Competition for Tablet PCs is shifting its direction from expensive products to inexpensive products because demands for expensive products were reduced and it is harder to differentiate products.
Major Tablet products are recently leaning towards inexpensive products that cost less than $262 (300,000 KRW) rather than past expensive products that cost more than $523 (600,000 KRW) because businesses such as Xiaomi and others have emerged competitively with inexpensive products.
Although Xiaomi has not entered South Korean markets officially, it is already showing its products through sole distributors.
It is accelerating competition for South Korea’s middle to low-priced markets by introducing its Tablet ‘Mi Pad’, which supports Korean, at $200 (229,000 KRW) through open markets such as HiMart, Auction, and others. One can even buy it for $174 (200,000 KRW) if he or she receives variety of discounts.
Tablet industries including South Korean manufacturers are also marketing medium to low-priced products. Samsung Electronics is actively selling its medium to low-priced products along with its expensive products such as ‘Galaxy Tab S2’ and others that cost over $436 (500,000 KRW).
Sales promotions for ‘Galaxy Tab A’ and ‘Galaxy Tab 4’, which are being sold at about $262 (300,000 KRW) are very active as there are events where cases are offered through official stores and open markets.
LG Electronics is also selling its G Pad 7.0 to 10.1 below $174 (200,00 KRW) and G Pad 2, which was released after, at about $340 (about 390,000 KRW). Although there are differences in specific specifications between products, their sales prices were chosen at low price.
Industries are predicting that competition between inexpensive products in price will become fiercer as size and performance are not very differentiated compared to when they were first sold. Xiaomi, which represents this competition for price, loaded Sony’s camera module and Quad-Core AP into Mi Pad.
“Demands for medium to low-priced Tablets are getting bigger as customers are highly satisfied with their performance.” said a person affiliated with Auction. “Unlike in the past when people only bought expensive products, variety of inexpensive products such as Xiaomi’s Mi Pad are taking up top sales of Tablets.”
Staff Reporter Kim, Changwook | email@example.com