Samsung GALAXY S20 is a series of phones that the Samsung company launched at the beginning of March all over the world, being appreciated by journalists and customers for what it offers. Despite the fact that the phones from the Samsung GALAXY S20 series are very good, sales for them were very weak, far below expectations, and below those recorded last year for the previous series, but there is still very good news.
Samsung GALAXY S20 managed to help increase the profit of the mobile devices division within Samsung, and this despite the fact that total sales decreased compared to the same period last year. Practically, the high prices of the new phones from the Samsung GALAXY S20 series generated an increase in profit even if fewer units were sold, a strategy that we see applied by the Apple company since 2017 with the new iPhone phones.
The only GOOD News for Samsung GALAXY S20 after Launch
Samsung GALAXY S20 it is a series with several phone models, and of all of them, the Ultra sells the best, both according to analysts and according to those from Samsung, who confirm its success. Considering that we are talking about a phone that costs 1350 euros, good sales also bring big profit, some estimates say that the production price would be almost 1000 euros lower than the sale price, so there is a lot of room for profit.
"The mobile communications company posted an increase in profits compared to the previous quarter and a year earlier, despite weakening sales towards the end of the first quarter. The profit improvement was the result of an improved product mix with the launch of the Galaxy S20 flagship devices and effective management of marketing spend. In particular, flagship smartphone ASP increased year-over-year on the back of a higher-than-expected share of Galaxy S20 Ultra sales, as well as solid sales of the Galaxy Z Flip.”
Samsung GALAXY S20 it still cannot be "credited" as the only reason for the increase in profit, and this is because including the reduction of product promotion budgets, and the offering of fewer freebies helped. Those from Samsung had a similar approach to that of Apple, that is, less promotion of the Samsung GALAXY S20 series, and fewer gifts for customers, which also brought more profit for the division that produces them for sale.
Samsung GALAXY S20 can be considered a series of phones that is successful based on the profit brought to Samsung, but from the point of view of sales, it is, unfortunately, a failure.
