The Russian smartphone market in July 2022 - losers and winners


The second month of summer turned out to be very interesting for the Russian smartphone market, as trends

the previous two months have been fully revealedand intensified. In this article, we will talk about winners and losers, about how the market has changed. In the previous article, we discussed the situation in March 2022, now it's time to look at July 2022, what happened over the past few months.

The Russian smartphone market in March 2022 - losers and winners

Which brands lost out in March 2022 in Russia, and who benefited from sanctions and supply cuts. We look at sales in March.

The main events can be considered the start of workparallel imports, the entry of non-professional players into this market, they competed with distributors that have been supplying smartphones to Russia for decades. Smartphones are imported from all over the world, there is no shortage of offers, as well as a shortage. But here it is important to note the second event, the reduction of retail chains - we see the closure of points of both operator retail (MTS, Megafon, Beeline) and federal networks (Svyaznoy is the most striking example, but stores and all the others are closed). The number of electronics stores from March 1 to August 1, 2022 decreased in Russia by 17% in unit terms, this is one of the most dramatic falls since 2008. The reason is largely in the high rental rates, unnecessary areas that have nothing to fill.

The assortment of stores was reduced to 40-50positions, while back in March it exceeded 140-150 positions on average. The reduction is not due to a lack of money, but rather to a change in demand, after shock, protective prices, buyers do not go to stores, traffic has fallen. They come to stores when there is an urgent need to replace a smartphone or phone, but not to gawk at new items. The lack of marketing from Samsung and Apple doesn't spark consumer interest, and Chinese companies don't spend much money on it either. The drop in interest in the product category is obvious.

Which leads to another interesting move - retailforced to sell goods at a more or less adequate cost, despite the fact that parallel imports are expensive. This can be clearly seen on the example of Samsung, let's take the Galaxy A53 model.

The average price of the base model is 35 thousandrubles, but there are also offers for 30 thousand rubles. And this price would be exactly the same, if you remove the restrictions that have arisen out of brackets. That is, the market adjusted everything on its own, brought the prices on the shelves to the real ones. And exactly the same prices can be seen for different manufacturers, but they vary greatly from city to city, from sales channels (offline and online). If last year the market was more or less homogeneous, today there is a huge difference in the cost of the same goods. Players set prices based on their ability to sell goods, faith in their own strength. Therefore, in one city, someone sells the same Galaxy A53 for 30 thousand rubles, and someone for 40 thousand rubles. Last year, the spread in prices was much smaller and looked more like an anomaly, today it has become the norm.

The gray market is still not visible, butgiven that the players here do not pay VAT, the prices are lower by 25-30% on average, and this is noticeable. Another thing is that only the most popular models and flagships are presented here.

Gradually, the demand for smartphones is increasing, salesgrow slowly. The situation looks moderately positive, the scenario of 2008 is repeating itself, it will take 2-3 years for the market to recover to its previous volume, provided there are no external shocks (but this is definitely not to be counted on).

The fall of the giants of Silicon Valley, the economic crisis in IT corporations

The fall in income of Silicon Valley corporations, the crisis and layoffs, the exodus of IT people from the valley, the rise in prices for all hardware - how much will the iPhone 14 cost.

Parallel imports are on the risethe variety of products is growing, as well as the number of models presented. But none of the retail chains or distributors wants to keep large stocks of electronics in warehouses, the money has to work. This affects sales, as well-fed time is over, when you can see and buy a smartphone from most manufacturers in almost any store. Let's look at the situation for specific companies in order to assess what is happening in the market.

But before that, a few numbers. Smartphone sales in July 2022 amounted to 1.64 million units, which is about 50% lower than sales in July 2021 (MRG data).


Affiliate material

Reality and prospects of the IT professions market

What professions are the most popular and highly paid?

Saturday coffee #211

Pour a cup of invigorating Saturday coffee andcheck out the news of the week. Asus showed a compact flagship, a Xiaomi bracelet came to Russia, Huawei presented several new products at once, and a film based on Pelevin was allowed to be rented…

Volvo XC40 test. The best compact crossover?

The Volvo XC40 is the smallest crossover in Volvo's lineup, but it's also one of the company's most interesting vehicles, in my opinion.

Nintendo Switch OLED model. What's new?

At the end of October 2021, sales of the new Nintendo Switch OLED console started in Russia. Yes, many have been waiting for the new ...

Samsung. The company is no longer the leader of the Russian market, sohow the stoppage of supplies could not but affect the volume of sales. In the absence of marketing support, partners have reduced purchases, and there are fewer Samsung-branded products on the shelves. With parallel imports, the most interesting are the models of the middle segment and flagships, and they are the focus. That is, a unique offer that other companies do not have or such devices are expensive.

Samsung's share in July was 9.5% in unit terms, the result is at a historically low level. It is clear that with the resumption of supplies, you can quickly regain a piece of the market, but this will require remarkable efforts. For comparison, in July 2021, Samsung sales amounted to about a million smartphones, a year later, smartphones of this brand were sold in volume of 156 thousand units. The fall is almost an order of magnitude.

The main intrigue of this year is thatwhen Samsung decides to resume deliveries to Russia or leave the market altogether. At the moment, every week of delay washes out the company's sales, but it has about six months until the changes are fixed and become critical.

Apple. Historically, the company is a strong player in the segmentflagships, in recent years, sales have shifted in favor of the base models of previous seasons. This moment has not changed, it is better to buy old models, as they are cheaper. There are a lot of people who buy their first iPhone, because they think it's better to pay more, but buy a phone for a longer period. Exactly the same thing is happening in the world, which Tim Cook noted in a discussion of the results of the second quarter.

Despite disabling Apple Pay, the inabilitypurchases of paid services from Apple, people still buy these devices. Apple's share of sales was about 6%, which is a lot given the current situation and the prices of the company's smartphones. But at the same time, we are seeing less and less representation on the shelves, the need to wait for the iPhone, which will continue to take away sales. People are becoming more rational and are not ready to buy such expensive and limited devices.

Xiaomi. This should include both Xiaomi smartphones andRedmi and Poco. The total share of all brands from Xiaomi was 44% in pieces. The reason for the huge share is simple - the company delivers goods directly to Russia, it has maximum availability, there is marketing support for partners, filling warehouses and everything that has always been on the market. That is, in fact, Xiaomi used the situation to their advantage and were able to increase sales. The company's win is obvious, there is no doubt about it. In August, the share of Xiaomi can become 50% for the first time, which is also unusual for the Russian market, in the last decade, none of the players could occupy more than half of the market!

realme. The Chinese manufacturer also did not stopdeliveries, won due to an interesting price / quality ratio, but gradually began to launch its models at high prices, some of them are comparable in price to Samsung. And the flagship GT2 Pro came out for 90 thousand rubles!

Smartphone review realme GT2 Pro (RMX3301)

realme's flagship is a fast processor, a paper-like body, a microscope camera, and a great screen. But also prohibitively high cost.

The bet on margin was made apparently due tothere is a certain shortage, there is no goods in sufficient quantity. This leads to the need to regulate demand by cost. Nevertheless, we can say that the year is successful for realme, sales grew up to 15% in pieces (more than doubled year on year).


Vladimir Nimin

Operator news: new Tele2 tariff

It seems that the new tariff from Tele2 looks like a great reason to throw a gamepad into your backpack so that you always have it at hand.

Buyer's guide. Compare iPhone 13 Pro and Samsung Galaxy S22. Which flagship is better?

Two flagships, two worlds so different. How much the Apple Pro model is more expensive and how much weaker than the Galaxy S22, and most importantly, in what. We understand.

7 main smartphones of June

3 hits from Honor, a fun smartphone from Sony, an incomprehensible smartphone from OnePlus and a foldable device from Huawei.

What are Huawei Mesh Class 3 Wi‑Fi 6 Wireless Routers?

Install a similar system at home or in the country - and let the whole world wait ...

Tecno. For many this is a new name on the market thoughthe company professes the same approach as realme - to give a price / quality ratio, play in the initial price groups and the middle segment. During the year, there was a dizzying rise, the share due to the availability of goods is growing aggressively, now the company has a little less than 9% in smartphones. The prospects are very bright, they are increasing sales of models in different segments, introducing new devices that were previously absent in the line. This is another company that benefits from the current situation.

Honor. The company did not start shipping the goods, asconsequently, what little was already in stock is sold, plus it is supplied through parallel imports. The company's share is about 2%, without direct deliveries and marketing there is no chance of sales growth.

Huawei. The share of the company was significantly less than that ofHonor, now smartphones are practically not represented, there are supplies, but they come at very high prices, which can be called barrage. Hence the almost complete lack of demand.

Other. The category has grown in share since heresales of all other companies are poured, but there are practically no noticeable ones among them. Those who would benefit from the situation are absent here, for example, the same Vivo or OPPO, which are part of the same holding with realme, could not increase their presence in Russia, although it would seem that there are all the prerequisites for this.


To call the Russian market small is notthe tongue is turning, at the moment we are reaching 20-22 million smartphones by the end of the year (in 2021, 32.5 million units). The fall is noticeable, but the catastrophe did not happen, the market gradually grows and comes to life. The decrease in the number of retail outlets is a positive factor, which gives us confidence in the recovery of the economy of individual stores. For buyers, this means that they will lose electronics stores within walking distance, there will be much less of them than bakeries.

The main intrigue remains howSamsung. If the company's return takes place, then Chinese manufacturers will make room, Samsung's marketing is quite strong and skillful. But in any case, this will only redistribute sales, but will not strengthen them.

The Russian smartphone market in March 2022 - losers and winners

Which brands lost out in March 2022 in Russia, and who benefited from sanctions and supply cuts. We look at sales in March.

The fall of the giants of Silicon Valley, the economic crisis in IT corporations

The fall in income of Silicon Valley corporations, the crisis and layoffs, the exodus of IT people from the valley, the rise in prices for all hardware - how much will the iPhone 14 cost.