Emaar
 Nakheel
 Damac
 Al-Futtaim

Mobile phone sales double in the UAE

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10 December 2005

SEOUL — Mobile phone sales doubled in the UAE during the past year, according to Sung Woo Han, senior telecommunication manager at Samsung Electronics.

Speaking to Khaleej Times, Han said the high oil prices have substantially increased consumer spending in the UAE, positively impacting mobile phone sales in the country.

Based in Dubai, Han expects more growth during the coming period due to the upcoming Dubai Shopping Festival, an event that is enjoying increasing international fame year after another, on the one hand, and the launching of new higher-end models in December on the other.

He explained that Dubai is one of the most important centres for Samsung, as it represents a gateway for the Middle East and North Africa (MENA) region.

"Although Samsung does not have any manufacturing or assembly facilities in Dubai, yet the importance of this thriving emirate is due to the fact that it is the best window for us to the MENA region," he observed.

"The domestic market of Dubai cannot be measured according to the population, the emirate hosts even more visitors than this figure, mostly shoppers," he maintained.

"Some people say that the UAE is planning to reach with the population figure to 10 million by 2010, another fact that supports our optimism for the domestic market's future prospects." Han added.

With a share of 17 per cent, Samsung is at present the second market leader in the UAE following Nokia (almost 50 per cent), followed by Sony Erricson (13 per cent).

Brian Park, Samsung's Vice-President for Middle East, Asia and Africa sales and marketing, said, "We are planning to solidify our position, and although our sales figures show a huge gap between us and Nokia, yet statistics can be very much deceiving, whereas we do not compete with our products at the lower end of the market, we only target the higher end, as it is more challenging for us to test our advanced technologies, and cater for the more sophisticated consumer."

He added that "because of other producers' strategy to cater for the lower end of the market statistics can obviously show that they achieve a bigger figure than us in the sales.

Christian Collins, a senior manager for overseas marketing strategy agreed to that explaining that "prices of Samsung's mobile products are indeed in a higher bracket than most producers, but that average only conveys our focus which is to target the upper market segment."

Sung Woo Han admitted that his company is constantly developing new models, the latest of which is the i-300 mp3 mobile phone, which is the first to acquire a storage capacity of 3GB, expected to be launched in Dubai this month.

He concluded by saying that "although competitors announced that they are developing a 4 GB model, yet we are the first ever to launch a 3 GB, and surely more capacity is to come in the future."

Courtesy: Khaleej Times