45% of the respondents will cut down their budget for the next smartphone by more than 10%.
Nearly 60% of the respondents will wait longer than usual for the next smartphone purchase.
Smartphone manufacturer origin does not hold significance for nearly 70% of the respondents.
San Diego, Buenos Aires, London, New Delhi, Hong Kong, Beijing, Seoul – September 21, 2020
In Spain, the concern over COVID-19 has pushed people to cut their budget for the next smartphone, according to the latest Consumer Lens study conducted by Counterpoint Research, which also finds that many have been forced to put on hold their next smartphone purchase. However, the origin of the smartphone is not much of a concern when making the purchase decision.
In the survey, 60% of the respondents said they would cut their budget for the next smartphone purchase. Out of these, 73% will cut their budget by more than 10%. In terms of the price bracket for future smartphone purchases, 49% of the respondents with a budget of $271 or above plan to slash it by more than 10%. This pattern is similar across genders. Nearly 70% of the respondents from the 25-34 age bracket plan to cut their next smartphone purchase budget, which is the highest proportion among all age groups.
Commenting on this trend, Counterpoint Research Associate Arushi Chawla said, “The unforeseen longer stay of COVID-19 has impacted the spending behavior of respondents in many ways. Spending on smartphones, which takes a prominent place in people’s lives, has also been impacted. The pandemic has created uncertainty over future income, making people spend mainly on essential goods. This has not only forced people to cut their next smartphone purchase budget but also pushed them to put off their plan for the next purchase.”
Chawla added, “Nearly 60% of the respondents in Spain will be postponing their plan for the next smartphone purchase due to COVID-19. Female respondents are more concerned about the ongoing pandemic than men. This makes them the dominant category when it comes to putting plans for the next smartphone purchase on hold. This also means more females opting for a contactless mode as their next smartphone purchase location.”
Impact of COVID-19 on Smartphone Purchase Intentions
Source: Consumer Lens, Counterpoint Research
Coming to the awareness of smartphone manufacturing location against the COVID-19 backdrop, the survey reveals:
- Barely a quarter of the respondents are aware of the smartphone manufacturing location in detail.
- The origin of the smartphone manufacturer does not hold much significance for the majority of respondents.
- Half of the respondents will remain indifferent if they come to know that the smartphone is manufactured in China.
Commenting on the issue, Counterpoint Research Senior Analyst Pavel Naiya said, “Men have more awareness about smartphone manufacturing origin than women. However, females dominate when it comes to those respondents who are unaware of the location but would like to know it in the future. COVID-19 has forced people in Spain to change their smartphone purchase preferences in terms of time and budget, but not in terms of manufacturing origin.”
If you are interested in a detailed analysis of smartphone consumer behavior, it is available for the subscribers on our research portal.
The Consumer Lens survey was conducted among smartphone users in seven countries during May-June 2020. The consumer opinions are drawn from a heterogeneous group in terms of age, monthly income, gender, and occupation. Data points abided with all the logical checks throughout the analysis section and gave a better representation of the ongoing smartphone trends and future purchase intentions.
Counterpoint Technology Market Research is a global research firm specializing in Technology products in the TMT industry. It services major technology firms and financial firms with a mix of monthly reports, customized projects, and detailed analysis of the mobile and technology markets. Its key analysts are experts in the industry with an average tenure of 13 years in the high-tech industry.
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