Almost all Western brands in various categories are leaving Russia. Many of them have already closed their doors, while others are looking for buyers of their local businesses. It seems this situation will not end soon. So the Russian economy has to somehow adapt. Well, the Chinese brands will fill the gap.
Chinese Brands In Russia
Chinese brands of phones, tablets, laptops, and household appliances began to replace the major vendors who left the country. For example, in the smartphone segment, Realme, VIVO, Xiaomi, Tecno, Infinix, iTel, and Nokia showed the highest sales dynamics in the first half of the year. Retailers are also starting to expand their assortment with new brands – Sсhaub Lorenz, Korting, Kimtigo, Akimojeba, and others. Experts believe that soon the Russian market will consist of 90% Chinese brands.
In the first half of the year, Chinese smartphone brands Realme, VIVO, Xiaomi, Tecno, Infinix, iTel and Nokia (the rights to release smartphones under the Nokia brand are owned by the Chinese holding HMD Global) became leaders in terms of sales in Russia. More than 100% year-on-year growth was demonstrated by Tecno, Infinix, Realme, and Xiaomi.
In particular, in the first half of 2021, Realme sold 498,000 smartphones. In the same period in 2022, the number equals to about 1.1 million units. Sales of Poco (a sub-brand of Xiaomi) in units grew by 16% year-on-year; Nokia increased by more than 40%. Apple’s share decreased by 14% year on year, while Samsung’s share decreased by 15%. In total, 10 million mobile phones were sold in Russia during the indicated period. This is 23% less than in the same period last year.
One of the largest online retailers Ozon confirmed that they are facing growth in demand for new Chinese devices. According to the company, unit sales of Tecno smartphones in May-June grew more than 20 times, Doogee – by five times, and Digma electronics – by almost eight times. Yandex Market reported that in the first quarter, the share of Chinese tech brands doubled year on year.