ASUS enters the market of more sophisticated cell phone

At a time of falling in the Smartphone market and uncertainties in the economy, Taiwan's Asus adopted a bold strategy in Brazil: renew its line of smartphones with devices that cost between $ 1,300 and $ 2,000. The phones of more than R $ 1 thousand represent about 30% of sales and represent a complicated plot since it's where Samsung and Apple have more strength. "It's not just a question of price, but to show the value to the consumer," said Eric Chen, Corporate Vice President of Asus.
The Brazilian market represented about 10% of the overall sales of the first line of smartphones from Asus, the Zenfone, launched at the beginning of last year. Much of the success is pegged to the price of the appliance: from $ 499. This made the company was framed in the growing category of low price with advanced features, in which the main Chinese delegate Xiaomi. But according to Chen, the objective of Asus is not be seen this way. "We want to make luxury accessible to everyone," said the Executive. The category below $ 1,000 was not forgotten. The company also launched a $ 900.
By the end of the year, Asus plans to sell between 17 million and 25 million smartphones worldwide. The volume is still low to place the manufacturer in the list of the five largest brands, but represents a significant growth for a company that has its roots in the world of PCs and until today has almost 80% of their sales linked to such equipment. According to Chen, the goal is to change this ratio until 2017. Until then, the computers might represent less than half of the business. "We will continue to invest in PCs, but the growth will come from new areas," he said.
Asus's strategy is to advance in three segments: mobility, internet of things (different types of internet devices) and robotics. The Executive did not give many details about this last area, but said it is expected to launch the first robot in the beginning of next year. In the second quarter, the Asus had revenue of $ 3.9 billion, up 22% compared to the same period in 2014.
In addition to the new smartphones, Asus also released a series of accessories in Brazil. The most interesting are two external flashes that can be used to improve the pictures made with a phone. The ZenFlash, with Xenon lamp, costs $ 100, and is only compatible with phones from the company. Already the LolliFlash, with LED lamps, can be used on any device and costs $ 49.
The Brazilian market of smartphones can close the year with retraction of 1%, with 54 million units sold, according to research firm IDC. It will be the first fall since the market began to develop in the country, about seven years ago. The shrinkage is a result of the economic crisis, but also follows a global trend of slowdown in the segment. According to the research firm Gartner, second-quarter sales advanced 13.5 percent compared to a year earlier, less than the more than 20% in the comparison between 2013 and 2014. The decline was caused by a rate of 4% downturn in sales in China, the largest global market for smartphones, responsible for 30% of the 330 million sets sold between April and June.