Where Did it Go Wrong for HTC?

Since the last quarter of 2011, HTC has been in this downward spiral as their sales continue to plummet. And the future does not look bright for the Taiwan based company either after the dismal performance of their units this quarter.

As a result, HTC is looking to shift its focus towards lower priced phones and emerging markets outside the US like China. The brand was thoroughly overtaken by Samsung even if one could argue that they have made some better handsets. Their foray into the Windows phone market did not do very well either.

WP 8X by HTC California Blue 3views

So is this the end for HTC’s high-end phones? Well, they still have a few phones scheduled to be released, particularly the M7 and it is pretty powerful with a quad-core chip, a 1080p screen, and a 12mp camera. They said that they will not completely abandon the high-end phone market, but will simply be focusing on other emerging markets.

That said, what has led HTC to this path when just two years ago, they are the toast of the Android town?

Making it hard for consumers

HTC made a big splash in 2007 when they introduced T-Mobile G1. From then, their devices were one of the primary personal or business phone alternatives to the iPhone. But by the second half of 2011, their sales were dwindling. By 2012, Samsung released the Galaxy S3 and became the darling of the Android community while HTC’s sales continue to plummet.

But with the HTC One X having comparable specs with the S3, it is confounding that the latter has left the former in the dust. If consumers were asked, they would have said that they did not even have a chance to choose. While the S3 was available through all major carriers like AT&T, Verizon, Sprint, T-Mobile, and US Cellular, the One X was only available through AT&T. Customers of other carriers were not even able to try out the One X so they automatically chose the S3 and never looked back. Would they have chosen the One X over the S3? Maybe, maybe not. The point is that they were not given the choice.

And by HTC’s own admission, they confused the hell out of the consumers as well by releasing multiple versions of the same phone for different carriers. They almost exhausted the alphabet with the number of models like the HTC One V, S, X, SV, VX, XL, and X+. Even the experts are having a difficult time remembering which is what and what separates each device from each other.

Failing to Adjust

The problem with HTC is that they refused to recognize that the time of exclusive phones has come to pass. They should have recognized this with the success of their direct competitor in the Samsung Galaxy S3. By making it available through multiple carriers, it is exposed to more consumers. And being the great phone that it is, consumers gobbled it up. Instead of going this route, they chose to release different iterations of the same phone through different carriers.

It is not too late for HTC to turn it around. Rumors have it that the M7 will be available through the top three major carriers. Combine this with more advertising and they might have a hit device in their hands.