Global Smartphone Market Sees Growth After Over 2 Years
Recovery in Emerging Markets Boosts October Sales
The global smartphone market has finally returned to growth after more than two years of decline, thanks to a recovery in the emerging markets. Counterpoint Research data revealed that global monthly smartphone sell-through volumes grew by 5% in October, marking the first year-on-year growth since June 2021, breaking the streak of 27 consecutive months of negative growth.
Challenges Faced by Smartphone Sales
Over the past two years, global smartphone sales have faced various challenges, including component shortages, inventory build-up, and lengthening replacement cycles. These factors have put immense stress on the market, resulting in a prolonged period of negative growth.
Market Expectations
Following the strong growth in October, market research firm Counterpoint predicts that the market will continue to grow year-on-year in the fourth quarter of 2023, setting the stage for gradual recovery in the coming quarters. This positive outlook is a welcome change after the prolonged slump in the smartphone market.
Contributing Factors to Growth
The recent growth in the global smartphone market has been driven by a resurgence in the Middle East and Africa, Huawei’s successful comeback in China, and the onset of the festive season in India. Additionally, Huawei’s China smartphone sales experienced a significant surge in the third quarter, with a 37% increase, primarily due to the strong demand for its Mate 60 series phones.
Impact on Developed Markets
While emerging markets have played a significant role in driving the growth of the smartphone market, developed markets with relatively higher smartphone saturation have been slower to recover. However, the launch of Apple’s iPhone 15 series has been identified as a contributing factor to the growth in these markets.
The global smartphone market has witnessed a remarkable turnaround in October, signaling a positive shift after a prolonged period of decline. The resurgence in emerging markets, coupled with the strong performance of key players like Huawei and Apple, has set the stage for a promising trajectory in the coming quarters.
