Samsung is setting itself for pastures new in 2018. A new statement from Sung Yoon, head of operations in that region said that the S. Korean brand will focus on Africa in the next five years. According to him, the plan is to achieve 20% of its total revenue from the continent within five years.
“We think Africa is extremely important for the future,” he said to reporters at a conference held in Nairobi.
To achieve this target, Samsung will be boosting its offline presence in more African countries setting up more retail shops and also cutting product delivery times. Right now, Samsung’s rivals like Huawei, and Tecno are making it tough for the conglomerate in the electronics industry. These competitors price their products at a lower price compared to Samsung which explains the lower growth rate.
Yoon said, “Those entry products are still slightly more expensive than our low entry competitors so it’s difficult to reduce the gap … We cannot sacrifice the quality,”
On the other hand, demand for electronic products like55-inch TVs, smartphones is rising sharply in the developing continent. Further, this has been aided by investments in telecom infrastructure and better data speeds. Samsung hopes to turn this growing demand in its favour by increasing offline presence.