What Can Happen With Cheap Phone Industry In European Economic Downturn?
The world is definitely struggling financially.
At the conclusion of 2010 it was discovered that Greece’s public debt was 120% larger than its GDP, leading to incredibly hard financial measures. At the conclusion of 2011 Italy announced the same position saying that it was 1.9 trillion Euros indebted.
The economy, and debt, of Italy am large that it wasn’t easy to eject Italy from the Eurozone without the collapse of the Euro.
With Europe now in turmoil nowadays there are signs that China’s slowdown may be faster than anybody would love.
All this means more tougher times for that retail industry ahead, but why don’t you consider the electronics sector, particularly people who sell unlocked phones?
The outlook is surprisingly good.
Sales of unlocked phones are actually dropping in developed markets for many years. Most people had already bought their cheap phone and were either satisfied with it or were seeking to upgrade to a smartphone.
Developing markets were the actual powerhouses behind the unlocked phone market with sales in Russia, Brazil, India and many countries in Eastern Europe surging in front of the UK, the US and countries in The european union.
The only exceptions to this were Italy and Greece where sales of sub 100 USD phones were especially strong.
Essentially it might mean that there is an upturn in the sales of unlocked phones in the developed world in the near future as individuals need to replace their old phone but do not want the data plan and outright tariff of a smartphone.
That doesn’t mean that there won’t be added challenges though.
Reports taken from India (a major market for China unlocked phones) claim that the market there is consolidating with smaller phone sellers (who simply re-badge OEM phones) being pushed out by larger brands who add value to their phones before selling them onto customers.
This is indicative of the types of changes the world will be dealing with soon and so anybody selling OEM phones might attempt to add value to it, either by supplying the phone with a larger SD card, includingn music downloads or some other incentive too keep customers loyal and ever coming back.
Is the unlocked phone market having problems? Early indications would appear to become no. But it would always be wise to start looking at ways to add value to your items to make your customers feel like you are definitely something a little bit more than the bare minimum.
Come to iSourceChina for the latest Qwerty phones online.
Sony Ericsson Xperia Mini Pro SK17i Qwerty Touch Android 2.3.4 Full Review
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