Cheap used phones priced at<$200 are now the only growth area in the smartphone market. Companies who just sell hardware are now set to be Losers as their profits tumble. Companies like Apple, with a strong brand and service offering, will be long-term Winners.
Chemicals and the Economy
Smartphone sales continue to fall as consumers cut back
Consumers around the world are tightening their purses and cutting back on non-essential purchases, as the recession continues to develop and China’s real estate bubble bursts.
Smartphone sales set to tumble as China’s lockdowns continue
The market downturn couldn’t have come at a worse time for Apple. It was already facing major supply chain chaos in Q2. And now it has to face a major decline in the smartphone market itself. Inevitably this will lead to a brutal battle for market share as companies struggle to survive.
The trend is your friend in the smartphone market
Two core trends are playing out in the smartphone market, now it has gone ex-growth. The weaker players are suffering major hits to their revenue and profits. And the most successful company, Apple, is busy accelerating its move into the more service-based markets of the future.
Smartphone sales decline highlights need to move to a more service-based business model
Global smartphone sales took a hit in Q3, disappointing those who had hoped the economy might be moving into full recovery mode. And the market continues to see a major shift in consumer preferences: Back in 2013, sales were in turbo-charged growth mode, with volume rising 41% by year-end. And 2014 saw volume up 31%, […]
Samsung stumbles in global smartphone market as Xiaomi overtakes Apple
Smartphone sales confirm that global markets are continuing to pivot to the New Normal world. Back in 2014, Samsung dominated with its middle market positioning. But since then, its position has been squeezed as the market polarises between low-cost Chinese suppliers and Apple’s focus on adding services. Every third smartphone used to be a Samsung. […]
Smartphone sales highlight new trends in consumer markets
Smartphone markets continue to provide early warning of the major changes taking place in consumer markets. And Q4 data confirms the old rules are becoming less and less relevant: As the chart shows, market positioning is now all-important. Apple are stretching their lead in the ‘sweet spot’ of the value chain – design – and […]
Smartphone sales confirm mid-market of ‘affordable luxury’ is disappearing
Another 3 months, another decline in global smartphone sales. And more pressure on mid-market players like Samsung, as China’s low-cost producers continue to gain market share. As the chart shows: Samsung had 35% of the global market back in 2013, but was down to 23% in Q3 Its annualised volume fell to 262 million from […]
Smartphone sales continue their decline, whilst $25 smart feature phones open up new markets
Global smartphone sales have now been falling for 8 consecutive quarters, since Q3 2017. They are now down 9% from their peak, as the chart shows, based on Strategy Analytics data. As always in a falling market, Winners and Losers are staring to appear: LOSERS Apple’s market share fell to its lowest level for 10 […]
Global smartphone recession confirms consumer downturn
Q3 smartphone sales data show the global market in recession, as Strategy Analytics confirmed: “The global smartphone market has now declined for four consecutive quarters and is effectively in a recession.” The warning signs began in Q1, when the market plateaued for the first time, as discussed here in May: “The global smartphone market has […]