HTC Facing Extinction In Smartphone Market As Sales Slump
It was once the must have Android smartphone brand in Australia now HTC is sliding along the bottom with consumers turning off the once mighty smartphone brand.
Last month sales fell nearly 68 percent despite the release of a new model.
One of the root causes of the Companies woes has been “extremely poor” marketing claim analysts with Taiwanese management described as “control freaks” when it came to micro managing what was seen as Asian style marketing being pushed on Western markets.
The Company which has gone through several marketing managers personally appointed by Cher Wang is now floundering and could well disappear from the smartphone market claim observers.
Now the Company is facing its biggest slump in more than two years, as the struggling firm continues to lose customers amid intensifying competition with nimbler manufacturing rivals.
HTC’s popularity has dwindled with the emergence of rivals such as Apple, Samsung Electronics, and brands such as Alcatel in the value marketplace.
HTC said its June sales fell to $72 million from T$6.9 billion a year ago and T$2.45 billion in May.
“In the high-end segment, the sales of their flagship phone this year has been lower than expected, leading to lower market share,” said an analyst at market research firm Trendforce who declined to be named.
“As for HTC’s middle-end and entry-level series, the new models feature neither new specs nor high performance-price ratio, influencing the sales,” the analyst said.
Trendforce expects HTC to launch new models less frequently this year, estimating production volume for 2018 at less than 2 million units.
Last week, HTC said it plans to slash nearly a quarter of its global workforce — or 1,500 jobs — through layoffs at its factory in Taiwan, underscoring troubles at the company that once sold one in 10 smartphones globally.
HTC stock has dropped nearly 30 percent so far this year.