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The Bangkok battle for smartphone supremacy

Bangkok is becoming a smartphone city, as brands like BlackBerry lean on celeb endorsements and social media to boost their appeal
 
BlackBerry in Thailand Though we can't be certain, we're willing to bet Research In Motion's Southeast Asia GM, Gregory Wade, has a BlackBerry in his hand.

The battle between global smartphone makers is roaring in Bangkok, with devout users absolutely certain their smartphone is the best smartphone out there.

The last year was particularly successful in Thailand for BlackBerry smartphone maker Research In Motion (RIM). Though the company doesn't release sales figures, the trading of BlackBerry messenger PINs and the sight and sound of a BlackBerry on every corner even provoked rumblings of consumer backlash as 'BB' fever spread through Thailand like a virus. (One CNNGo writer wrote about her distaste for BB users late last year.) 

So what was it that led many of the estimated 1.5 million buyers of smartphones in 2009 to go BlackBerry crazy? The influence of celebrities and leading business figures was a factor, says Gregory Wade, RIM managing director, Southeast Asia. 
 
“Thais love celebrities and want the chance to share experiences with their favorites,” he says. “Our social influencers are passionate about discussing why BlackBerry is meaningful to their lives and business.” 

Social networking is undoubtedly another, with Thailand recognized as Facebook’s second highest growing global market. Thais have flocked to social networks over the last year, using their smartphones to receive 24-hour, in-your-pocket mobile Internet access to feed the addiction to sites like Facebook, Twitter and newcomer Foursquare

“My friends and I love our BlackBerry phones,” says Nam, 19, a first year student at Silpakorn University. “The Facebook application is my favorite because it lets me keep up to date with friends and post pictures whenever I like.” 

Smartphones no longer just for the elite

With considerably more functionality than just phone calls, smartphones can often be as expensive as computers. However, Singapore-based Wade believes that the range and choice of smartphones has lowered the entry price and opened the market, once reserved for business executives and the affluent. 

“Choice in the marketplace is important for consumers,” he says, “we believe there is a BlackBerry for everyone.” 

BlackBerry’s growth and popularity in Thailand owes much to this choice. Whilst Apple’s iPhone has a cult following across the world, it is just one 23,000 baht phone against the BlackBerry range which runs from the “entry-level” 8520 Curve at 12,000 baht to the high-end 23,000 baht Bold. 

Pricing isn’t enough to deter many from buying an iPhone however. 

“My iPhone was expensive but it was the phone I wanted,” says Aue, 29, from Bangkok. “It carries all my music and the apps make it so much better than anything else.” 

Smartphone loans in Thailand?

Affording a smartphone could become a little easier if a trend from neighboring Indonesia catches on here. Banks and loan companies are offering specialized finance to help tech-mad Indonesians get their hands on the latest smartphones. As it stands, in Thailand, buying a smartphone takes some saving, or a good wage. 

This month RIM has added to Thailand's high-end smartphones market with the launch of its iPhone-competing BlackBerry Bold 9700. An updated version of the company’s flagship device priced at 23,000 baht, the new Bold boasts its predecessor’s features along with an optical track-pad mouse, double the internal memory (256 MB) and a smaller, more compact design.

“Thais love to adopt the latest technology,” Wade told a group of media assembled at the recent launch of the new Bold. “We believe this will be a key device for the Thai market.” 

With Android joining Apple and RIM in the smartphone market and the much-hyped Google phone, the Nexus One, a little further away, 2010 is set to offer even more choice for smartphone lovers in Thailand. All that is missing is mass market 3G, but that is another story altogether.

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I agree with the analysis by Alra. Regarding a few sources to validate the data, AdMob has recently released its smartphone report for South East Asia: http://metrics.admob.com/2010/03/q4-2009-southeast-asia-report/ It is possible to download the free PDF (which includes a dedicated section to Thailand). Although AdMob statistics are not absolute (since they can base their data only on the applications using AdMob ads), they include anyway a very representative set of devices. From this statistics it emerges the undisputed prevalence of Symbian/Nokia in the market (as Alra was rightly pointing out). All the rest are ways beyond. It can be argued, though, that on the global scale, Symbian market share is remaining pretty much stable (at least if we get the years 2008/2009), while iPhone registered a +80% growth, and Android a 1.000% growth! The final conclusion stays the same: all this competition between manufacturer is going to be a godsend for consumers, globally as well as in Thailand.
A couple of comments to this: The main reason for BB's "success" is that they have teamed up with the top 3 operators and provide the BB with a special promotion package like extra GPRS/EDGE or extra free SMS IF they also buy a BlackBerry so they are mainly sold becomes they come as part of a operator promotion package and NOT because of the handset price or features. It would of course be more easy to see just how "popular" they are if they provided some stats - right now the word popular and craze comes from RIM marketing division and not backed up by any stats. Wonder how many of those 700.000 handset sold monthly in Thailand that are BlackBerry. We know that 16 percent of those are smartphones and we know 31 percent of those smartphones are HTC and we know they and Nokia are the market leaders - so unless there are numbers to back up the claim that they have "BlackBerry Fever" in Thailand - it is hard to see where excatly that should be. The BB is a nice phone with some nice features (especially if your are a corporate user) but what drives the market in Thailand is content and BB just dosent have enough value in their Apps store to become a leader in Thailand. Symbian is still the winner in Thailand by a mile due to the large mobile content base. One reason BB could become popular could be because of the QWERTY keyboard and perhaps word recognition.
Hi Alra, Thanks for taking the time to leave these interesting comments. First off, your point about a lack of data from RIM is frustrating indeed and makes it very difficult to quantify the 'success' of the brand. But I think most people in Bangkok will acknowledge that BlackBerry phones and users have become far more visible in the last year or so. Do you have sources to validate the interesting statistics you mention?You're indeed correct in asserting that smartphones are just a fraction of the total mobile phones sold in Thailand (though Samsung has now overtaken Nokia as the market leader, in sales, fyi). IDC estimates 1 million smartphones shipped in 2009: a small percentage versus the total population. The big question is how/whether smartphones have mainstream potential in Thailand? I agree also that apps are one shortfall of the BlackBerry, a feature thrives in rival Android/HTC and Apple devices. Btw, I don't believe people buy BlackBerry phones because they come as part of the package. At 12,000 THB +, there are other phones on offer so one can assume BB is chosen on its own merits. Though I think the 'cool' factor - celeb endorsements - is a big influencer in Thailand though.

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