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South Africa’s Smartphone Market Grows 73% YoY in Q3 2023 to Reach Highest Since 2021

  • South Africa’s smartphone market growth supported by accelerated feature phone-to-smartphone migration.
  • Samsung led the market but its share declined as HONOR, Huawei and TECNO gained.
  • HONOR was the fastest-growing brand and captured the second position for the first time in Q3 2023.

Smartphone shipments in South Africa grew 73% YoY and 44% QoQ in Q3 2023, according to the latest research from Counterpoint Research’s Market Monitor Service. The market reached its highest levels since 2021, just before the macroeconomics-related global slowdown started. In Q3 2023, the market was also helped by the increased feature phone-to-smartphone migration as Chinese OEMs tapped into the entry price bands.

Commenting on the market performance, Senior Research Analyst Yang Wang said, “South Africa is among the fastest-growing smartphone markets in the MEA region, and major Chinese players are increasing their focus on this market. South Africa’s market is growing rapidly and has breached its 2021 levels before the macroeconomic crisis put a dent in the global economy. As the nation’s economic situation is recovering, Chinese OEMs are aggressively trying to capture demand. The entry of HONOR has further tightened competition in the market as it poses a strong competitor against Xiaomi and Samsung in the low- and mid-tier segment.”

South Africa Smartphone

Most of the major smartphone brands recorded a double-digit YoY percentage growth during the quarter and are rushing to fill the market with newer offerings to capitalize on the recovery in demand. Major Chinese players are getting aggressive and are launching multiple products in the lower price tier to further accelerate the migration from feature phones to smartphones.

Samsung led the market during the quarter, despite stiff competition from the aggressive Chinese players. It was the leading brand across all the price segments and the A-series devices continued to drive volumes. Samsung’s foldable devices are among the leading models in the premium segment.

HONOR surpassed Xiaomi to become the second-biggest smartphone brand during the quarter due to aggressive marketing activities, and improved device availability across channels. HONOR focused on low- and mid-priced smartphones and provided stiff competition to Chinese players Xiaomi and TECNO. During the quarter, TECNO also entered the premium segment with the launch of the HONOR 90 5G and 90 Lite 5G. The brand offered a free HONOR Watch 4 with the 90 5G model and HONOR Choice Earbuds X5 with the 90 Lite 5G.

Xiaomi narrowly lost its second spot to HONOR, despite its share increasing YoY during the quarter. It is focusing on increasing its channel reach. Xiaomi’s Redmi 10 and Note 11 series were the volume driver. Xiaomi is among the leading players in the low-tier price segment (< $100) due to the popularity of its Redmi 10A, 10C, and A1 series.

Transsion Group is another major player in the market, benefitting from strong demand for the TECNO and itel brands. Meanwhile, Infinix has not been able to make a presence in the market. TECNO is focusing on the low- to mid-end market while itel is focusing on the lower-end market and is the leader in its segment. TECNO’s Pova and Pop, and itel’s A series were the volume drivers. TECNO is among the leading players in the sub-$200 price range, while itel leads the <$100 segment.

South Africa is still facing an energy crisis, but we note that major macro indicators are stabilizing due to the easing of inflation and unemployment rates. Chinese players are starting to notice MEA markets in general, and South Africa will be seen as a particularly attractive market due to the higher income levels and better connectivity infrastructure. South Africa’s market is expected to grow further in the high-end segment driven by the increasing premiumization trend, and Samsung and Apple are likely to benefit the most.

Background

Counterpoint Technology Market Research is a global research firm specializing in products in the TMT (technology, media, and telecom) industry. It services major technology and financial firms with a mix of monthly reports, customized projects, and detailed analyses of the mobile and technology markets. Its key analysts are seasoned experts in the high-tech industry.

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US Smartphone Market Share: Quarterly

US Smartphone Shipments Market Data (Q2 2022 – Q3 2023)

Published date: August 17, 2023

A repository of quarterly data for the US smartphone market share. This data is a part of a series of reports which track the mobile handset market: Smartphone and Feature Phone shipments every quarter for more than 140 brands covering more than 95% of the total device shipments in the industry.

Counterpoint Research US Smartphone Market Share Q3 2023Source: Market Monitor Service

US Smartphone Shipments Market Share (%)
Brands Q2
2022
Q3
2022
Q4
2022
Q1
2023
Q2
2023
Q3
2023
Apple 48% 50% 57% 52% 55% 53%
Samsung 30% 24% 20% 27% 23% 25%
Lenovo# 9% 6% 6% 8% 9% 11%
Google 1% 4% 5% 2% 3% 3%
Others 12% 16% 12% 11% 10% 8%

*Ranking is according to the latest quarter.

#Lenovo includes Motorola.

US Smartphone Market Share Highlights:

  • US smartphone shipments declined YoY for the fourth straight quarter in Q3 2023 amid weak consumer demand.
  • Google, Samsung and TCL were among the brands recording the steepest YoY declines, while Motorola and Nokia HMD managed growth amid a challenging market environment. Motorola increased its shipment share to 11% in Q3.
  • Apple’s iPhone shipments declined 11% YoY, in part due to the later launch date of the iPhone 15 series compared to the iPhone 14 series. Its sales share dropped to 53% in Q3 from 55% in Q2.
  • Weak upgrade rates at the carriers were the main source of weak smartphone shipments, signaling that consumers are opting to hold on to their devices for longer.

The smartphone market share numbers are from:

 

MOBILE DEVICES MONITOR – Q3 2023 (Vendor Region Countries)

This report is part of a series of reports which track the mobile handset market: Smartphone and Feature Phone shipments every quarter for more than 140 brands covering more than 95% of the total device shipments in the industry.

The deliverable includes

•  Single pivot format giving in-depth analysis of the global handset market
•  Covers 140+ brands now in comparison to 95 brands earlier
•  Break out of 3 key countries in each region to give a further granular view of the regions
•  18 countries view as compared to six earlier
•  Covers more than 95% of the global handset shipments
•  More visuals and analysis by country and by regions

This robust quarterly report with fact-based deep analysis covering multiple dimensions will help players across the handset value chain to holistically analyze the current state of the global handset market and plan ahead of the competition.

Contact Us Read More

 

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*Data on this page is updated every quarter

This data represents the US smartphone market share by quarter (from 2021-2023) by top OEMs. The US smartphone market is mainly an operator-driven market.

For detailed insights on the data, please reach out to us at info(at)counterpointresearch.com. If you are a member of the press, please contact us at press(at)counterpointresearch.com for any media enquiries.


Q2 2023

Published date: August 17, 2023

Counterpoint Research US Smartphone Market Share Q2 2023

US Smartphone Shipments Market Share (%)
Brands Q1
2022
Q2
2022
Q3
2022
Q4
2022
Q1
2023
Q2
2023
Apple 50% 48% 50% 57% 52% 55%
Samsung 24% 30% 24% 20% 27% 23%
Lenovo# 11% 9% 6% 6% 8% 9%
Google 2% 1% 4% 5% 2% 3%
Others 13% 12% 16% 12% 11% 10%

*Ranking is according to the latest quarter.

#Lenovo includes Motorola.

US Smartphone Market Share Highlights:

  • US smartphone shipments declined 24% YoY. Low-end smartphone sale declines were the biggest contributing factor to the downturn.
  • Samsung’s shares dropped to 23% as competition from other Android OEMs has increased in the prepaid segment, hurt Samsung’s performance.
  • Apple was one of the few OEMs that did not see a shipments drop of double digits YoY. Older iPhone 11 and iPhone 12 devices are helping the OEM attract new customers.
  • Google’s share rose to 3% due to the earlier launch of the Pixel 7a compared to its predecessor.
  • Motorola grew to 9% share capitalizing on Samsung’s weakness, launching new devices including the G Stylus, G 5G and the new Razr+ in Q2.

Q1 2023

Published date: May 16, 2023

US Smartphone Market Share (%)
Brands Q4
2021
Q1
2022
Q2
2022
Q3
2022
Q4
2022
Q1
2023
Apple 60% 49% 45% 50% 57% 52%
Samsung 24% 27% 28% 24% 20% 27%
Lenovo# 9% 10% 9% 6% 6% 8%
TCL 2% 3% 7% 4% 3% 2%
Google 2% 2% 1% 4% 6% 2%
Others 4% 9% 10% 12% 9% 8%

*Ranking is according to the latest quarter.

#Lenovo includes Motorola.

Highlights:

  • US smartphone shipments declined 17% YoY in Q1 2023 due to inventory correction and weak consumer demand.
  • Apple market share increased to 52% in Q1 2023 from 49% in Q1 2022 as it began aggressively selling iPhone 11 in prepaid channels.
  • Samsung Galaxy S23 shipments were up double digits YoY while the Galaxy A14 5G performed exceptionally well in prepaid resulting in 27% share of shipments.
  • Lenovo Group (Motorola) and TCL Group saw shipments decline in Q1 but their overall shipment share grew as OEMs like Nokia HMD and white-label devices saw even steeper declines.
  • During Q1 2023, carriers reported very low upgrades. We expect the incumbent postpaid players to increase promotional activity during the second half of the year to combat cable MVNOs, which saw higher net additions than the Big 3 during the quarter, a first for the US smartphone market.

Q4 2022 Highlights

Published date: February 18, 2023

US Smartphone Market Share (%)
Brands Q3
2021
Q4
2021
Q1
2022
Q2
2022
Q3
2022
Q4
2022
Others 9% 8% 13% 12% 16% 12%
Google 1% 2% 2% 1% 4% 5%
Lenovo# 9% 12% 11% 9% 6% 6%
Samsung 34% 22% 24% 30% 24% 20%
Apple 47% 56% 50% 48% 50% 57%

*Ranking is according to the latest quarter.

#Lenovo includes Motorola.


Q3 2022 Highlights

Published date: December 23, 2022

USA Smartphone Market Q3 2022

US Smartphone Market Share (%)
Brands Q2 2021 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022
Apple 53% 47% 56% 50% 48% 50%
Samsung 26% 34% 22% 24% 30% 24%
Lenovo# 12% 9% 12% 11% 9% 6%
OnePlus 2% 3% 2% 2% 1% 1%
Others 7% 7% 8% 13% 12% 19%

*Ranking is according to the latest quarter.
#Lenovo includes Motorola.


Q2 2022 Highlights

Published date: August 15, 2022

Counterpoint Research USA Smartphone Market Q2 2022

US Smartphone Market Share (%)
Brands Q1
2021
Q2
2021
Q3
2021
Q4
2021
Q1
2022
Q2
2022
Apple 55% 53% 47% 56% 50% 48%
Samsung 27% 26% 34% 22% 24% 30%
Lenovo# 5% 12% 9% 12% 11% 9%
OnePlus 1% 2% 3% 2% 2% 1%
Others 12% 7% 7% 8% 13% 12%

*Ranking is according to the latest quarter.
#Lenovo includes Motorola.


Q1 2022 Highlights

Published date: May 15, 2022

  • Smartphone shipments grew 12% YoY as supply chain dynamics improved and fell 16% QoQ due to regular seasonality in Q1 2022.
  • Apple grew 8% YoY due to strong demand for the iPhone 13 and channel-fill for the newly launched iPhone SE 2022.
  • Samsung declined 7% YoY despite a successful Galaxy S-series launch and solid low-end demand for its A-series devices.
  • Lenovo (Motorola) grew 127% YoY as it saw sales of its G-series models increase due to tax season promotions and deals.

Counterpoint Research USA Smartphone Market Q1 2022

US Smartphone Market Share (%)
Brands Q4 2020 Q1 2021 Q2 2021 Q3 2021 Q4 2021 Q1 2022
Apple 65% 55% 53% 47% 56% 50%
Samsung 16% 27% 26% 34% 22% 24%
Lenovo# 3% 5% 12% 9% 12% 11%
OnePlus 0% 1% 2% 3% 2% 2%
Others 16% 12% 7% 7% 8% 13%

*Ranking is according to the latest quarter.
#Lenovo includes Motorola.


Q4 2021 Highlights

Published date: February 15, 2022

  • Smartphone shipments grew 10% YoY and 30% QoQ in Q4 2021 as the new Apple iPhone 13 launched, filling channels with its latest premium devices for the holiday season.
  • In the premium segment, although Apple grew 67% QoQ due to the new launch, Samsung declined -11% QoQ as it could not replenish its S21 series fast enough which also resulted in a decline in market share, down to 22%.
  • Lenovo (Motorola) once again grew to 12% market share with the help of devices such as the Moto G Pure, which is the first major MediaTek device for the OEM in the US market.

US Smartphone Market Share (%)
Brands Q3
2020
Q4
2020
Q1
2021
Q2
2021
Q3
2021
Q4
2021
Apple 40% 65% 55% 53% 47% 56%
Samsung 30% 16% 27% 26% 34% 22%
Lenovo# 6% 3% 5% 12% 9% 12%
OnePlus 0% 0% 1% 2% 3% 2%
Others 24% 16% 12% 7% 7% 8%

*Ranking is according to the latest quarter.
#Lenovo includes Motorola.


Q3 2021 Highlights

Published date: November 15, 2021

  • Smartphone shipments grew 1% YoY and 6% QoQ in Q3 2021 despite supply constraints during the quarter.
  • Apple grew 19% YoY due to a strong launch for the iPhone 13 series. As a result of the launch, Apple’s market share jumped from 40% in Q3 2020 to 47% in Q3 2021.
  • Samsung shipment grew over 13% YoY and 38% QoQ driven by the resumption of regular operations at its Vietnam factories and the successful launch of its new foldable series
  • Motorola and OnePlus were big gainers in Q3, capitalizing on LG’s exit from the market.

Counterpoint Research USA Smartphone Market Research Q3 2021

US Smartphone Market Share (%) Q2
2020
Q3
2020
Q4
2020
Q1
2021
Q2
2021
Q3
2021
Apple 46% 40% 65% 55% 53% 47%
Samsung 25% 30% 16% 27% 26% 34%
Lenovo# 7% 6% 3% 5% 12% 9%
OnePlus 0% 0% 0% 1% 2% 3%
Others 22% 24% 16% 12% 7% 7%

*Ranking is according to the latest quarter.
#Lenovo includes Motorola.


Q2 2021 Highlights

Published date: August 15, 2021

  • Smartphone shipments grew 21% YoY in Q2 2021 continuing the positive momentum from Q1. It is likely shipments and growth could have been higher in Q2, but industry wide shortages curtailed this.
  • Apple’s marketshare slightly lowered to 53%, although strong iPhone 12 demand remained. Overall Apple shipments grew 38% YoY. Some shortages of iPhone SE (2020) hindered prepaid growth.
  • Samsung’s share dropped to 26%, but it also had positive YoY growth at 26%. Shortages, especially for A-series devices somewhat stifled Samsung’s growth potential.
  • LG’s share drastically declined in Q2 2021, now at just 3%.
  • Motorola and OnePlus were big gainers in Q2, capitalizing on LG’s weakness, especially in prepaid channels.

Counterpoint Research USA Smartphone Market Share Q2 2021

US Smartphone Market Share (%)
Brands 2020Q1 2020Q2 2020Q3 2020Q4 2021Q1 2021Q2
Apple 46% 46% 40% 65% 55% 53%
Samsung 32% 25% 30% 16% 27% 26%
Lenovo# 4% 7% 6% 3% 6% 12%
LG 10% 12% 13% 9% 7% 3%
Others 8% 10% 11% 7% 5% 6%

*Ranking is according to the latest quarter.
#Lenovo includes Motorola.


Q1 2021 Highlights

Published date: May 15, 2021

  • Smartphone shipments grew 14% YoY in Q1 2021. Total market volumes were down QoQ, in-line with seasonal trends. Strong YoY growth came from higher than usual demand for premium devices.
  • Apple’s market share remained high at 55% from strong iPhone 12 demand. Supply issues in Q4 2020 pushed demand into Q1. This spiked sales for iPhone 12 devices, which also benefitted from strong postpaid promotions.
  • Samsung grew to 28% share through Samsung’s early launch of the Galaxy S21. Samsung launched its new Galaxy S21 in early February instead of March like in previous years. A-series devices also helped boost Samsung in prepaid channels.
  • LG announced in early April that they would be leaving the smartphone business. We expect this share to decline drastically in Q2 2021

Counterpoint-Research-US-Smartphone-Quarterly-Market-Data-2019Q4-2021Q1

US Smartphone Market Share (%)
Brands 2019Q4 2020Q1 2020Q2 2020Q3 2020Q4 2021Q1
Apple 49% 46% 46% 40% 65% 55%
Samsung 20% 32% 25% 30% 16% 27%
LG 9% 10% 12% 13% 9% 7%
Lenovo# 8% 4% 7% 6% 3% 6%
Others 14% 8% 10% 11% 7% 5%

*Ranking is according to the latest quarter.
#Lenovo includes Motorola.


Q4 2020 Highlights

Published date: February 15, 2021

  • The US smartphone market saw a 6% YoY decline in sales in Q4 2020 as COVID-19 continued to impact the economy.
  • QoQ growth was at 24% due to record high iPhone sales and a strong demand for Samsung Galaxy devices.
  • Apple grew 14% YoY despite a delayed iPhone 12 launch while Samsung gained 5% YoY.
  • Apple and Samsung were the only OEMs to see positive growth in the quarter, thanks to new launches and a strong demand for premium devices during the holiday season.
  • Despite the overall negative growth, there is good momentum going into 2021. Just as in Q3 2020, the market remained on the road to recovery in Q4.

Counterpoint-US-Smartphone-Quarterly-Market-Data-2019Q3-2020Q4

US Smartphone Market Share (%)
Brands 2019Q3 2019Q4 2020Q1 2020Q2 2020Q3 2020Q4
Apple 42% 49% 46% 46% 40% 65%
Samsung 25% 20% 32% 25% 30% 16%
LG 12% 9% 10% 12% 13% 9%
Alcatel 8% 8% 4% 7% 7% 3%
Others 13% 14% 8% 10% 10% 7%

*Ranking is according to the latest quarter.


Q3 2020 Highlights

  • During the third quarter of 2020, US smartphone sell-in fell 6% year-over-year due to continued COVID-19 impacts and seasonal demand drop ahead of the holiday quarter.
  • However, in terms of quarter-on-quarter growth, the market had healthy recovery, increasing 27% QoQ.
  • While Apple sell-in dropped to 40% share of the market, the continued success of the iPhone 11 series and the iPhone SE 2020 helped Apple maintain its position as the market leader.
  • Samsung witnessed double-digit YoY growth as the A-series and the premium Galaxy Note 20 and Galaxy S20 series devices all performed well against other Android competition.
  • LG grew its shipment share slightly due to new launches, including the LG Velvet 5G, and strong demand for the LG K51 in both prepaid and postpaid channels.

Counterpoint US Smartphone Quarterly Market Data (2019Q2 – 2020Q3)

USA Smartphone Market Share (%)
Brands 2019

Q2

2019

Q3

2019

Q4

2020

Q1

2020

Q2

2020

Q3

Apple 41% 42% 49% 46% 46% 40%
Samsung 21% 25% 20% 32% 25% 30%
LG 13% 12% 9% 10% 12% 13%
Lenovo# 8% 8% 8% 4% 7% 6%
Others 17% 13% 14% 8% 10% 11%

*Ranking is according to the latest quarter.
#Lenovo includes Motorola.


Q2 2020 Highlights

  • During the second quarter of 2020, US smartphone sell-through fell 25% year-over-year.
  • Prepaid channels were hurt the most during the COVID-19 outbreak despite a higher percentage of stores remaining open compared to postpaid.
  • Postpaid channels declined 20%, a steep fall but one partly offset by an almost doubling of the percentage of devices sold online.
  • All OEMs were down in Q2 year-over-year. Due to lockdowns, the share of online sales grew to 31% from 14% last year.
  • However, because of a strong online presence, Samsung and Apple volumes fared better than the overall market aided by a higher percentage of online sales.

Counterpoint US Smartphone Quarterly Market Data (2019Q1 – 2020Q2)

US Smartphone Market Share (%)
Brands 2019 Q1 2019 Q2 2019 Q3 2019 Q4 2020 Q1 2020 Q2
Apple 39% 41% 42% 49% 46% 46%
Samsung 28% 21% 25% 20% 32% 25%
LG 11% 13% 12% 9% 10% 12%
Lenovo# 8% 8% 8% 8% 4% 7%
Others 14% 17% 13% 14% 8% 10%

*Ranking is according to the latest quarter.
#Lenovo includes Motorola.


Q1 2020 Highlights

  • According to Counterpoint’s latest US Channel Share Tracker, Q1 2020 saw a 21% year-over-year (YoY) decline in US smartphone sales driven by store closures and stay-at-home orders in the latter part of the quarter.
  • Apple only declined 13% YoY, which is far better than the other tier one OEMs. Samsung declined 23% YoY.
  • The A-series continued to be a sales driver for the OEM as S20 series sales were off to a weak start due to COVID-19 shutdowns taking affect right as devices hit the market.
  • OnePlus did see growth in the quarter, their sales grew YoY from a small base. OnePlus continues to make inroads into US carrier markets, especially through their competitively priced 5G smartphone offerings.

Counterpoint US Smartphone Shipments Market Share Q1 2020

US Smartphone Market Share (%)
Brands 2019 Q1 2019 Q2 2019 Q3 2019 Q4 2020 Q1
Apple 39% 41% 42% 49% 46%
Samsung 28% 21% 25% 20% 32%
LG 11% 13% 12% 9% 10%
Lenovo# 8% 8% 8% 8% 4%
Others 14% 17% 13% 14% 8%
*Ranking is according to the latest quarter.
#Lenovo includes Motorola.

Q4 2019 Highlights

  • The US smartphone market declined 1% YoY due to weak upgrades and increase in the average holding periods, especially in the premium segment. Flagship sales have remained sluggish especially for Samsung and LG which faced tough competition from Apple.
  • Apple increased 7% YoY with the help of the new iPhone 11 series. The iPhone 11 was the best selling device for Apple during the quarter.
  • Samsung declined 8% YoY despite recent success of A series. There has been 5G sales, but not enough for OEM to stem the decline in sales year over year.
  • LG declined 24% YoY as flagship sales faltered. The LG V50 was one of the first 5G devices on the market, but is now facing a tough competition from Samsung Note 10 5G.
  • Among the “Others” OnePlus grew 182% YoY from a small base. The OEM has two 5G capable devices in carrier channels currently which has helped it grow.

Counterpoint US Smartphone Market Share Q4 2019

US Smartphone Market Share (%) 2018

Q4

2019

Q1

2019

Q2

2019

Q3

2019

Q4

Apple 47% 39% 41% 42% 49%
Samsung 22% 28% 21% 25% 20%
LG 12% 11% 13% 12% 9%
Lenovo# 6% 8% 8% 8% 8%
Others 13% 14% 17% 13% 14%
*Ranking is according to the latest quarter.
#Lenovo includes Motorola.

Q3 2019 Highlights

  • Smartphone volumes fell 2% YoY, from continued weakness of high-end premium Android devices. Mid-tier devices increased in sales but could not offset the premium decline.
  • Apple increased YoY with the help of the new iPhone 11 series. The iPhone 11 quickly became the flagship device of choice for budget conscious Apple fans. Apple continues to make headways with its services expansion, launching Apple TV+.
  • Samsung declines another quarter. The S10 series continues to see weakness in the premium line-up. The Note 10 shows promise and the Note 10 Plus 5G could become a strong 5G seller as carriers are experimenting with different monthly pricing configurations and financing options.
  • Among the “Others” Google Pixel grew 139% YoY as the Pixel 3a and 3a XL are overtaking sales of the Pixel 3. Google will look to the Pixel 4 in Q4 to help boost its premium device sales however early market response for the device seems lackluster.

US Smartphone Market Share Q3 2019

US Smartphone Market Share (%) 2018

Q3

2018

Q4

2019

Q1

2019

Q2

2019

Q3

Apple 39% 47% 39% 41% 42%
Samsung 25% 22% 28% 21% 25%
LG 17% 12% 11% 13% 12%
Lenovo# 8% 6% 8% 8% 8%
Others 11% 13% 14% 17% 13%
*Ranking is according to latest quarter.
#Lenovo includes Motorola.

Q2 2019 Highlights

  • US sell through declined 1.5% year-over-year. The US premium market softened with holding periods continuing to increase.
  • We are seeing a shift away from premium devices as Apple showed a YoY increase through the continued success of the XR as its top seller.
  • Samsung declined as Galaxy S10 sales began to waver in Q2. Samsung had a solid launch of the Galaxy S10 series but is now seeing signs of weakness.
  • Most Apple and Samsung flagships now come with 6” displays and prepaid devices like the LG Stylo 4 and Motorola G7 series help boost mid and low-end sales.

US Smartphone Market Share (%) 2018

Q2

2018

Q3

2018

Q4

2019

Q1

2019

Q2

Apple 40% 39% 47% 39% 41%
Samsung 25% 25% 22% 28% 21%
LG 16% 17% 12% 11% 13%
Lenovo# 5% 8% 6% 8% 8%
Other 14% 11% 13% 14% 17%
*Ranking is according to latest quarter.
#Lenovo includes Motorola.

Q1 2019 Highlights

  • The US smartphone market is a concentrated market with top 3 brands – Apple, Samsung and LG controlling 78% of the total shipments during the quarter. The market is saturating and replacement cycles are lengthening.
  • All the top three brands declined – Apple, Samsung, and LG. Motorola and Google were some of the notable gainers.
  • Apple is holding its market share (39%) in a declining US market, but volume mix is shifting to older devices.

US Smartphone Market Q1 2019

US Smartphone Market Share (%) 2018

Q1

2018

Q2

2018

Q3

2018

Q4

2019

Q1

Apple 37% 40% 39% 47% 39%
Samsung 26% 25% 25% 22% 28%
LG 14% 16% 17% 12% 11%
Motorola 4% 5% 8% 6% 8%
Other 19% 14% 11% 13% 14%
*Ranking is according to latest quarter.

Q4 2018 Highlights

  • The US market sold-through 10% fewer smartphones in the fourth quarter of 2018 than the same quarter in 2017.
  • Apple: Early adopters hit the stores in September and October to purchase the XS Max and XS. In November and December, the largest volumes moved to the XR.
  • Verizon was the largest channel for Apple in 4Q18.
  • The only gainers during 4Q18 were Alcatel, Motorola, and Samsung. Alcatel and Motorola grew from small bases.
  • Samsung was able to gain on the longevity of the Galaxy S9 and S9 Plus and a particularly strong November for the Note 9. J7 and J3 variants are strong within many prepaid channels.

USA Q4 2018

US Smartphone Market Share (%) 2017Q4 2018Q1 2018Q2 2018Q3 2018Q4
Apple 44% 37% 40% 39% 47%
Samsung 19% 26% 25% 25% 22%
LG 14% 14% 16% 17% 12%
Motorola 5% 4% 5% 8% 6%
Other 18% 19% 14% 11% 13%
*Ranking is according to latest quarter.

Q3 2018 Highlights

  • The USA smartphone market showed an annual decline of 7%.
  • Apple is still leading the US Smartphone market with a 39% share in Q3 2018.
  • Motorola showed a YoY growth of 54% in Q3 2018.
  • Top four brands contributed to about 90% of the total market share.

USA Smartphone Market Share 2018 Q3

US Smartphone Market Share (%) 2017Q3 2017Q4 2018Q1 2018Q2 2018Q3
Apple 33% 44% 37% 40% 39%
Samsung 23% 19% 26% 25% 25%
LG 18% 14% 14% 16% 17%
Motorola 5% 5% 4% 5% 8%
Others 21% 18% 19% 14% 11%
*Ranking is according to latest quarter.

Q2 2018 Highlights

  • The US smartphone market declined 22% annually in Q2 2018.
  • The decline in the smartphone market was majorly due to ZTE and Samsung. ZTE was affected due to sanctions imposed by the US government.
  • Even though device sales were down by double digits, US wireless performances were solid in Q2 2018.

USA Smartphone Market Share Q2 2018

US Smartphone Market Share (%) 2017Q2 2017Q3 2017Q4 2018Q1 2018Q2
Apple 28% 33% 44% 37% 40%
Samsung 31% 23% 19% 26% 25%
LG 15% 18% 14% 14% 16%
Motorola 2% 5% 5% 4% 5%
Others 24% 21% 18% 19% 14%
*Ranking is according to latest quarter.

Q1 2018 Highlights

  • The US smartphone market declined by 1% in Q1 2018 compared to Q1 2017
  • Apple continued to dominate the smartphone market with 38% share and grew annually because the iPhone X performed well in the market
  • LG declined annually due to a shift in its flagship smartphone launch strategy

USA Smartphone Market Share Q1 2018

US Smartphone Market Share (%) 2017Q1 2017Q2 2017Q3 2017Q4 2018Q1
Apple 33% 28% 33% 44% 37%
Samsung 22% 31% 23% 19% 26%
LG 18% 15% 18% 14% 14%
ZTE 10% 11% 12% 11% 11%
Others 17% 15% 14% 12% 12%
*Ranking is according to latest quarter.

 

Samsung Smartphones to Dominate 42 Countries in 2023 vs 46 in 2022

  • Samsung lost ground in six countries due to competition from Xiaomi, TECNO, realme, and Apple.
  • Samsung to capture the top spot in two new nations this year – India and Malaysia.
  • The brand increased market share in India with its multifaceted distribution strategy.

Samsung is projected to secure the leadership position in terms of market share in 42 countries in 2023, down from the 46 it dominated a year ago, according to Counterpoint Research’s Quarterly Market Monitor report. The current analysis, which includes a total of 74 nations, indicates that while Samsung is expected to concede its leading position in six countries, including the Philippines, it will concurrently regain the top spot in two nations, India and Malaysia. Expressly, Samsung will be losing first rank in four countries this year.

Number of Countries Where Samsung Holds Top Smartphone Market Share, 2021-2023 (Based on Shipments)

Source: Counterpoint Research Market Monitor

The Philippines, Algeria, and Kuwait are among the six countries where Samsung is poised to lose its top position. Historically, the Philippines has been a robust market for Samsung, boasting a substantial share of shipments within Southeast Asia. However, the dynamics are shifting, especially with the fervent reception of the realme C55 model released during H1 2023. The model experienced significant popularity, even leading to a midnight sellout on ecommerce channels. This surge in momentum suggests a potential threat to Samsung’s top position throughout the latter half of the year.

Meanwhile, Apple is expected to surpass Samsung in Kuwait to take the top spot while TECNO is set to dethrone Samsung in Algeria. Apple’s expected rise to the top in Kuwait’s major GCC market is due to the popularity of the iPhone 14 Pro series in the $800 and above premium segment during H1 2023. Meanwhile, in Algeria, Samsung is set to lose its leading position due to TECNO’s competitive pricing strategies.

However, Samsung is poised to surpass Xiaomi and secure the top position in India and Malaysia this year. Samsung has been employing diverse strategies to capture the Indian market. Samsung is successfully implementing a multifaceted distribution strategy, with the Galaxy A series targeting offline channels, the F series focusing on the large online retailer Flipkart, and the M series being a key player on Amazon. Additionally, the premium lineup of the Galaxy S and Z series has been well-received in India, contributing to Samsung’s market share expansion.

Indonesia’s Q2 2023 Smartphone Shipments Drop 10%; OPPO Recaptures Top Spot

  • Indonesia’s smartphone shipments declined in Q2 2023 due to macroeconomic headwinds.
  • OPPO overtook Samsung to recapture the top spot with a 21% share.
  • Top OEMs except Infinix recorded declines. Infinix’s shipments grew 17% YoY.
  • Xiaomi’s shipment decline softened to 12% YoY in Q2 2023.
  • 5G smartphone shipments in the <$400 price band increased 11% YoY.

Jakarta, London, Boston, Toronto, New Delhi, Beijing, Taipei, Seoul – August 14, 2023

With macroeconomic headwinds continuing to impact demand, Indonesia’s smartphone shipments declined 10% YoY in Q2 2023, according to Counterpoint’s Monthly Indonesia Smartphone Tracker. The increase in shopping activity during the Eid al-Fitr festivities in April was also lower than last year. Promotions such as price discounts, bundled offers and installment and trade-in schemes failed to have the desired impact on sales. Consumers’ buying interest shifted to accommodating the increased price of commodities like fuel, and household and personal products, along with services availed during the festival season, such as travel.

Indonesia Smartphone Shipments Market Share by OEM, Q2 2022 vs Q2 2023

Indonesia smartphone shipments Q2 2023
Source: Counterpoint Monthly Indonesia Smartphone Tracker, 2023

OPPO recaptured the top spot in the market in Q2 2023 with a 21% share, largely supported by its low-end models in the A17 series. The brand continued its aggressive marketing campaign and the models released in the previous quarter, such as the Reno8 T series and Find N2 Flip, had a spillover effect on its visibility in the market. The Galaxy A04 series made a significant contribution to Samsung’s volumes, restricting the brand’s shipment share decline to just 1% point.

Among top OEMs, only Infinix saw an increase in its shipments, at 17% YoY. The brand focused on the <$200 price band, offering better specifications in its models. Besides, Infinix was aggressive with its marketing activities to increase awareness and visibility for the brand. Its newly launched products, such as the Note 30 series, Hot 30 series and the Smart 7 series, contributed significant volumes to the brand’s overall shipments.

Xiaomi’s shipment decline significantly softened to 12% YoY in Q2 2023 from 47% YoY in Q2 2022. Recent initiatives indicated that Xiaomi had worked on strengthening its supply and distribution. The OEM made strong marketing moves during the quarter, such as new product launches and rejigging of discount schemes. Xiaomi sub-brand Redmi’s performance was driven by its newly launched models, especially the Redmi A2 series and Redmi Note 12 series.

5G smartphone shipments in the <$400 price band increased 11% YoY in Q2. Key OEMs in this segment included Samsung with its Galaxy A14 5G, A23 5G and A34 5G series and Xiaomi with its Redmi Note 12 series. Newcomer iQOO Z7 5G series also joined this segment.

Outlook

Looking ahead, we expect a continued macroeconomic recovery in H2 2023 to lift the smartphone market. Senior Analyst Febriman Abdillah said, “Price becomes more crucial considering the current macroeconomic climate, which has increased commodity prices. Giving incentives to consumers, like discounts, bundled offers, bonuses and trade-in schemes, can be one option to keep the market attractive. The incentives may even be relevant for the mid-range and premium segments.”

At the brand level, Xiaomi’s new initiatives to bring prices down may attract consumers and help the brand grow this year. Infinix may grow further as it becomes more popular in the market.

Feel free to contact us at press@counterpointresearch.com for questions regarding our latest research and insights.

Background

Counterpoint Technology Market Research is a global research firm specializing in products in the TMT (technology, media and telecom) industry. It services major technology and financial firms with a mix of monthly reports, customized projects and detailed analyses of the mobile and technology markets. Its key analysts are seasoned experts in the high-tech industry.

Analyst Contacts

Febriman Abdillah

 

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Related Posts

India Premium Smartphone Segment Grows 112% YoY in Q2 2023; India Now Among Apple’s Top 5 Markets

  • India’s premium smartphone segment now contributes a record 17% to its overall shipments.
  • With an 18% share, Samsung led India’s smartphone market for the third consecutive quarter.
  • Samsung also surpassed Apple to become the top premium segment (>INR 30,000 or ~ $366) brand.
  • Apple continued to lead the ultra-premium segment (>INR 45,000 or ~$549) with a 59% share.
  • vivo maintained its second position. It was the only brand among the top five to experience YoY growth.
  • OnePlus was the fastest-growing brand in India’s smartphone market in Q2 with 68% YoY growth.

New Delhi, Hong Kong, Seoul, London, Beijing, San Diego, Buenos Aires – July 28, 2023

India’s smartphone shipments declined 3% YoY in Q2 2023 (April-June), according to the latest research from Counterpoint’s Monthly India Smartphone Tracker. Though this decline was the fourth consecutive quarterly decline, its magnitude reduced significantly, from 19% in Q1 to 3% in Q2. Base effect, pent-up demand and improving macroeconomic conditions helped the market close at less than the expected decline. However, the premium smartphone segment presented a different picture, growing 112% YoY in Q2 to contribute a record 17% to the overall shipments.

Commenting on the market dynamics, Senior Research Analyst Shilpi Jain said, “In Q2 2023, OEMs saw improvement in the inventory and demand situation ahead of the coming festive season. Aggressive measures were implemented by OEMs as well as channels during the quarter to clear existing inventory through multiple sales and promotions. At the consumers’ end, falling inflation and better growth prospects facilitated demand recovery. 5G upgrades also played a major role as OEMs kept launching 5G devices in the INR 10,000-INR 15,000 (~$122-$244) segment for a wider reach. We believe brands will be coming up with interesting launches and offers to lure consumers during the festive season and 5G will be a big growth driver here.”

India smartphone market share, Q2 2023

Source: Counterpoint Research Market Monitor

Notes: Xiaomi includes POCO; OPPO excludes OnePlus; vivo includes iQOO; Figures not exact due to rounding

Commenting on the competitive landscape and brand-level analysis, Research Analyst Shubham Singh said, “Samsung remained at the top position for the third consecutive quarter with an 18% market share. The brand also surpassed Apple to regain its top position in the premium smartphone segment (>INR 30,000, ~$366) after one year with a 34% share. Aggressive offers on the Z Flip3 and S21 FE, Samsung Finance+ and high demand for the latest premium A-series and F-series devices drove this growth. However, Apple continued to lead the ultra-premium segment (>INR 45,000 or ~$549) with a 59% share. India is now among Apple’s top-five markets.”

“vivo maintained its second spot in the overall market and was the only brand among the top five to experience YoY growth. Strong offline presence, growth of sub-brand iQOO in online, and multiple launches across price tiers facilitated this growth. OPPO has been consistently expanding its shipments in the higher-tier segments, with a particular focus on the upper mid-tier range (INR 20,000-INR 30,000 or ~$244-$366), showcasing its strategy to cater to diverse consumer needs. OPPO emerged as the top brand in this segment with a 21% market share. OnePlus was the fastest growing brand in India’s smartphone market in Q2 with 68% YoY growth.”

Other key insights

  • 5G smartphone growth: In Q2 2023, 5G smartphone shipments in India crossed the 100-million cumulative mark as 5G upgrades picked up pace driven by the expansion of 5G networks and availability of affordable devices. 5G smartphone shipments grew 59% YoY during the quarter.
  • Premiumization trend: The premiumization trend gained momentum as the segment grew at a faster rate of 112% YoY. Rise of a value-based incentive system for retailers, aggressive promotions, availability of credit through various financing schemes, and OEMs’ focussed approach are driving premiumization in India.
  • Channel dynamics: Offline channel share has been growing and is expected to rise to 54% in 2023. Online-heavy brands like Xiaomi, realme and OnePlus are now emphasizing offline expansion to enhance customer engagement and ecosystem development. Samsung and Apple are also increasing their offline presence to cater to diverse consumer preferences. This shift reflects a more comprehensive approach, leveraging both online and offline channels to create a seamless and personalized customer experience.
  • 4G feature phone growth: 4G feature phone share in the overall feature phone shipments increased to 10% in Q2 2023 driven by the JioBharat and itel Guru series’ launch. We believe this share will increase to 18% by the end of 2023. Growing demand for UPI, multiple launches from OEMs and Reliance push will help the segment grow further.
  • Inventory levels: The market was able to exit Q2 2023 with eight weeks of inventory as Xiaomi and realme managed to clear most of their inventory through multiple sales and promotions.
  • Other notable brands which grew during Q2 2023 were Apple (56% YoY), Transsion (34%), Lava (53% YoY) and Nokia (6% YoY).

The comprehensive and in-depth ‘Q2 2023 Market Monitor’ is available for subscribing clients. 

Feel free to contact us at press@counterpointresearch.com for questions regarding our latest research and insights.

The Market Monitor research relies on sell-in (shipments) estimates based on vendors’ IR results and vendor polling, triangulated with sell-through (sales), supply chain checks and secondary research.

You can also visit our Data Section (updated quarterly) to view the smartphone market shares for World, USChina and India.

Background

Counterpoint Technology Market Research is a global research firm specializing in products in the TMT (technology, media and telecom) industry. It services major technology and financial firms with a mix of monthly reports, customized projects and detailed analyses of the mobile and technology markets. Its key analysts are seasoned experts in the high-tech industry.

Analyst Contacts

Shilpi Jain

Shubham Nimkar

Tarun Pathak

Follow Counterpoint Research
 

Monthly Pulse: Xiaomi Becomes #1 Smartphone Brand Globally for First Time Ever

• This is the first time ever, in June 2021, Xiaomi has become the number one brand in global monthly smartphone sales (sell-through) volumes

• While this is a great feat for Xiaomi, it could prove to be temporary once Samsung’s production recovers from Vietnam’s COVID-19 wave, but the race has gotten close

Seoul, Taipei, Beijing, London, Boston, Toronto, New Delhi, Hong Kong – August 5, 2021

Xiaomi surpassed Samsung and Apple in June 2021 to become the number one smartphone brand in the world for the first time ever, according to Counterpoint Research’s Monthly Market Pulse Service. Xiaomi’s sales grew 26% MoM in June 2021, making it the fastest-growing brand for the month. Xiaomi was also the number two brand globally for Q2 2021 in terms of sales, and cumulatively, has sold close to 800 million smartphones since its inception in 2011.

Exhibit: Global Monthly Smartphone Sales Share Trends (%)

Global Smartphone Sales Share by Brands #XiaomiTops

Source: Counterpoint Research Monthly Market Pulse, July 2021

Commenting on the market dynamics that led to Xiaomi attaining pole position, Research Director Tarun Pathak noted, “Ever since the decline of Huawei commenced, Xiaomi has been making consistent and aggressive efforts to fill the gap created by this decline. The OEM has been expanding in Huawei’s and HONOR’s legacy markets like China, Europe, Middle East and Africa. In June, Xiaomi was further helped by China, Europe and India’s recovery and Samsung’s decline due to supply constraints.”

Commenting on the China market and Samsung supply constraints, Senior Analyst Varun Mishra said, “China’s market grew 16% MoM in June driven by the 618 festival, with Xiaomi being the fastest growing OEM, riding on its aggressive offline expansion in lower-tier cities and solid performance of its Redmi 9, Redmi Note 9 and the Redmi K series. At the same time, due to a fresh wave of the COVID-19 pandemic in Vietnam, Samsung’s production was disrupted in June, which resulted in the brand’s devices facing shortages across channels. Xiaomi, with its strong mid-range portfolio and wide market coverage, was the biggest beneficiary from the short-term gap left by Samsung’s A series.”

Going forward, if the situation in Vietnam does not improve, Samsung’s production is likely to remain hit with Xiaomi continuing to gain share from the Korean brand. However, once Samsung recovers, the ranks are likely to shuffle again.

Please reach out to press (at) counterpointresearch.com for press comments and enquiries.

You can also visit our Data Section (updated quarterly) to view the smartphone market share for WorldUSAChina and India.

Some of our other smartphone market analyses for Q2 2021:

Background

Counterpoint Technology Market Research is a global research firm specializing in products in the TMT (Technology, Media and Telecom) industry. It services major technology and financial firms with a mix of monthly reports, customized projects and detailed analyses of the mobile and technology markets. Its key analysts are seasoned experts in the high-tech industry.

Analyst Contacts: 

Varun Mishra

 

Tarun Pathak

 

Follow Counterpoint Research
press(at)counterpointresearch.com

 

Global Smartphone Shipments Reached 380 Million Units, Showing Signs of Market Recovery

Samsung led the market with 21% share, strong demand for A & Note series Continue reading “Global Smartphone Shipments Reached 380 Million Units, Showing Signs of Market Recovery”

Realme becomes fastest growing smartphone brand in Q3 2019

Rising brand realme became the fastest growing smartphone brand registering over 800% annual growth in Q3 2019. As a result, realme shipped over 10 million smartphones and came in 7th place in the global smartphone market for the first time. This is especially noteworthy as the global smartphone market has been in decline for several quarters already.

You can download our whitepaper to check out the details.

 

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Vietnam Smartphone Market Returns to Double Digit Growth in Q2 2018

Xiaomi (363%) and Huawei (193%) were the fastest growing brands in Vietnam.

Xiaomi enters the top five brands for the first time 

   New Delhi, Hong Kong, Seoul, London, Beijing, San Diego, Buenos Aires –

 August 7th, 2018

According to the latest research from Counterpoint’s Market Monitor service, the Vietnamese smartphone market recorded double digit growth at 11% YoY, the highest since 4Q 2016. Growth in the smartphone market was due to new launches and offers in entry to mid segment, mainly from Chinese brands.  However, the overall handset market declined 6% YoY owing to a steep decline in the feature phone segment.

Commenting on the findings, Associate Director, Tarun Pathak said, “Even though the Vietnamese smartphone market is increasing at a healthy pace, the local players are facing stiff competition from Chinese and Global counterparts. Further, amid the US-China trade war, the RMB (renminbi) is weakening, resulting in cheaper Chinese products in Vietnam.  This will favour the Chinese brands, which now hold around 39% of the market in Vietnam.”

Commenting on the players’ strategies, research analyst, Varun Mishra added, “The Vietnamese e-commerce market is also is poised to grow as Chinese tech giants like Alibaba, JD.com and Tencent are investing in Vietnamese online. This will further give a boost to the Chinese players who have leveraged both offline and online platforms to sustain growth in similar markets. While the Chinese players are actively targeting mid-tier segments, local players are being pushed toward the entry level segment.”

Exhibit 1: Vietnam Smartphone Shipments Share by Brands

Source: Counterpoint Research: Quarterly Market Monitor Q2 2018

Market Summary:

  • The smartphone segment contributed to almost 52% of total handset shipments during Q2 2018. Although the feature phone segment declined 19% YoY, it remains a sizeable market in Vietnam.
  • Samsung captured over one third of the total smartphone market. The Galaxy J series continues to do well, contributing to over 60% of Samsung’s total shipments for Vietnam.
  • OPPO remains the second largest brand in Vietnam, driven by sales of its models like F7 and A71.
  • Xiaomi entered among top five in Vietnam for the first time owing to the strong performance of Redmi 5A and Note 5.
  • Huawei with its Y series and Honor brand, which debuted in the market in March, captured 5% of the total market. It aims to aggressively expand in the market in future. Vietnam has one of the fastest growing gaming industries in the world and Huawei has tied up with one of Vietnam’s top gaming firms, VNG, to boost growth.
  • Chinese brands in the mid-tier segment are now launching multiple variants of the same smartphone with different storage capacities, tempting customers to spend more.
  • Vietnam’s relatively low smartphone penetration indicates the market holds potential for growth. New players like Symphony MGT, HIYA and Vfone have entered the smartphone market, further crowding the smartphone segment.
  • Furthermore, additional companies such as Vingroup and Asanzo are planning to enter the smartphone market by launching models at lower price points, to capture the bottom of the pyramid of the price-sensitive Vietnamese market

The comprehensive and in-depth Q2 2018 Market Monitor is available for subscribing clients. Please feel free to contact us at press(at)counterpointresearch.com for further questions regarding our latest research, insights or press enquiries.

The Market Monitor research is based on sell-in (shipments) estimates based on vendor’s IR results, vendor polling triangulated with sell-through (sales), supply chain checks and secondary research.

Analyst Contacts:
Tarun Pathak
+91 997-121-3665
tarun@counterpointresearch.com

Shobhit Srivastava
+91 900-083-1117
shobhit@counterpointresearch.com

Varun Mishra
+91 991-502-0142
varun@counterpointresearch.com

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900 million LTE Smartphones Shipped in 2015

Counterpoint Research’s team of Analysts have completed preliminary sizing of the global handset and smartphone market as few OEMs have already released their Q4 2015 (Oct-Dec) performances. The following are our preliminary market share estimates and rankings according to our quarterly Market Monitor service.

Overall Market :

  • Smartphone shipments reached 418 million units (+9% YoY) in holiday season quarter of 2015 and a massive 1475 million units for full year 2015(+12% YoY).
  • 3 in 5 smartphones shipped in 2015 were LTE capable i.e. 900 million LTE smartphones were shipped globally in 2015, a breakout year for the mobile industry.
  • 3 in 5 smartphones shipped in premium segment (>$400) in 2015 were iPhones.
  • Close to 850 brands are competing in the smartphone market, however the top 20 commands almost 85% of the total smartphone shipments in 2015.
  • The entry level and premium smartphone segments combined contributed to more than half of the total shipments in CY 2015.
  • Local brands especially from China and India showed promising growth in smartphone shipments.
  • While local brands targeted first time smartphone buyers through aggressive pricing and targeted go-to-market strategies, Chinese brands moved beyond domestic boundaries in pursuit of growth as the China smartphone market saturates.
  • Oppo & Vivo were the star performers followed by Huawei & Apple among the top ten smartphone brands globally
  • Meizu, Lava, IntexAsus, Tecno were other brands with growth rate above 100%, gaining prominence and moving up the smartphone rankings.

YoY-growth

 

Vendor Highlights:

QoQ7

Samsung

  • Samsung shipped 81.5 million smartphones with a sequential decline of 3% and YoY increase of 10%.
  • The overall smartphone shipments were driven by emerging countries such as India, South East Asian markets including Indonesia and Vietnam, and LATAM countries including Brazil and Mexico.
  • However it continues to lose market share in key mature markets, in some emerging markets – to local brands – and to Apple in the premium segment.
  • Samsung’s J series continues to drive volumes for Korean giant as it ramped up the series by launching multiple SKUs in the entry to mid-level segment. It used its distribution prowess to gain much needed foothold in the $100-$200 segment where it is facing stiff competition from local and Chinese brands.
  • During the quarter, the demand for its mid level A series was soft, mainly driven by models like A7, A5. It was unable to arrest the decline of its E series and other mid level smartphones.
  • In the premium segment, the Galaxy Note series, especially Note 5, was the lone challenger as demand for its S6 series remained below expectations, in spite of drop in the price of some SKUs.

Apple 

  • Calendar Q4 2015 was the best ever iPhone quarter for Apple, as it registered the highest ever iPhone shipments, revenues and ASP. iPhone shipments peaked at 74.8 Mn during the quarter though shipments were flat as compared to YoY.
  • iPhone continues to be Apple’s linchpin – contributing 66% of the company’s revenues.
  • According to our quarterly tracker, Apple iPhones continues to capture almost 40% of the smartphone industry hardware revenues.
  • Apple also crossed an important milestone as the installed base of Apple devices surpassed 1 billion (incl. Macs, iPods, iPhones, iPads, Apple TV & Watch).
  • 2015 was a phenomenal year for Apple’s growth with a major contribution coming from Greater China.
  • Apple is fighting for  the top spot with Huawei to become the number one smartphone brand in China.
  • Apple hopes to still continue to grow more in China, wooing the sizeable middle class consumer segment with its aspirational products from iPhone to Apple Watch.
  • Apple would like to replicate this growth story into other large emerging markets such as India,Indonesia and key markets in Africa.
  • While 2015 has been a record year for Apple, the most recent quarter also signals why investors and Apple should be concerned as demand has peaked and is projected to slow, signalling much tougher times ahead.

Huawei

  • Huawei continues to be among top three smartphone brands globally with a smartphone market share of 8% during the quarter.
  • Huawei’s smartphone shipments increased sequentially by 21.8% and 38% annually reaching 33.4 million units.
  • Huawei surpassed its annual target of 100 million smartphone shipments in 2015.
  • North America was the bright spot during the quarter as Huawei showed a QoQ growth of 277% in the region mainly driven by Nexus 6P – although this growth is from a low baseline.
  • With the success of Nexus 6P in US market Huawei is looking to rebuild its brand value and market position in North America.
  • Honor brand is yielding results for Huawei with a presence in more than 74 countries around the globe and contributed to more than a third of the shipments.
  • Honor brand helped Huawei successfully penetrate emerging countries like India with aggressive pricing and the Ascend series continues to do well in Middle East Africa and Europe.
  • The Chinese vendor also strengthened its market share in flagship segment in 2015 leading to  increasing in overall ASP driven by high end Mate and Ascend series.

Xiaomi

  • While Xiaomi continues to be among top 5 in smartphone segment the Chinese brand missed its revised handset shipment goal of 80 million unit; shipping slightly over 70 million units.
  • During the Dec ending quarter, Xiaomi shipped 17.8 million smartphones as market share stood at 4%.
  • With YoY growth of just 2%, Xiaomi was unable to scale in countries beyond China.
  • The overseas shipments contribution increased to 8% in CY 2015 still much below expectations.
  • IP issues, lack of differentiation and its inability to to scale the MI ecosystem in countries beyond China were some of the key reasons for the slow down.
  • Its portfolio strategy for overseas marketing was not robust as it was unable to refresh its product portfolio in key countries like India while launching new models like Redmi Note 2 and Redmi Note 3 in home territory.
  • Xiaomi is scaling up its offline operations to arrest the slow down but it will come at a cost of profitability and entering newer markets such as S.Korea and potentially USA through open channels.

Lenovo (+Motorola)

  • Lenovo (+Motorola) smartphone shipments were down 19% annually but grew by 7% sequentially.
  • Lenovo performance in China remained flat as it was unable to drive volumes. However, Lenovo’s growth outside China – for example in India, Middle East and South Asia, has helped it to surpass Xiaomi during the quarter.
  • Lenovo K-note series has been very popular in Asia, for example it has been one of the top three selling models in India.
  • Motorola on the other hand had grew by 11% during the quarter but future outlook for the brand looks bleak as it paves way for parent brands Vibe series in mid segment and restricting itself to higher segment only.
  • The overall shipments for the entire 2015 declined by 20% YoY mainly due to Lenovo’s performance in China.

LG:

  • LG smartphone shipments were up by 3% sequentially in Q4’2015.
  • As a result, smartphone shipment of LG increased from 59.2 million to 59.7 million units in 2015 over 2014.
  • Its flagship G4 didn’t perform as per expectations and the mid segment faced stiff competition from chinese and local brands.
  • LG needs to chase volumes in mid segment by lowering ASPs as brand loyalty is slowly fading in that segment. On flagship strategy it need to launch more than one flagships a year and do away with its strategy of mini flagships and launch an entirely new portfolio.

For press comments and enquiries please reach out to analyst (at) counterpointresearch.com

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