Although smartphone sales in Russia fell by nearly a third in Q2 2022, Samsung Galaxy devices are reportedly nowhere to be found on store shelves in several areas in Russia. Even though demand for smartphones in the second quarter of the year dropped to a new decade-low, the supply chain is hurting even more.
Samsung announced in March that shipments to Russia will be suspended until further notice due to ongoing geopolitical developments. Samsung wasn't the only Western electronics manufacturer to pull out of Russia as a response to the invasion of Ukraine, and to mitigate the effects of this exodus, Russia introduced a program that allows imports without approval from trademark owners. In other words, stores could import Samsung smartphones and tablets to Russia without Samsung's consent.
Customers in Russia have trouble finding new Samsung phones
Even with these measures in place, the Russian smartphone market is seemingly failing in many areas where potential customers are unable to find any Samsung (or even Apple) smartphones, according to The Moscow Times (via RBC).
In Q2 2022, demand for smartphones in Russia reportedly fell 30% YoY, reaching a 10-year low. Now, Samsung wholesale distributor Merlion says there are several reasons contributing to the short supply in Russia, from broken logistics chains and limited funding to difficulties in customs clearance.
The Korean tech giant's market share in Russia isn't negligible. Samsung is the leading smartphone brand in Russia, holding a market share of around 30% — twice as large as Apple's. However, this won't count for much if no phones are available on store shelves and sales stagnate and decline.
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