A Change of Guard

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Sunday 1 January 2012

Chinese phones quietly dominate Cambodian market

By: Kaing Tongy
Published: 01-Jan-12

PHNOM PENH (Cambodia Herald)-, While more and more Cambodian people are seen carrying expensive mobile phones like iPhone 4, more and more Chinese phones has been penetrating mobile market in the Kingdom.

Along most streets in Phnom Penh especially around markets, mobile phone counters and shops are seen displaying their smart phones. In the last several years, more and more Chinese mobile phone has dominated the space in each booth.

At the price of about $30, a Chinese phone is featured with, mp3, karaoke, radio, Internet access, camera, radio, TV, and double sim card trays. Of course, none of branded smart phones including iPhones have such amazing functions.

In Cambodia, original iPhone 4 costs over 600USD, but with an exactly alike appearance, a Chinese iPhone featuring touchscreen, mp3 and mp4 player, radio, camera, two dual sim tray, and live TV costs less than 40USD.

“I like this Chinese phone because it is very cheap and has everything other mobile phones have such as mp3, mp4, camera, and two-sim slots,” said 22-year-old student Mr. Thang Bunthon while listening to music. And when asked if he was completely fond of the 4-month-old phone, the Kandal province resident replied, “Well, you can’t expect clear images from its camera or more applications installed, but at the price of 30 dollar, it is far too enough.”

Ms. Im Sopheak, 61, bought her shiny-red Chinese mobile phone two months ago at the price of 22 USD. While inserting 012 and 097 sim card, the shop assistance said, “I bought the phone because I don’t have much money, but I love the design of this handset.” When asked if there is anything she does not like her phone, she suggested, “Battery life should be longer and the phone quality should be improved. I’ve just changed a new battery.”

In Cambodia it is common that one person holds more than one mobile phone since there is a strong competition the market. Users are taking advantage of bonus, free on-network minutes, or pre-loaded credit.
29-year-old Nay Long Heng finds it is disturbing to carry several phones, so he decided to buy a Chinese phone that can operate three networks at once. “None of the high-profile-brand phones could operate 3 sims like the Chinese one,” said the officer worker, explaining that he uses many network to save calling costs.

A phone shop owner along Russian Blvd in Toeuk Tla noticed that Chinese phone sale increases comparing to two years ago. “Now I can sell two or three Chinese phones every day, but in 2009 sale was much lower,” said Mr. Sok Phealy adding that most of his customers are garment factory workers, who have basic salary of 61USD.

Arranging his 30 phones orderly, Phealy continued, “Chinese phone are cheap and have lots of features, so they are easy to sell.” But he admitted that profits from Chinese and brand phone sale are not different.

Phones shops around factories are seen displaying only colorful Chinese phones with same look as genuine Nokia, Sony Ericsson, HTC, LG, iPhone, Samsung, and etc. To workers, Chinese phones have the decent price for heir income.

Klaing Romsev is probably the most popular market in Phnom Penh to buy and sell used or new phones. There are hundred phone shops selling almost any kinds of mobile phones on earth. Salin E8 is one among them, displaying hundred of colorful Chinese phone, but the shop retails and whole sells only Chinese phones. According to the owner, she bought the phones directly from China; however, there are some models she needs to buy from local importers.

“All kind of people- not matter old or young, rich or poor buy from my shop,” Slin E8 shop assistance said. “Chinese phone retail price ranges from $18 to $30.” She declined to tell how many sets her shop sells everyday, but revealed that sale seemed decrease, probably because of competition.

Another shop owner in Klaing Romsev, who started selling Chinese phones 2 years ago said, “Prices, styles, and features make Chinese phone a dominant product in the market in the market.” “Young workers also prefer loud-volume phones but branded phones does not have this feature,” she added.

Mobile phones in Cambodia boomed in the first decade of 2000. Nokia at the time dominated the kingdom mobile market until several years ago when other brands split the market.

While nearly 30% of the 14 million population live in less that one dollar per day, Cambodia, according to the Ministry of Post and Telecommunication, has over 14 million subscribers, but networks operators admit that less than half of those maybe active users. There are 8 networks in the Kingdom with GDP per capita of over 800USD, and a ninth will soon enter the market.

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