Samsung phones are getting a lot cheaper – and for good reason | TechBuzz

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Smartphones have gotten better and better in recent years – but at the same time they have also become more and more expensive. However, inflation means that customers have less and less money to spend, which is becoming a real problem for Samsung. This could in turn cause cell phone prices to fall.

Samsung Electronics

Samsung sits on 50 million smartphones

Samsung is not doing well at all in terms of smartphone sales this year. The world’s largest smartphone manufacturer has a sales problem. All in all Samsung is said to be sitting on 50 million unsold smartphonesthat are in dealer inventory (source: The Elec). The most affected are probably the mid-range cell phones of the A class, which are not selling as well as Samsung had hoped.

Samsung aims to sell 270 million smartphones this year. If suddenly 50 million are missing, that is far too large a proportion of unsold hardware that is already produced at the dealers. That would be a share of almost 20 percent, while up to 10 percent are still considered healthy. Of course, Samsung continues to produce, since smartphone production like this cannot simply be stopped.

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For you, this could mean that prices will go down. Nothing is worse than unsold goods that take up space at an unattractive price and cannot be sold. Smartphones like the Galaxy A53, Galaxy A33 or Galaxy S21 FE have been available for unusually low prices in recent weeks. The latter even directly from Samsung. The pressure is already evident here. That could escalate further in the coming weeks.

The Samsung Galaxy A53 should actually sell like hot cakes:

Samsung Galaxy A53 5G and A33 5G: Highlight presented

What are the reasons for Samsung’s sales problems?

Three key factors are mentioned:

  • Corona-Pandemics
  • war in Ukraine
  • high commodity prices
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All of this is currently ensuring that inflation has risen more sharply than it has in decades and that buyers are paying much more careful attention to their money. No more unnecessary purchases are made and the existing hardware is used for a little longer. The situation will not calm down so easily in the coming months and probably even years. So it will be exciting to see how Samsung handles the crisis. We anticipate falling prices to get rid of the goods already produced before they become obsolete.



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