market value has gradually shrunk, and now there are only more than 100 billion yuan left.
The reason why transliteration will fall from the peak is that in the author's opinion, there are two main reasons. On the one hand, the intensification of market competition.
Twenty years ago, Transsion cleverly avoided the battle between domestic head companies, but now, twenty years later, after Huami OV has completed the Chinese market, it naturally frees up time to expand overseas.
At this time, the sound can not be avoided, can only be hard scalp and xiaomi, Huawei and other domestic brands in the African continent that has been deeply cultivated for many years to carry out fierce competition.
It is true that transsion has been very successful in localization in Africa, but Xiaomi and Huawei are also experienced in overseas development.
Xiaomi, for example, set up the Africa Department at the beginning of 2019 and actively deployed it in the local area to cooperate with local channels.
There is also Huawei, which entered Africa in 2017, although it has not beaten TRANSSION, but now the African market is one of the ways out of Huawei, where 5G chips are cut off, and Huawei naturally attaches more importance to the African market.
The "King of Africa" is in a precarious position
What's more, the current African market is shifting from the era of feature phones to smart phones, so whether it is Xiaomi, Huawei, OPPO, vivo, etc., will not let go of the dividends of the African mobile phone market upgrade.
Therefore, what awaits the transmission is still more than a few decades and finally can not hide from the head-on competition with domestic mobile phone giants.
On the other hand, it is because of the weak sound moat. Strictly speaking, transsion has the shadow of a waveguide, and over the years, transsion's positioning has been a low-end market, so the company has hardly spent much effort on technology research and development.
Although African consumers do not have much demand for high technology, TRANSSION does not need to spare much energy to focus on the construction of technical barriers in the development process.
But today's African market giants are around, in addition to the brand and user base, transsion has a large gap with Huami OV in research and development, products and talents.
The reason why Transsion can beat Apple and Samsung to become the "King of Africa" is mainly because the low-end functional machine was just needed by the African market.
In this regard, an African entrepreneur also told the "Finance world" weekly that the success of the sound is more to use information asymmetry.
Write at the end
On the whole, the author believes that if TRANSSION cannot make strategic adjustments in time, I am afraid that in the process of upgrading the African mobile phone market, It will be robbed of the position of "King of Africa" by Huami OV, or Samsung and Apple.
Of course, this does not mean that TRANSSION will completely fail in Africa, after all, there are still many local users who still insist on using low-end functional machines.