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HTC re-enters SA market

Kirsten Doyle
By Kirsten Doyle, ITWeb contributor.
Johannesburg, 09 Jul 2014
The HTC One M8 is available on contract from Vodacom and MTN.
The HTC One M8 is available on contract from Vodacom and MTN.

HTC has restructured its South African operations, announcing it will have a direct presence in the country, and has unveiled its new flagship device, the HTC One M8.

At the device's official launch in Sandton this afternoon, Douglas Jewson, country manager of HTC SA, said in the past, there have been inconsistencies in the way HTC has brought its products to market.

Over a decade ago, HTC entered the South African market through a distribution partnership with Leaf International, before opening its own offices in 2012, and closing them shortly after in 2013 and appointing Ingram Micro as its distributor.

"We've had some great products, gained some market share and introduced some partners in the past, but HTC hasn't kept the momentum going."

To change this, HTC has partnered with Brightstar as a 'fulfilment partner', instead of using a distributor, and the latter will provide the support structures needed. "The partnership will ensure an end-to-end solution for customers."

The company also outlined its strategy for tackling the local market, and said its aim is to achieve 5% of the South African smartphone market over the next couple of years. "HTC is working with operators to bring our products to market, and using their infrastructure that is already in place to deliver consistency.

"We're not going to try to take on the whole market," Jewson added. "HTC is seen as a tier two smartphone challenger, in terms of market size, not product quality. We see ourselves as a niche player."

The HTC One M8 is available on contract from Vodacom and MTN, for around the R499 contract tariff, or R8 999 retail.

"In August, HTC will unveil the HTC One M8 Mini, which will retail for around R5 999 or be available on contract at around R400 per month. Following in September, the HTC Desire, the phablet in the range, will be available on contract for less than the Mini, at between R199 to R299." Jewson did not confirm a retail price for this device.

"Our aim now is to build a base and build consistency and trust in the HTC brand. We want to offer a premium product at a good price, and build a platform to launch our next range of smartphones in the future."

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