More than ever before, folding phones as a category is being discussed. Two of the biggest launches of the year are Samsung Galaxy Z Fold4 and Galaxy Z Flip4 while a few rival brands are trying to get off the blocks. For Samsung, it has been a big investment for several years and finally the products are showing a high degree of maturity, especially helpful for someone who is looking for a form factor that incorporates smartphones and tablets. If not anything, these are phones that quickly become a habit and there are several benefits.
We caught up with the ever-jovial Raju Pullan, senior vice-president at MX business, Samsung India, and here’s what he has to say.
Raju Pullan, senior vice-president at MX business, Samsung India
How has the pre-booking of the Fold and Flip phones been?
We had a pre-booking offer that started on August 16 and within 12 hours we crossed 50,000 (for both Galaxy Z Fold4 and Galaxy Z Flip4). That’s a big growth over last year on day one. For the price (category), 50,000 is a really great number. The phones have caught the fancy of consumers and we’re seeing some great numbers; we are expecting (versus last year) that we will grow by about 1.5x in the overall foldable category (that is, sell 1.5 times more foldable phones this year). Our outlook is a very strong double-digit growth. The 5G market is growing and we currently have 19 smartphones in the 5G portfolio (doesn’t include variants). We expect to take a stronger position in the 5G segment as the year goes by because we’re seeing some strong momentum there. Consumers are willing to take to 5G much faster than ever before. A few of the things with the success that we have seen in pre-booking… we will expand the number of stores the Flip and the Fold are going to be at. Last year we were present at about 5,000 stores, we will expand it to 10,000 stores this year.
We want to make the Flip and the Fold phones mainstream rather than only limiting it to a niche group. What we’re seeing, and it’s something we keep discussing, is that tier-II cities and below have always offered a good response. So we have extended Samsung Finance+ with zero down payment in tier-II cities and below. We have also tied up with HDFC; there is also an upgrade programme. The product has got huge differentiations. Also, the ecosystem that we have started to build has started to give very good dividends.
Why do you think customers in India are keen on these phones, even though they are expensive?
India is growing while aspirational products have great value. In the last 90-odd days, I made several visits to the market. I was in Bhubaneswar and I visited a store where a father-son duo was buying a phone. They bought a Flip and I was happy to know that the boy had a lot of knowledge about the phone. He spoke about the camera and how it can be used in Flex mode. So, products that have a distinguishing feature work well with consumers.
And then I was in Nagpur and met a consumer who was buying a Fold3. I wanted to know what the phone meant to him as far as utility goes. He said that he was an entrepreneur and he meets a lot of important people. And he said: ‘I can’t drive into my client’s office in a car but I can surely walk in with a Fold.’ He uses it in such a way that gives an edge to his conversations and said it creates a perception. The pre-booking is a testimony to it. With the fourth generation of the Fold, we are investing in a market that can make the products truly mainstream.
Working with Microsoft, Google and Meta is surely giving the company an edge….
This time, in both the Flip and the Fold, everything has changed, whether it is the camera, the processor, OIS and VDIS (optical image stabilisation and video digital stabilisation)… everything has become more powerful, more compact. I think the strategic partnership is helping co-create the market. And that co-creation is helping us expand the market, getting more consumers to experience the product. And we will continue to invest in these partnerships, whether it is with Meta or Google or any of these platforms that are there.
Do you think the new Galaxy Watch 5 Pro and Galaxy Buds 2 Pro will bring in more consumers to the ecosystem?
The ecosystem bundling is becoming stronger and stronger, which includes the influence of the TWS (Buds 2 Pro). The 360-degree sound and Hi-Fi audio will help the overall ecosystem.
People are excited about the Flip because of the lifestyle angle….
The Flex camera is something many are talking about and it’s getting better. Be it vloggers or any consumer, the Flip can be used in so many ways. You don’t need to carry a tripod and still come away with great videos.
