Latest data from analysis firm, Counterpoint Research, has revealed that Huawei have toppled Apple as the second largest smartphone manufacturer in the world.
Huawei has long been operating in the network infrastructure sector, however, only in the past few years has it made a play into the smartphone and consumer devices market.
June and July numbers reveal that Huawei has overtaken Apple, and whilst August is yet to be released it is “looking strong“.
Counterpoint attribute Huawei’s impressive growth to the company’s consistent investment in R&D, manufacturing and aggressive marketing strategy. Analysts state that Huawei has managed to “outsmart and outspend” its competitors- namely HTC, who is amidst downward spiral it is yet to emerge from.
The firm’s research has revealed that Chinese companies as Huawei have “become as equally important as Samsung or Apple to the global supply chain, application developers and distribution channels, as they continue to grow in scale more rapidly than the incumbent market share leaders”.
The majority of the brand’s sales occur within China, Europe and Latin America.
Speaking of possible weaknesses for the brand, Counterpoint state there may be issues with Huawei’s long term broaded marketing strategy, namely the way it offers a range of handsets to meet its extensive market share, as opposed to a single “hero” device which pushes the brand forward.
Counterpoint Research state this is probably why Huawei does not have a single handset in the top ten ranking of best-selling smartphones – a list mostly dominated by Apple phones.
Senior Analyst at Counterpoint, Pavel Naiya, states of the broad marketing strategy:
“While having a diverse portfolio allows Huawei to fight on multiple fronts, it does little to build overall brand recognition; something Huawei badly needs if it is continue to gain share”
“While Huawei has trimmed its portfolio, it likely needs to further streamline its product range like Oppo and Xiaomi have done — putting more muscle behind fewer products”