Global Smartphone Shipments continue to Decline as Secondhand and Premium Markets Thrive

According to separate reports from Canalys and Counterpoint, global smartphone shipments continued its decline in the second quarter of 2023. However, some segments like premium devices continued to increase.

Canalys said smartphone shipments dropped 11 per cent year on year in Q2. However, Counterpoint noted an eight per cent year-over-year sell-through decline. Both research firms agreed that Samsung led the quarter by a significant margin.

Canalys’ data showed Samsung captured a 21 per cent market share while Counterpoint claimed that it is 22 per cent.

Global Smartphone Shipments continue to Decline as Secondhand and Premium Markets Thrive

Moreover, Apple is in the second place. Apple captured a 17 per cent share as reported by both firms. The third largest brand, Xiaomi, secured a 13 per cent market share according to Canalys (12 per cent per Counterpoint). Both also agreed that Oppo placed fourth with a 10 per cent market share.

Counterpoint said that this is the eighth consecutive quarter with a YoY decline. However, Canalys said that it is the sixth quarter. Indeed, consumer replacement cycles are getting longer and a more mature refurbished market is slowing upgrades in the low-to-mid tier segment.

As for premium tiers, growth continues to be immune to constraints impacting lower-end segments. In fact, this was the only segment that grew during the quarter. According to Canalys, more than one in five smartphones sold during Q2 were flagships. The sustained strong performance of the premium market has helped companies like Apple ensure that revenue does not suffer as much as sales volumes.

Counterpoint added that all regions saw sales decline in Q2. However, the biggest declines happened in more developed regions like the US, Japan, and Western Europe.

See Also: Global Smartphone Shipments 2022 Drop by 17% in Q4