Chinese smartphone maker Oppo will introduce its first strategic localisation approach in Thailand early next year, focusing on local consumer preferences and other area-specific requirements.
The strategic move is aimed at boosting market share and competing directly with Samsung, the South Korean electronics company that dominates the smartphone market in Thailand, said Leo Zhao, sales director of Thai Oppo.
Since Oppo's debut in Thailand eight years ago, the country is the only one in Southeast Asia where the brand has yet to narrow the gap with Samsung's market share.
"Being able to provide a localised smartphone will enable Oppo to eat into Samsung's dominance," Mr Zhao said. "We aim to become a leader in Thailand's smartphone market in the future."
Oppo will be launching its first smartphone designed for the Thai market by the first quarter of 2017. The company declined to release product details.
Oppo has studied Thai consumer behaviour towards the use of smartphones. Selfies, high-resolution cameras and long battery life are attractive features for Thai smartphone users.
Mr Zhao said Thailand is Oppo's first overseas expansion market outside China.
The company has a big gap to close with Samsung, which has a 40% share of the Thai market.
In the third quarter, Oppo ranked third in Thailand's smartphone market with a 12-13% market share, aided by strong sales of popular mid-range phones selling for 8,000-10,000 baht.
Thai Oppo has doubled its staff to 4,000 this year. The number of customer service centres has been raised to 35.
Mr Zhao acknowledged that Thailand's smartphone market has already reached maturity, seeing annual growth of just 2-3% in the past few years.
Smartphone sales in Thailand are expected to reach 25 million units in 2017, up from 22 million this year, which saw an increase of 2% from 2015.
However, he said the middle to high-end smartphone markets will continue growing faster than the entry-level segment.
The high-end segment, priced over 15,000 baht, accounted for 6% of smartphone sales this year, compared to 3.5% in 2015.
In comparison, the entry smartphone, priced below 4,000 baht a unit, accounted for 40% of total sales this year, down from 50% last year.
Mr Zhao said the smartphone has become a must-have device. The handset replacement cycle will be faster to 10 months in 2017, down from between 12 and 15 months this year.
He also said the local smartphone market will see consolidation in the near future as intense competition whittles down the number of players.
"Less than 10 handset makers will survive in the Thai market," Mr Zhao said.
A report by research firm Gartner said Oppo increased its global market share from 3.4% in 2015 to 6.7% in 2016 in the third quarter, trailing Samsung, Apple and Huawei.