The smart phone market may be on the verge of collapsing again and it seems that history is repeating itself again and no one learns from the mistakes of the past, specifically 12 years ago from now when companies such as Nokia and BlackBerry dominated the mobile phone market, but the difference between the two cases is that Smartphone manufacturers are in a better position than before, as they have the momentum that enables them to strengthen their market position, this time lag has witnessed a change in competition factors than it was before.

smart phones

If we go back in time, specifically in 2007, Apple disrupted a number of competitors at that time such as Nokia and BlackBerry, and a number of mobile networks around the world, which had something like a default lock of the ecosystem that directly interferes in the distribution and pricing processes. For mobile phones, which made mobile devices available only to the wealthy class in society, as well as killing any opportunity for innovation and development, these companies reassured that they dominate the phone market.

But soon Apple broke this deadlock, relying on what users wanted, giving them choice and control over their experiences on mobile devices, and after a while, the iPhone company opened its platform to developers, and Apple was the gatekeeper for its ecosystem and thus it was able to eliminate the empire of Nokia and Blackberry and get rid of mobile companies Other world wide. Google did not lag far behind in adopting that idea, as Google (and its Android operating system) created a new model for the idea of ​​Apple, this model involves giving users the option to control their experiences and experiences on mobile devices, this time without a guard.

smart phones

Over the past 12 years, consumers have chosen smartphones based on price, size, screen resolution, camera quality, storage, and familiarity with the interface. Unlike a camera, the selection criteria are not significantly different from the selection criteria for a computer.

But the factors of competition have changed over time, as smart phones have become more expensive, approaching the margin of prices for laptops, and most importantly of all, the differences that distinguish each phone from the other have become very faint and largely unclear to the masses of consumers, until the idea of ​​convincing the consumer to upgrade has become His smartphone is one of the biggest and most complex challenges, and on top of all that, smartphone manufacturers are working in a highly competitive environment, and they can only control the extent of their superiority by a small amount.


Factors for the success of smart phone companies in the market

smart phones

Based on the above, the future success of mobile phone manufacturers and their ability to compete depends on several factors, the most prominent of which are:

● Penetrating users' habits, by providing services that bypass the manufacturer's devices, and working on devices that are in the hands of the consumer, such as media (video and music), as well as with regard to cash payments to consumers when they buy products or order meals from the Internet, which must be It is done through smart phones.

● Introducing a harmonious set of devices, not just smartphones, and persuading consumers to buy them, as the smartphone is the basis around which other devices such as tablets, smart watches and talking speakers revolve, all of which are linked to the smartphone. Having multiple products from within a single product family not only increases conversion costs for consumers but also serves as net new revenue.

● Knowing the users' preferences, it is a very important criterion for the success of the smart phone manufacturer. Consumers have their needs and aspirations that they want manufacturing companies to achieve, but their ambitions are almost beyond what the manufacturers offer, so the success of the manufacturer in meeting the desires of consumers proactively involves obtaining Information and data regarding the preferences of these consumers.

● The use of artificial intelligence in mobile phones, and its integration with consumer experiences, artificial intelligence technology is already present in mobile devices, such as imaging, spell checking and image sorting functions, and it is improving day by day, but consumers do not realize or notice small leaps of development, So persuading consumers to upgrade their cell phones remains a tough one.

● Cell phone manufacturers such as Samsung, Apple, and Google should try to maximize their revenue through media, games, apps, and other services. For example, Apple offers iCloud cloud storage services, Apple Music and Apple TV + TV broadcasts, unlike other Apple Care products, as such revenues represent more stable financial flows than any other sources, as the services' revenues were in the full fiscal year ending on September 29 2019 is about $ 46.3 billion - an increase of more than $ 6.6 billion from the previous year, and this had a positive impact on Apple, as the sales of iPhones, which amounted to $ 22 billion, deteriorated for this year. Of course, the expectations, demands and needs of consumers will not remain the same, as is the case with mobile phones, as they will also evolve from being mere computer-like devices full of applications, to something like an orchestra conductor for consumers' desires and experiences, in a way that is more integrated and permeated into their ecosystem, in a way. More proactive.

Do you see that the smart phone market is on the way to collapse? Will Apple remain the same or will it fall like others? Share your opinion in the comments.

Source:

forrest

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