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Samsung Galaxy S5 Unit Sales 40 Percent Lower Than Targeted: Report

Samsung Galaxy S5 Unit Sales 40 Percent Lower Than Targeted: Report

By Ketan Pratap | Updated: 24 November 2014 21:04 IST

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A new report has claimed that Samsung's current flagship, the Galaxy S5 has underperformed in the global market leading to thousands of the devices 'piling up' in warehouses. The Wall Street Journal cites sources who say that as a result, the South Korean company is now considering a shake-up at the management level.

The report suggests that the company sold only 12 million Samsung Galaxy S5 units in the first three months after its launch, which if compared to its predecessor (the Galaxy S4), is 4 million less. The company overall sold nearly "40 percent fewer than projected".

The report further added that sales were down over 50 percent in China while the US market was the only "major market" for Samsung where an increase in sales figures were claimed.

Samsung is said to have overestimated demand for the Galaxy S5, which has led to a situation where the company is spending more on advertising to help move units which are piled up in its warehouses. A Samsung spokesperson, when contacted by The Verge declined to comment on the report and said, "We don't comment on rumours and speculation."

The figures are surprising considering that JK Shin, Head of Samsung's Mobile Business, claimed back in May that the company had shipped more than 11 million Galaxy S5 smartphones since its launch, which was said to be more than the 10 million Galaxy S4 units that sold in the same amount of time last year.

Top-level executive changes said to be under consideration include JK Shin "possibly ceding his role". However, the report adds that the plans are "far from final."

Samsung, at a recent Investor Forum, announced plans to slash the number of smartphone models it issues next year by up to a third.

Samsung also reported that its July-September quarterly profit was the lowest in more than three years, suggesting a decline in earnings from its smartphone business since 2011.

Samsung Galaxy S5

REVIEW
KEY SPECS
NEWS

Design
Display
Software
Performance
Battery Life
Camera
Value for Money

Good
Fantastic camera
Great battery life and performance
Innovative software features
Compatibility with Samsung Gear accessories

Bad
Heart rate monitor feature is unreliable
Cluttered interface
Expensive

Read detailed Samsung Galaxy S5 review

Display 5.10-inch

Processor Samsung Exynos 5420

Front Camera 2-megapixel

Rear Camera 16-megapixel

RAM 2GB

Storage 16GB

Battery Capacity 2800mAh

OS Android 4.4.2

Resolution 1080x1920 pixels

More Samsung mobiles Samsung mobiles price in India

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Further reading: Mobiles, Samsung, Samsung Galaxy S5, Samsung Mobiles

Ketan Pratap

Email Ketan

Ketan Pratap is the Editor at Gadgets 360. His primary role - debugging the tech hype, benchmarking the future, and compiling it all into precise news, features or reviews. He has spent over 14 years calling out vaporware and identifying the best tech. He’s your guide for everything from chipsets to smart-home meltdowns. When his own batteries are low, he heads for the hills—literally. He’s someone who prefers a remote mountain pass, appreciating a 12,000-foot view that no VR ...More