As market participants note, the mobile retail segment recovers and reaches the pre-crisis level. According to MTS data, for the first two months of 2010 the number of mobile phones sales rose by 12%. In Euroset cited an even greater growth. However, experts note that the market volume in 2010 will not exceed the figures of 2009, as the average price of a phone fell about 1 thousand rubles. Analysts believe that this happened in no small part due to dumping, which is observed in the prices of the most popular brands of phones - Nokia and Samsung.
“In January and February of 2010, the number of phones sales rose by 9% and 17% in comparison with the previous year, - says the specialist of Public Relations Branch of OJSC MTS North West Julia Nemenova. - In the last year for 2 months 3, 98 million phones were sold. In January 2010 it was 2.27 million, in February - 2.22 million, total figure - 4.49 million.
However, as MTS notes, in monetary terms the mobile retail market has declined. For 2 months of this year it amounted to little more than 21 million rubles, while during the same period in last year to almost 23 million rubles.
According to MTS data, in 2009, its share was numerically built up by the leaders such as Nokia (+4%, from 35% to 39%) and Samsung (+2,1%, from 31% to 33%). Sony Ericsson has considerably declined (-6,3%, from 15% to 9%). The leader of growth in 2009 was LG (+5,4%, from 4% to 9%). MTS branded phones in late 2009 took about 15% of sales in the MTS retail chain and about 1% of the total share among manufacturers of mobile phones.
Director General of the agency RusTele.Com Yuri Bryukvin noted that the number of sold phones, claimed by MTS is quite trustworthy. Eldar Murtazin of Mobile Research Group also finds that the MTS parameters correspond to reality, with the exception for shares of companies-vendors in the market. “The shares of Samsung and Nokia are several percent higher and Sony Ericsson has a smaller share, - says Mr. Murtazin. - During the first two months of 2010 the share of Sony Ericsson was about 4%, and for the same period in 2009 it was no more than 9-10%”.
On the structure of sales of mobile phones in January-February 2010 in the retail chain of MTS phones worth up to 1,5 thousand rubles amounted to 36,6%, costing less than 5 thousand rubles - 33,5%. Proportion of phones costing from 5 thousand to 9.9 thousand rubles was about 24%. Expensive models, costing more than 10 thousand rubles, took just over 6%. At the last place are machines worth more than 15 thousand rubles - 1,6%.
At the same time in the MTS noted that the trend of the season in 2010 could be the launch of iPhone 3GS, the price for which in the official retail chains ranges from 30 to 35 thousand rubles. Eldar Murtazin believes that the launch of sales of 3G phones will not affect the overall market, as it will be sold in small quantities.
MTS noted that the average market price of mobile phones in January-February amounted to about 4,7 thousand rubles, whereas in the past two years a similar amount was more than that by about 1 thousand rubles. According to MTS, in 2009 in Russia smartphones were accounted for 4,5% mobile phones sales in numerical terms and for about 14% in money terms. “The top-5 leading brands include Nokia, Samsung, HTC, Blackberry and iPhone. The more and more interest is being put on the smart phone market in the medium price category (10 -12 thousand rubles), to which vendors pay more attention”, - said Yulia Nemenova.
“The average price of a phone actually fell, - confirms Eldar Murtazin. - This happened in no small measure due to the fact that the RTC (retail chain of MTS) has arranged a price war, fighting for market share. They dropped the margin for the most massive supply by Nokia and Samsung, virtually forcing all other retailers sell them or with zero profit or even with the negative one. And today, for example, Nokia is unprofitable to engage with precisely for this reason. By the way, both Nokia and Samsung were considering the option not to ship their goods to the RTC because of the current dumping. This situation continues even now - the goods are sold at low prices, because RTC is fighting for market share”.
MTS said that in February 2010 the share of its retail chain (excluding franchising) numerically was 13,8%, up from 13,5% in January of this year.
Eldar Murtazin finds that the indicated market share of MTS holds just with the franchise, which is separately amounts up to 3-3,5%.
In general, experts point out that Russia's mobile retail market to date is being shaped by three players - RTC, Euroset and Svyaznoy.
“RTC holds 13,5% of the market, Svyaznoy - 22%, Euroset - 33%, the share of other companies does not exceed 5%, - said Eldar Murtazin. - In recent years the trend is noticeable when large market players become even larger, and the share of small firms decreases”.
As projected by retail chain of MTS, in the first half of 2010 the market volume of mobile phones in terms of the units sold can grow by 12% compared to the same period last year to some 13.1 million phones. However, in monetary terms over the same period the market may fall by 10-15%, which is attributable to lower average market prices (the fall compared to the previous year, in this case, is about 19%).
“Growth in numbers of sales will occur and by its volumes for over the year we'll get to last year's level just because the number of sales will increase and prices will not decrease”, - is confident Eldar Murtazin.
“It is obvious that the market recovers and goes to pre-crisis indicators, -is certain PR-manager of the Euroset’s North-West branch Anna Menshakova. - For example, the increase in Russia's mobile phone market in January 2010 to January 2009, according to our data, amounted to more than 12%, in February 2010 to February 2009 – by more than 21%, the first ten days of March 2010 - more than 40% compared with the first ten days of March 2009. Market sales of the first ten days of March 2010 now exceed sales of the same period in March 2009”.
Satellite and cable have different paths
In the market of digital television and Internet the main positions are occupied by cable TV operators, Internet providers and companies providing access via satellite. On the place of satellite TV and the Internet on the mass market, and what are the expected prospects of the industry we spoke with Director of Marketing Department of Orion Express Maria Zhilina.