IPhone bucks global smartphone market downward trend

IPhone bucks global smartphone market downward trend

IPhone bucks global smartphone market downward trend

"Globally, as well as in China, a key bellwether, smartphone consumers are trading up to more premium devices, but there are no longer as many new smartphone converts, resulting in shipments dropping", said Melissa Chau, associate research director with market-research firm IDC. The China market was the biggest driver of this decline with shipment volumes dipping below 100 million in the quarter, which hasn't happened since the third quarter of 2013. Samsung's then latest and greatest, the Galaxy Note 8, had gone on sale for a whopping Kshs 105,000 2 months earlier. "Looking forward, more affordable premium devices might be the solution the market needs in the second half of the year to drive shipments back in a positive direction". It shipped 52.2 million smartphones, which IDC indicates was 15.5 percent of the entire world market.

Samsung managed to keep the decline to a minimum, because of the strong initial sales of the newest flagships, the Galaxy S9 and Galaxy S9+. Although smartphone shipment volume declined, Samsung announced its blended average selling price for handsets was $250 per unit, up from $170 at the same time a year ago.

On a broader scale, the iPhone 8 and iPhone 8 Plus combined outsold the iPhone X. This shouldn't necessarily come as too big of a surprise seeing that it's a combination of two different models.

"The ideal smartphone market for Chinese brands are the emerging smartphone markets such as Bangladesh, Myanmar and Middle East & Africa where LTE is being launched for the first time or the network is expanding to more covered geographies". Huawei has toed the line between maintaining a strong domestic position while slowly upscaling its brand image in worldwide markets with dividends paying off as it beat the average global growth rate, reaching 13.8% year over year.

"Samsung's performance varies by price tier, where share has been under pressure at the low end but has increased in both the high ($600-$900) and premium ($900+) tiers". In comparison, the sales figure for the first three months of 2018 fell to 345.4 million units. The company is also doing well in the feature phone market. The share of the midrange and ultra-high-end devices improved substantially year over year. "The North America market has been problematic for Chinese brands and the ban on ZTE will further decline their share in the region".

Xiaomi's entry-level Redmi 5A smartphone, which started selling in Kenya in March during the Jumia Mobile Week and remains on sale through the online retailer and several offline stores like Anisuma, is singled out as having made quite an impact in another price-conscious market: India. Its low-end Redmi 5A made up nearly two-fifths of its volume in India.

Xiaomi also remained one of the fastest growing brands (+101%) in Q1 2018, driven by strong sales in both China (+51%) and India (+134%). OPPO, for instance, saw its market share decline while Xiaomi seems to be bouncing back well after engaging in reverse gear 2 years ago.

The "Company" represents the current parent company (or holding company) for all brands owned and operated as a subsidiary.

When it comes to the individual devices that contributed to a healthy premium smartphone market in Q1,2018, The OnePlus 5T had a 25% market share followed by Galaxy S9+ at 17% and Galaxy s9 at 12%. Tracker results are delivered to clients in user-friendly excel deliverables and on-line query tools. Using proprietary tools and research processes, IDC's Trackers are updated on a semiannual, quarterly, and monthly basis.

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