If you do a little searching, you’ll see headlines like:
- digits: iPad Loses Market Share to Android
- Android up, iPad down in tablet market
- Android Tablets Gain on Apple IPad in Fourth Quarter By Pavel Alpeyev and Hugo Miller
… and more.
Thankfully, you’ll also see the one who actually did research – Android grabs 22% tablet share – not!
Nothing worse than an analyst who gets paid to – paid to do what, exactly? Nobody actually analyzed anything. All these people get paid to parrot each other. The big thing analysts are touting is how the Android tablet market share went up to 22%, thanks to the sheer volume of tablets moved by Samsung. One analyst did some homework and and found out the following:
Pressed by an analyst at an investment bank, the Samsung executive, Lee Young-hee, acknowledged that sales to consumers were “quite small,” though she didn’t give a specific number.
In her comments, she used the terms “sell-in” to reflect Samsung’s sales to distributors and “sell-out” to reflect the distributors’ sales to consumers.
Ms. Lee’s response to the analyst:
“Well, your question was on sell-in and sell-out. As you heard, our sell-in was quite aggressive and this first quarterly result was quite, you know, fourth-quarter unit [figure] was around two million. Then, in terms of sell-out, we also believe it was quite small. We believe, as the introduction of new device, it was required to have consumers invest in the device. So therefore, even though sell-out wasn’t as fast as we expected, we still believe sell-out was quite OK.”
To explain, Samsung was merely quoting how many tablets were sold to stores to stock their shelves, not how many were sold to customers. To really drive this point home, imagine magazine companies boasting about how many magazines they sold to 7-11 to put on their racks. Rather than admit to two customers actually buying the magazines, they tell shareholders they sold 1,000,000 magazines (and conveniently forget to mention that it was sold to the stores)
So, analysts, or should I call you lazy, shoddy writers who get paid to post poorly-formed opinions. This is only the beginning. From now on, expect me to Take You To Task ™!!