The Nokia and Samsung brands have long been undisputed leaders on Ukraine’s mobile phone market with 52 percent and 37 percent market share, according to market research studies.
But their strong grip is being challenged by Apple’s revolutionary iPhone, which has kicked off a smart phone frenzy that is even challenging Nokia’s position in its native Finland.
Demand for the new iPhone 4S in Ukraine appears to have exceeded all expectations, according to Citrus Discount, an online and streetside retailer that specializes in selling hi-tech devices. Citrus Discount says it alone has pre-orders for 10,000 of the new iPhones.
They are currently in the process of importing them.
Citrus Discount said it has only sold about 500 iPhone 4S phones so far in Ukraine. But much more are believed to be in use in Ukraine, brought in as personal items or imported through unofficial channels, said Katryna Kifa, a spokesperson at Citrus Discount.
Even though there is no official Apple Store in Ukraine, you can still buy a legally imported iPhone in one of the online stores. As of the second quarter of 2011, nearly 100,000 of the older model iPhone 3 were in use in Ukraine, as were more than 42,000 iPhone 4 models.
Apple boasts that the new iPhone introduces about 200 new improvements over previous models, including introduction of the iOS 5 operating system. “It is considered to be one of the best operating systems because it is almost does not freeze,” Kifa said.
Apple’s iPhone 4S
With an 8-megapixel camera, the new iPhone produces higher quality pictures. The biggest innovation of the new model, according to some experts, is Siri, an intelligent software assistant which provides users with quality voice control of their iPhones.
Calling someone or sending a message can be as easy as saying out loud: Call Peter or Message Peter. One drawback, however, is that Siri can only for now be used in English, French or German. And, it can only find places you are searching for on maps of the U.S.
Market research firm GfK Ukraine said that smart phones of various brands are becoming increasingly popular in Ukraine, posting some 355,000 in sales valued at more than $100 million since June 2011.
Nokia N9
They accounted for 38 percent of sales in the third quarter of 2011, GfK added. The average price of smart phones bought in Ukraine is about Hr 2,290.
Industry insiders say that sales are also picking up in Ukraine for non-Apple smart phones, such as Samsung’s Galaxy S II. Nokia, long dominant in Ukraine as well as neighboring European markets, is also positioning itself for a piece of the growing smart phone pie.
Nokia recently introduced a sleek touch-screen smart phone, the Nokia N9. Nokia claims the novelty is unique as compared to Apple’s iPhone and Google’s Android phones, since it is designed for one-hand use.
According to Nokia designers, while using the N9, you can switch between applications by using just the thumb. In the iPhone and Android phones, you have to go to main menu or press a button.
Samsung’s Galaxy S II
Still, a recent survey by pollster Research & Branding found that while about 84 percent of Ukrainians use mobile telephone services, only 7 percent use smart phones. What is keeping a majority of Ukrainians from joining the global smart phone frenzy?
The answer is price, namely price tags in the $1,000 range.
The N9, with its 16-64 gigabyte memory, costs around Hr 5,500-6,300. The new iPhone 4S sells in Ukraine for about Hr 7, 800 with 16 GB of memory; Hr 8,700 with 32 GB and Hr 9,600 for the 64 GB model.
“The main disadvantage of the iPhone in Ukraine is its price. It is still too high for a majority of the population,” Citrus Discount’s Kifa said.
Kyiv Post staff writer Maryna Irkliyenko can be reached at [email protected].