Samsung Electronics is planning to boost its African revenue fivefold to $10 billion by 2015, according to a regional executive, as the top television maker targets rising consumer spending on the fast-growing continent.
Samsung’s revenue from Africa currently stood at $2bn, or less than 5 percent of the global total, its country manager for Zambia, Chabala Kaunda, said this week.
The South Korean-based electronics company was aiming to lift that contribution to about 9 percent by 2015, he said.
“By 2015 we intend to have the African market provide us with revenues of $10bn, which is the current size of the Chinese market,” Kaunda said on the sidelines of a company employee volunteer programme.
Buoyed by a decade of relative political stability and annual growth of 7 percent or more in many sub-Saharan African economies, the continent of about 1 billion people is increasingly drawing attention from major multinationals.
US retailer Walmart recently acquired a controlling stake in retailer Massmart, and said that it was planning further expansion across Africa.
Samsung was also considering opening factories in Africa, although it had yet to make any decision, Kaunda said.
Samsung, the biggest maker of memory chips and second-largest maker of cellphones, has been on an aggressive growth push in the continent, more than doubling its presence since last year.
The South Korean company now operated in 42 African countries, compared with 15 at the start of last year, he said.
“In a lot of African countries now because of good governance, good economic conditions, good economic policies and economies which are growing, we have this middle class which uses technology,” Kaunda said.