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Apple (NASDAQ:AAPL) continues to be the chief amongst premium smartphones however the Tim Cook dinner-led firm misplaced market share in 2023, Counterpoint Analysis mentioned on Tuesday. The premium section hit a record amid a decline within the total market.
The U.S. tech large’s market share fell final yr to 71% from 75% in 2022 for gadgets priced above $600, preliminary information confirmed. China, India, the Center East and Africa and Latin America are anticipated to have set a brand new file for premium market gross sales, with India rising the quickest world wide.
The premium section is more likely to have captured practically one-fourth of world smartphone gross sales and 60% of income in 2023, analyst Varun Mishra mentioned.
“There was a shift in client shopping for patterns within the smartphone market,” Mishra said. “Contemplating the significance a smartphone holds, shoppers are keen to spend extra to get a high-quality gadget that they will use for an extended interval.”
International smartphone shipments in 2023 had been projected to have declined 5% year-over-year to achieve 1.2B, the bottom degree in nearly a decade, Counterpoint Analysis mentioned final yr.
Counterpoint Analysis expects premium smartphone gross sales to proceed to outgrow the entire market.
Extremely premium
Throughout the premium market, the ultra-premium section — gadgets priced at $1,000 and better — is driving the expansion. The best finish telephones represented one-third of complete premium market gross sales in 2023, Counterpoint mentioned.
“Proudly owning the newest and best flagships has additionally grow to be a standing image for a lot of shoppers, particularly in rising markets the place they’re leaping immediately from the mid-price band to the premium band,” Mishra mentioned. “Additional, these gadgets are more and more turning into extra inexpensive because of promotion seasons and financing choices.”
Apple’s market share decline within the premium section got here amid “Huawei’s resurrection in China pushed by the Mate 60 collection.” Samsung (OTCPK:SSNLF) additionally gained share pushed by its S23 and Foldable collection.