In the heart of downtown Nairobi, along the bustling Luthuli Avenue, banners and billboards vie for attention from the throngs of shoppers passing by. The storefronts, adorned in blue, red, black, and white, proudly display the colors associated with some of Africa’s top-selling phone brands – Tecno, Infinix, and iTel. These phones, all made in China, have found immense popularity in Africa, despite being relatively unknown in their country of origin.
Transsion, a Shenzhen-based company, is the mastermind behind these successful phone brands. Specializing in selling phones exclusively in Africa, Transsion has now expanded its reach to other markets such as Latin America, India, Eastern Europe, and Southeast Asia. In a surprising turn of events, in 2023, Transsion’s Tecno brand outsold industry giants like Samsung and Apple in the Middle East and Africa.
Fueling this success is Transsion’s focus on the mid-to-lower tier smartphone segments, offering quality phones at affordable prices. Tecno, in particular, saw a 77% growth in smartphone shipments in the fourth quarter of last year, surpassing Samsung in market share. This growth has been attributed to factors such as a better macroeconomic environment, stable local currencies, and increased consumer confidence.
By investing in marketing, channel penetration, and introducing premium-grade smartphones, Transsion has solidified its position as the dominant mobile phone manufacturer in the Middle East and Africa region. Tecno, Infinix, and iTel collectively hold a significant share of the African smartphone market, with Tecno alone capturing 26% of the market.
While Transsion’s success story in Africa has been remarkable, other Chinese mobile phone brands like Xiaomi and Oppo are also making strides in the region. Huawei, once a dominant player, has seen its market share decline due to US sanctions restricting access to GMS and chipsets. Despite this setback, Huawei remains a key player in enterprise business in Africa.
Chinese mobile phone brands have become ubiquitous across Africa, offering affordable smartphones with access to popular apps and services. Tecno, in particular, has capitalized on this demand, filling the gap left by Huawei’s absence in the affordable smartphone market.
As Chinese tech firms continue to expand their footprint in Africa, the competition in the smartphone market is heating up. Transsion’s success serves as a testament to the company’s understanding of consumer needs and its ability to deliver quality products at competitive prices.