MobileTrend: Since you Started your business in the Middle East , how is the Saudi market stands and why it is important to you?
Tim: For the Middle East region, Saudi Arabia is one of the biggest markets. According to the latest GfK TEMAX Kingdom of Saudi Arabia Report, the telecommunications sector in Technical Consumer Goods market of Saudi Arabia generated a turnover of SAR 5.79 billion, with growth of 19.8% in Q1 2015, when compared to Q1 2014. Smartphones was the largest segment in the sector, making a double-digit value contribution. The phablets segment also performed well. As the Saudi market is still growing and eagering for latest and competitive products, it's very important for InnJoo to enter it and provide the products with good quality and best price to satisfy the market's demand.
MobileTrend: What is your market share in KSA?
Tim: InnJoo now is focusing on the online business and has become the top 3 online consumer electronics brand in the region. With the increasingly popular of eCommerce, we are expecting to reach 5% market share by providing smart devices and software solutions to the customers.
MobileTrend: What is the growth rate for InnJoo since it was launched last year?
Tim: InnJoo was born in 2014. In the past year, more than 1.2 million devices have been sold out and we can say it’s something we are proud of. From the software development, we’ve took solid steps to move forward. In less than a half year, 2.5 million apps downloaded from InnStore and 0.4 million active users every week from InnBrowser. In addition, we pay more attention to the interactions with the consumers by kinds of social media including Facebook, Youtube and InnJoo Forum.
MobileTrend: Why you choose the concept eCommerce for selling products of InnJoo?
Tim: We all know that the traditional sales model is working well, but it also causes a lot of costs like listing fee, channel fee and so on. Obviously, the cost will be passed to consumers directly and it reflects on the end user price. While we want to make it different, the idea of brand-direct-to-end user model came out and we are being able to cut out channel costs to provide the well using experience with competitive price. Except the necessary operating costs, the biggest advantage of eCommerce is to cut out much of the middle channel costs. And we are able to utilize this part to increase investment for software development, improvement of product quality, and also to make the price more competitive, from another dimension is also a benefit for our consumer.
MobileTrend: Why you choose souq.com to sell InnJoo through, tell us about your history together?
Tim: Souq.com is the first and largest eCommerce website and ranked as one of the top 10 websites across the region. It attracts over 28 million unique visits per month, offers powerful eCommerce solutions to the strategic partners and focus on end-to-end customer experience. From the exclusive and strategic partnership with souq.com, InnJoo has got enough attention and provided excellent service around devices. Now InnJoo has introduced full product range including smartphones, tablet and smart accessories to the Saudi market through souq.com, and is aiming to develop more opportunities for mutual growth and customer satisfaction.
MobileTrend: Do you think selling online through retailers like Souq.com is a good strategy?
Tim: ECommerce is the market trend and it grows so fast all over the world. We can't say that eCommerce will completely take the place of traditional business mode, but the importance and benefits of eCommerce platform becomes increasingly obvious in terms of favourable pricing strategy and convenience. Strategically partnered with souq.com, the largest eCommerce platform in the region, is definitely a wise decision to open up the field of eCommerce to InnJoo.
MobileTrend: What do you think is going to be the impact on profitability for the smartphone brands with the big competition in the KSA Market?
Tim: The core is the best timing to provide the most competitive product with considering the market requirement. Who can catch up with the current trends of the market, who can win this competition. As the competition is increasingly fierce, an user-friendly experience and top quality service must be the key factors for adding value to your brand. Also we are dedicated ourselves in the development of software and looking for more opportunities at the profitability from it to balance the hardware homogeneity.
MobileTrend: Why your products are targeting the middle income consumers, is this because they represent the biggest segments in KSA & Middle East?
Tim: The middle income consumers stands the biggest segments and strongest demands. InnJoo dedicated itself to provide the high specification but affordable price smart devices, we believe that people could enjoy a smart life but don’t need to pay too much. Even low income consumers they can also enjoy InnJoo products with no concern with the budget.
While KSA and even the whole Middle East market is a diversified market, the immigrant population is the major component and they would introduce InnJoo models to their friends and relatives in their homeland, which is good for us to expand to other emerging markets also.
MobileTrend: Tell us about the after sales services for innJoo?
Tim: We deeply understand that consumers are concerned about after-sales service and their expectation before buying, that's why we have set up InnJoo Home as our brand experience stores and repair centers. Consumers can experience our products in InnJoo Home before buying online. And as the cooperation with souq.com, we are very confident because of their professional delivery and after-sales service network.
MobileTrend: What is the new coming for innJoo?
Tim: We are expecting new product at the coming quarter. Learning from the market deeply, the new releasing is to be expected with higher specification but still cost-effective.