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Q2’17: OPPO: Volume Up while ASP and Margin Down

by Yiwen Wu | Aug 14, 2017

OPPO continued its robust momentum in global smartphone market in Q2 2017. The vendor soared a +51% annually by volume and maintained the 4th position in global smartphone market, taking shares from major rivals like ZTE, LG and TCL-Alcatel. During the quarter, OPPO successfully launched its flagship model R11 in China and made solid progress in India. However, its wholesale ASP and operating profit margin went down this quarter mainly due to greater portion of low cost models, as well as higher operating costs associated with overseas expansion and new model promotions.

India remained as OPPO’s most important overseas market. With increased local presence, dedicated marketing initiatives, and comprehensive product offering, OPPO is well positioned to maintain strong momentum in the country in the following quarters. However, the company also needs to carefully manage political risks (border tension between the two countries), as well as higher channel and operation costs in India and other overseas markets.

Our latest report Q2 ’17 : OPPO: Volume Up while ASP and Margin Down was published and WSS clients please click here to access the full report.

OPPO India

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