50 years after the first cellphone call was made in 1973 by Martin Cooper, the World Economic Forum reports that there are now more mobile device subscriptions (8.58 billion) in use than people in the world (7.95 billion). Mobile device ubiquity is undeniable, and the smartphone market is only set to grow. The global smartphone market is projected to have a compounded annual growth rate of 3.4% (2024-2028) and is expected to reach $0.5 trillion in 2024, according to Statista.
These devices present a valuable opportunity for advertisers, offering significant campaign scalability using a high-ROAS channel: on-device advertising.
On-device advertising connects you directly with OEMs and carriers, placing your app in front of users at the most impactful moments of the device lifecycle, like device set-up and OS updates. The rich device experience of on-device advertising then engages and retains customers, resulting in an expected conversion rate upwards of 20%.
The most widely used mobile OS in the world is Android, with 70% of the global market. And the world's largest supplier of Android smartphone devices is Samsung, with 1.03 billion users.
Let’s dive into the Samsung smartphone market, user base, and new technology in 2024.
Samsung in numbers
- As of January 2024, Samsung has a market cap of $370 billion (1)
- Samsung is a Top 5 Global Brand according to Interbrand Best Global Brands 2023, with a brand value of $91.4 billion, a 4% YoY increase from 2022 (2)
- In 2023 alone, Samsung shipped 226.6 million smartphones worldwide (3)
- Samsung accounted for 19.4% of total smartphone shipments worldwide, coming second only to Apple at 20% (4)
Identifying the over 1B Samsung users
In 2023 there were 1.03 billion active Samsung smartphone users - and that number is expected to grow in 2024. Before running on-device campaigns on Samsung devices, it’s important to understand the users you’ll be reaching in order to optimize your campaigns as effectively as possible.
1. Most Samsung users are Gen X
Generation X ( 1965 – 1980) and Millennials (1981 – 1996) make up around 90% of both Apple and Samsung’s user base. While the distribution on iOS devices skews younger in the US, Android users tend to be Gen X or older.
Gen X males have the largest labor force participation rate in the US, 90% according to the US Department of Labor. As a result, Gen X makes up a large portion of purchasing power in the US - they have money to spend. This means that by making Samsung a core channel of your marketing strategy, you’re reaching an audience with great influence over household and company decisions.
2. Samsung users care more about features than design
Android users are 57% more likely to prefer a full-featured, advanced device that’s less attractive as opposed to a sleek device that only does a few things according to ansonalex. With all Samsung smartphones and tablets using the Android operating system, this statistic can be extended to Samsung users.
Samsung is known to push the envelope on innovation with every phone they release, and its users put a lot of value in the tech advancements that have improved device functioning. For example, the ability to work on two apps on the same screen at the same time with a Samsung device is much more important than the size and color of the device.
By advertising directly on Samsung devices, you’re reaching early adopters. They are likely to look past the potential challenges of being the first to jump into a new technology. Samsung users will embrace on-device advertising placements as a new and unique feature on their device - like Aura’s Game Spotlight, which puts a new game on users’ phones every week based on their current preferences, or Aura’s In-Life App Discovery, which recommends your app to users during device updates.
3. Samsung owners have high brand loyalty
Samsung leads Android phones with 63.9% trade-in brand loyalty, while just 10.8% of users stick with other Android devices according to Tom's Guide. Once consumers start using Samsung devices, they’re likely to stay loyal to the brand.
When running UA campaigns, your goal is to acquire users who remain loyal in the long term. Advertising on Samsung devices means reaching users that are dedicated to the brands they engage with.
You’re also reaching the generation with the highest likelihood of making brand loyalty a priority - Gen X has the highest rate of brand loyalty of any generation according to Streng. All of this means that if you reach users with your food delivery app early on in the Samsung device lifecycle, users are likely to stick with you.
Trends and innovations from Samsung
Let’s dive into the innovations and trends shaping the Samsung brand in 2024.
An equitable and secure AI-enabled tomorrow
At a CES 2024 press conference Samsung unveiled its AI for All strategy. Jong-Hee Han, Vice Chairman, CEO, and Head of Samsung’s Device eXperience Division, shared how Galaxy AI-enabled Samsung devices will improve the lives of consumers “in the background.” He stressed the importance of AI’s role in enhancing connected experiences.
Included in the presentation were a number of Samsung products with integrated AI features to create a more intuitive and convenient user experience. One of the standouts for mobile marketers was Samsung’s renewed focus on security and privacy across devices. In the new hyper-connected era that Samsung is helping to build, security solutions are foundational.
A case in point is the Samsung Knox Matrix, providing end-to-end encryption across Samsung Galaxy smartphones and smart TVs. It works by allowing Samsung devices to monitor, identify, and isolate security threats across one another.
For advertisers, this is good news. A more secure mobile market means a more trusting pool of users, who’ll be more likely to engage with ads and apps knowing that their private data remains safe and encrypted.
The Samsung Galaxy S24 has lift-off
In late January 2024, Samsung announced the global release of its anticipated Galaxy S24 smartphone. While every edition of the Galaxy series offers new features and improvements for users, the Galaxy S24 promises to be one of the most transformative due to its Galaxy AI capabilities. Following the announcement, pre-orders for the device skyrocketed, with a double digit increase in pre-order sales compared to previous models according to Samsung.
TM Roh, President and Head of Mobile eXperience Business at Samsung describes the device as “our initial step toward a new era of AI phones that go beyond the current smartphone.” AI features are set to include Live Translate, Chat Assist, and a suite of new AI-powered camera tools.
With consumers showing considerable interest in AI-enabled devices and Samsung at the forefront of these innovations in consumer goods, many consumers may look to switch to Samsung as their mobile brand of choice. This could represent a major shift for advertisers, with more users choosing Samsung, and therefore Android, opening a larger market for on-device advertising.
The future is foldable
Half of US consumers are either very (16%) or somewhat (34%) interested in buying a foldable phone as their next device according to CNET, and Samsung is the first-mover in this cutting-edge technology. In 2019, Samsung released the foldable Galaxy Z series and the end of 2023 saw the most recent addition join the fold, the Galaxy Z Fold5.
Watch how they're made here: https://news.samsung.com/global/video-behind-the-foldable-phones-in-our-pockets
The Galaxy Z Fold5 offers the greatest comfort and display quality yet in the series, giving consumers all the features and tools the Galaxy Z series is known for, but now slimmer and brighter.
These quality of life improvements are expected to boost foldable device adoption. And that’s good news for advertisers. Foldable devices offer new ways to keep users engaged and entertained with your ads, such as ads that allow users to reveal more ad content as they fold or unfold their devices. Foldable screens also mean more room to fill your ad with more important and detailed information.
Learn more about leveraging foldable phones for your app’s advertising strategy.
If you’re not already leveraging Samsung for your advertising strategy, it may be time to look into it. After all, the users, technology, and innovation are some of the best in the world, making these devices an incredibly valuable channel.