Linked by Thom Holwerda on Tue 19th Nov 2013 15:47 UTC
PDAs, Cellphones, Wireless

Samsung Electronics Co said on Tuesday its Galaxy Gear has become the world's most popular smartwatch with sales reaching 800,000 since its debut two months ago, defying some market concerns the accessory would fail due to a lack of compelling features.

The South Korean firm said Gear sales have been better than its own expectations and it would expand sales promotions for the wearable device for the crucial year-end holiday sales.

Impressive for a poorly reviewed device. I guess this is what marketing and bundling can do - then again, without bundling, flagship smartphone sales would crumble like three week old bread too.

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I agree. The shipped vs sold argument is tired. If a company stuffs the channel one quarter, the following one their volumes will adjust accordingly because their inventory will rise.

Retailers don't keep ordering slow selling products, so while initially shipped can be used to mislead on figures (probably unintentionally because Samsung can't track every watch that leaves a brick and mortar) the charade can't be maintained for a long time.

Problem is that in this case the product is only two months old and the retailers are probably still selling their initial inventory.

So the shipped vs sold argument is perfectly valid here. Better understanding on actual sales will come within a few months, but today, those sales figures are most probably inflated.

Even the firms that claim to track sales to end users are guessing at best, this is impossible to keep track of precisely with such a diverse supply chain.

Not true for Apple because they also now how much devices are activated and all of them are their own products. Apple also gives how much devices are in the inventor channel along with sales: I don't know how they keep track of these figures, but they do.

Edited 2013-11-20 10:09 UTC

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