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Saudi Arabia Smartphone Shipments Grow 26% YoY in Q1 2023, Buck Trend

  • The Saudi Arabia smartphone market was among the few to record YoY growth in Q1 2023.
  • Even as many economies struggled in 2022 amid macroeconomic and geopolitical pressures, Saudi Arabia was bolstered by its highest oil revenues in decades, all-time-low unemployment rates, all-time-high non-oil economic activity and strong private consumption.
  • Among OEMs, Samsung and Apple continued to take over half of the total smartphone shipments in Q1 2023, with Samsung taking the #1 spot.
  • We expect the Saudi Arabia smartphone market to continue its growth momentum in 2023, with annual shipments likely to grow in low single digits.

The Saudi Arabia smartphone market was among the few to record YoY growth in Q1 2023, with shipments growing 26% YoY largely due to strong macroeconomic fundamentals, accelerating digitalization, and growing device financing options. In QoQ terms, the shipments grew 17% as OEMs filled channels for the Easter and Ramadan sales season, towards the end of the quarter.

Growth drivers

As manyglobal economies struggled in 2022amid macroeconomic and geopolitical pressures, Saudi Arabia was among the few to buck the trend. Bolstered by its highest oil revenues in decades as global oil prices soared, Saudi Arabia was the fastest-growing economy in 2022, with all-time-low unemployment rates, all-time-high non-oil economic activity and strong private consumption. PoS (Point of Sale) transactions, e-commerce activity and digital payments have also been on the rise in Saudi Arabia, all pointing to growing digitalization and private consumption. Some of the market momentum at the end of 2022 was carried into Q1 2023, especially after the economic boost provided by the FIFA World Cup in Qatar and the year-end and holiday season of Q4 2022.

Saudi Arabia Smartphone Shipments & 5G Share

Saudi Arabia Smartphone Shipments and 5G Share – Q1 2021 to Q1 2023

While the feature phone to smartphone migration has slowed down in Saudi Arabia, a growing digital economy and an aspirational customer have become key growth drivers. Commercial and private 5G use is also increasing in the country, pushing 5G smartphone sales. 5G technologies are a key part of Saudi Arabia’s digitalization and growth push under the Vision 2030 plan. The country has partnered with major 5G infrastructure players likeHuaweiandEricsson, and5G networksare now available in most major cities, covering around 80% of the country’s population. Saudi Arabia has also been hailed as a 5G pioneer in the region in terms of coverage, speed and consistency. 5G smartphone share remained above half of total smartphone shipments for the second consecutivequarterin Q1 2023 and is likely to grow further in 2023.

Competitive landscape

Saudi Arabia smartphone shipments Q1 2023 Saudi Arabia Smartphone Shipments by Top 5 OEMs for Q1 2021, Q1 2022, Q1 2023

Among OEMs, Samsung and Apple continued to take over half of the total smartphone shipments in Q1 2023, with Samsung taking the #1 spot. Xiaomi and Motorola were distant third, with HONOR rounding out the top five for Q1 2023.

Samsunggrew YoY as its supply normalized in the region. The brand’s 5G models have been leading growth, especially the new affordable 5G M-series and A-series iterations. The Galaxy M53 was the best-selling Android device in the country in Q1. Samsung’s newest flagshipGalaxy S23series was shipped slightly earlier than theS22 series in 2022to meet the pre-order demand triggered by aggressive marketing and promotions in the country, with most channels and offline stores participating.

Apple’ssmartphone shipments nearly doubled YoY led by the popularity of itsiPhone 14 series, especially thePro versions, and as older models became affordable and available. Apple reached its highest-ever Q1 shipment share in Saudi Arabia in 2023. The brand has greatly benefitted from therise of financing options, like the ‘Buy Now, Pay Later’ model, in Saudi Arabia, making its devices accessible to a greater demographic. Besides, a rising mean wage and stable exchange rates increased the average Saudi Arabian consumer’s purchasing power in 2022. iPhones took four of the top five spots in the bestseller list for Q1 2023, with the iPhone 14 Pro coming out on top.

WhileXiaomi’sshipments grew YoY in Q1, it lost share marginally, as Motorola and HONOR gained share driven by new launches. Xiaomi has been able to maintain share largely due to its broad portfolio across price bands, innovative marketing strategies, and a strong presence across both offline and online channels.

Motorolahas been gaining share, led by its offerings in the $150-$249 price band, particularly its G series, which accounted for nearly three-quarters of its total sales in Q1. Motorola has benefitted from improved product availability, especially for new launches, and strong brand pull, especially for middle-income customers looking for upgrades to their lower-segment devices.

HONORwas among the fastest-growing brands in Q1, with its shipments more than doubling YoY. HONOR’s growth is largely due to focused expansion efforts, aggressive launch campaigns and an attractive mid-tier to high-end portfolio. HONOR has also benefitted from utilizing Huawei’s earlier distribution and channel relationships. The HONOR 70 and the X series were the top volume drivers for the OEM in Saudi Arabia for Q1 2023.

所有价格带我的智能手机销量同比增长n Q1 2023 but declined QoQ largely due to seasonality. All price bands except thepremiumband (≥$600) lost share YoY as consumers moved up the price bands. But thepremium乐队第一季度增长最快的乐队,由美联社ple and Samsung. Apple captured around 85% of the total premium smartphone sales in Q1. The mid-tier ($100-$249) remained the largest price band in Saudi Arabia, capturing nearly half of the total smartphone sales in Q1, with Samsung and Xiaomi taking the top spots in the price band. Thelower (<$100) segmentgrew YoY but, like other non-premium segments, lost sales share during the same period, as customers continued to buy higher-ASP devices with improving affordability and rising aspirations.

Market outlook

We expect the ASP of smartphones sold in Saudi Arabia to continue to rise in 2023, as wage rates improve, financing options become more accessible, and customers move towards better devices. Currently, Apple and Samsung remain best equipped to capture more share of the aspirational Saudi Arabia smartphone market, but the quest for the #3 spot continues. While Xiaomi remains comfortably in the #3 spot, other Android OEMs have been mounting pressure with bolder promotions and marketing activities and aggressive launch strategies. Motorola, HONOR and Transsion Group brands Infinix and TECNO are likely candidates outside the top three to capture market growth.

Going forward, we expect the Saudi Arabia smartphone market to continue its growth momentum, with annual shipments likely to grow in low single digits in 2023. Increasing 5G use, ramping up of digitalization, greater access to financing options and growing aspirations of customers are expected to drive growth.

Note:

  1. ASP & Priceband Analysis done using Wholesale Prices
  2. Xiaomi includes Redmi, Pocophone, Black Shark

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GT2 Pro Review: realme Enters Premium Segment With a Bang

The premium Android smartphone camp has become more crowded since Huawei’s fall. OEMs including OPPO, vivo, Xiaomi and HONOR have been upgrading product lines to strengthen their positions in the premium market. The latest entrant is realme and its GT2 Pro model.

realme traces its origins to OPPO. The OEM started its business in 2018 with India, launching budget smartphones there before entering its home market China in the following year.

realme has been described as the fastest growing smartphone OEM. It has registered triple-digit growth in some months and has stayed at a relatively high level through quarters.

资料来源:公司unterpoint Market Pulse Service

The brand is also diversifying its product portfolio, shifting focus from the mass market to becoming a full-fledged smartphone brand covering all price bands. Coming into Q1 2022, the share of the <$200 price band in realme’s global sales decreased to 75% from 80% in Q1 2021, while the share of the $200-$400 price band grew to 24%, up from 20% in Q1 2021.

资料来源:公司unterpoint Market Pulse Service

After more than three years of global expansion, realme has launched its first premium smartphone. This is the most profitable segment, and thus selling more premium smartphones can help companies reap higher profit to navigate through the market downturn as well as win mind share of customers with deeper pockets and in more developed markets.

Meanwhile, by adding a premium product, realme now appears more like a full-fledged OEM rather than a second-tier niche brand that focuses on the online and budget segments. realme’s young and energetic brand image can also woo different kinds of premium customers.

Now, let us look at realme’s premium offer GT2 Pro. GT is short for Grand Tourer, a term that refers to a kind of fancy sports car that can travel long distances at a high speed. This is the equivalent of what users will expect from a premium smartphone, which is top performance with long durability.

Key Specs Overview

资料来源:公司unterpoint Research

realme has retained its value-for-money strategy for the premium segment. The product has been priced relatively low. This will appeal to realme’s fan base, which is labeled as tech-savvy and cool.

Premium Design and Racing Inspired CMF

  • Corning Gorilla Glass Victus
  • Paper biopolymer back, matte finish
  • 189/199g (6.67 oz)

At the very first glance, the GT2 Pro’s striking back cover grabs the attention. Different from conventional back cover choices such as glass and ceramics, the GT2 Pro’s back cover adopts biopolymer, and the texture with light grooves evokes a feeling of a piece of paper. It also echoes the GT2 Pro weight, which is 189g. We were amazed by the sense of lightness, and it did not feel brittle.

资料来源:公司unterpoint Research

The iconic signature of Japanese designer Naoto Fukusawa can also be found on realme’s Master Edition products. This again evokes a sense of a premium product.

Looking at the front, the GT2 Pro uses the latest LTPO 2.0 screen, enabling it to adjust the refresh rate from 1 Hz to 120 Hz based on what the user is viewing. This means the refresh rate can be as low as 1 Hz when the user is reading a webpage and can be as high as 120 Hz when the user is playing a game.

The display capabilities put the GT2 Pro right among the top premium flagship smartphones launched in 2022. realme claims about 50% lower power consumption compared to other OLED solutions. We will put this to gaming tests later on.

封面用大猩猩玻璃Victus和screen has discreet curves around the edges rather than curved screens. This makes it stand out from many premium smartphones. Our opinion is that the flat screen is more suitable for gaming, a core function realme has prioritized since the brand started.

Top-of-the-range camera settings with broadly premium performance

  • Triple-rear-camera settings
    • 50 MP, f/1.8, 24mm (wide), 1/1.56″, 1.0µm, multi-directional PDAF, OIS
    • 50 MP, f/2.2, 15mm, 150˚ (ultrawide), 1/2.76″, 0.64µm
    • 3 MP, f / 3.3, 20毫米(microscope), AF, 40x magnification
  • Selfie camera settings
    • 32 MP, f/2.4, 26mm (wide), 1/2.74″, 0.8µm
Counterpoint Research
资料来源:公司unterpoint Research

In the era of computational photography, premium smartphones tend to have more than one primary-level camera. The GT2 Pro is a perfect example. Its triple-rear-camera setup includes a 50MP main camera and a 50MP ultra-wide camera. The third camera is a microscope at 3MP.

Camera performance is an important element for a premium smartphone because it puts the device’s hardware and software capabilities in an even match, and only ones with the right balance come on top. We believe the GT2 Pro’s photography is premium grade. The primary camera uses Sony’s IMX766 50MP, 1/1.56″ in size with 1.0µm pixels. It also has OIS and supports multi-directional PDAF with a wide f/1.8 aperture.

Under daylight conditions, realme delivers a good camera experience. The sharpness of the photos is up to the level of established industry players and details are properly retained. The dynamic range looks good too.

资料来源:公司unterpoint Research
Counterpoint Research
资料来源:公司unterpoint Research
Counterpoint Research
资料来源:公司unterpoint Research

The ultrawide camera does click good photos. When compared to the main camera, the photo shot by the ultrawide camera looks uncompromised with recognizable color reproduction. Though the ultrawide photo is a little bit sharper than expected, the blemishes are within the range of error and will only be identified by the most sharp-eyed observer.

The GT2 Pro doesn’t have a telephoto camera, which is contrary to most competitors in the premium range and is a disappointment. We suspect this is due to cost constraints as the GT2 Pro is priced a notch below the other premium products. However, the zoomed-in photos, handled by the digital zoom of the main camera, do have high quality and are more than qualified for a good social media post.

Ultrawide Photo; Source: Counterpoint Research
资料来源:公司unterpoint Research
Counterpoint Research
3X Zoomed-in Photo; Source: Counterpoint Research

The GT2 Pro’s ultrawide camera has a 150-degree field view, unlike the usual 120 degrees used by many smartphones. The 150-degree ultrawide camera can shoot fisheye photos, a function rare in most smartphones.

Fisheye Photo; Source: Counterpoint Research

The GT2 Pro also has a ‘Microscope’ feature, which allows for a 20-fold optical magnification and 40-times digital magnification. With a short focusing distance, the GT 2 Pro can take a photo from a distance of 1-3 mm. While we see limited day-to-day practicality of this feature, we did have fun discovering a new dimension of random objects. We believe this feature will attract children.

Microscopic view of the surface of a kiwi fruit; Source: Counterpoint Research
微观的手;资料来源:公司unterpoint Research

The low-light pictures are also very impressive. Photos are generally sharp with plenty of detail, especially in the treatment of shadows. Even though there is some noise in the picture, the overall performance is more than qualified for most social media uses.

Counterpoint Research
Photo shot by main camera; Source: Counterpoint Research

Looking at the GT2 Pro’s front camera, it is 32 MP with f/2.4. When it is in portrait mode, the faux bokeh effect is satisfactory and users are allowed to adjust the strength of the effect by using the slider.

Sefile Mode on; Source: Counterpoint Research
Counterpoint Research
Selfie Mode off; Source: Counterpoint Research

Supreme display on paper and in practice, with top entertainment experience

  • 7 inches LTPO2 AMOLED, 120 Hz refresh rate, HDR10+, 1400 nits (peak)
  • 1440 x 3216 pixels, 20:9 ratio (~526 ppi density)

The GT2 Pro’s display is probably the best selling point of the device. It is arguably one of the best screens one can buy on a smartphone today. With a flat screen of 6.7 inches and a screen-to-body ratio of 92.6%, the phone’s front is huge, which immensely boosts its gaming experience. With LTPO 2.0 technology, the 2K AMOLED panel is capable of a variable refresh rate from 1 Hz to 120 Hz, making the device power efficient. We did feel we could squeeze a little bit more out of its battery in daily use (more on this below). With an incredible touch sampling rate of 1000 Hz and an impressive peak brightness of 1400 nits, the phone is extremely responsive when playing technically sophisticated games.

We put the GT2 Pro to the test by playing League of Legends: Wild Rift and Call of Duty: Mobile at the top gaming enhanced setting (you can see the video samples below). Overall, the experience was immaculate. In both play-throughs, the standout feature was the smoothness of character movements. In the case of Call of Duty, the lag was negligible when moving the character’s view around. This of course is attributed to the high touch sampling rate. Furthermore, we noted that the graphics performance was very consistent, as the FPS rate rarely dipped below 60. This is especially impressive in the Call of Duty’s case as the objects in the near and far field views were equally realistic. In all our tests, the phone’s temperature never increased to above 38°C, which helps the stability of gameplay immensely.

As expected of flagship smartphones these days, the GT2 Pro comes with gaming enhanced features (named Game Turbo mode). We are overall satisfied with this feature – the device is capable of automatically switching on the GT mode when it detects gaming activity. But it also allows the option to not be in the GT mode if the user wishes to save battery.

资料来源:公司unterpoint Research

There is a range of customization options in the GT mode. What we found particularly useful was the option to edit the apps on the mini-app list. For hardcore gamers, there are some interesting customization options that can really impact gameplay.

资料来源:公司unterpoint Research
资料来源:公司unterpoint Research

The only blemish of the GT2 Pro’s GT mode is the typing interface. We found it very difficult to type on the keyboard. Sending out a message is also a chore.

Decent battery and impressive charging performance

  • 5000 mAh battery
  • Fast charging 65W, 100% in 33 min (marketed)
  • No wireless charging support

The GT2 Pro has a 5000mAh battery, which is above the average for premium smartphones that usually have top-notch screens and cutting-edge chipsets consuming more power than lower-tier smartphones. However, the GT2 Pro, with a good screen and the Snapdragon 8 Gen1 SoC, is impressive in terms of endurance. As my main phone for months, the GT2 Pro can survive the day with about 30% of battery after being used for sending text messages, playing games for about an hour, listening to music for 2.5 hours and browsing social media for 3 hours. For those who do test the limits with heavy-duty use, there are many features that help in extending battery life a little more.

The charging speed is amazing too. In the first 30 minutes, about 90% of the battery can be charged, which means a 10-minute emergency charge can always save you from low-battery anxiety. Perhaps the only drawback is the lack of wireless charging support, which tends to be mainstream among other flagship smartphones this year.

Satisfactory OS customization that brings out the best of Android 12

The GT2 Pro runs on Android 12 with the realme UI 3.0. In general, we were satisfied with the balance of customizations and the feasibility of additional features.

资料来源:公司unterpoint Research
资料来源:公司unterponit Research

Visually speaking, the UI elements have been improved a lot as compared to previous realme UI versions. The Settings menu and iconography of app logos have been fairly well designed. There are also lots of different gestures which we felt were easy to set up and more than meet our day-to-day needs.

In terms of Android features that we liked the most, the Digital Wellbeing dashboard came on top. The data is extremely granular but equally intuitive to look at, with straightforward options that are easy to set up. The Privacy Dashboard has a similar feel and is extremely useful to understand when and where information was accessed by different apps.

资料来源:公司unterpoint Research
资料来源:公司unterpoint Research

Also, when an app is accessing information via the mic or camera, a green dot appears on the top right of the screen (see below).

资料来源:公司unterpoint Research

We were also very impressed with the accuracy and speed of the fingerprint reader. It worked well for us even in less-than-ideal scenarios, such as sweaty fingers after a run. Furthermore, hidden under ‘realme labs’, there is a heart rate monitor feature. It is fairly accurate at resting state. Though an interesting feature, we feel its actual use case may be fairly limited.

资料来源:公司unterpoint Research
资料来源:公司unterpoint Research

Conclusion

The realme GT2 Pro is the OEM’s first premium smartphone. With its top-notch screen, uncompromising camera experience and cutting-edge Snapdragon chipset, the smartphone is truly qualified to be called premium. The GT2 Pro exemplifies realme’s ambition to expand its position in the ever-competitive smartphone market.

As its first premium product, realme turns in a satisfactory result. It can be expected that realme will deliver more premium options to charm customers who are longing for a smartphone with more fashion elements.

Analyst Contacts:

Archie Zhang

Yang Wang

Saudi Arabia Smartphone Sales Cross Pre-pandemic Levels

  • Saudi Arabia’s smartphone market grew 49% YoY in 2021, a 14% increase from the pre-pandemic 2019.
  • Samsung led the market despite losing share. Apple came in second.
  • Chinese OEMs’ share grew to 41% in 2021, capitalizing on Huawei’s exit.
  • 5G smartphone sales penetration in Saudi Arabia grew to 35% in 2021. One in every three 5G phones sold was an iPhone.

New Delhi, Seoul, Hong Kong, Beijing, London, Buenos Aires, San Diego – March 31, 2022

Saudi Arabia’s annual smartphone sales grew 49% YoY in 2021 to cross the pre-pandemic level of 2019, according toCounterpoint Research’sGlobal Monthly Handset Sales Tracker. Post-COVID-19 recovery and pent-up demand were the key growth drivers. After a difficult 2020 that saw high COVID-19 rates and a struggling economy, the Saudi Arabia smartphone market benefitted from overall economic growth in 2021, which was driven by high oil exports, rising employment and falling inflation.

Commenting on the market dynamics,Senior Analyst Yang Wangsaid, “Saudi Arabia’s smartphone market benefitted fromimproving consumer demand due to a recovering economy and an increased pace of digitalization, partly induced by the COVID-19 pandemic. Furthermore, the market has gradually adjusted to the statutory 15% VAT increase from June 2020, which had dampened sales in 2020. Huawei’s exit threatened to hit growth in 2021, but Chinese brands like vivo, Infinix and Xiaomi were not only quick to step up, they also grew to increase the share of Chinese brands to 41% in 2021, compared to 29% in 2020.”

Counterpoint Research Saudi Arabia Smartphone Market Share
来源:对比研究手机销售模式,Jan 2022
Note: Figures may not add up to 100% due to rounding

Samsungled the Saudi Arabia smartphone market in 2021 despite a decline in its share due to supply issues and increasing competition.Applecame in second, with vivo andXiaomifollowing next. Xiaomi may have ended ahead of vivo if not for a weak Q4 due to supply woes.

Chinese OEMs like vivo and OPPO ramped up in 2021 and were able to capitalize on Huawei’s exit to grow their market share. Transsion group OEMs also saw modest success in a bid to expand their operations in the Middle East.

With its portfolio targeting the budget segment and new launches during the sales season, Infinix entered the top five rankings for the $200 and below price band in 2021.

Nokia took the fifth spot overall, clocking modest YoY growth after capitalizing on a revamped portfolio, consumer loyalty and improved availability during seasonal sales events.

5G smartphone sales also grew in 2021.Research Associate Ravyansh Yadavsaid, “While smartphone penetration continues to be a growth driver,5G smartphone penetration took off in 2021, growing from 7% in 2020 to 35% in 2021. Apple, Samsung and vivo were the 5G smartphone market leaders. 5G penetration reached its highest level ever at 44% in Q4 2021 driven by the launch of the iPhone 13 series. In 2021, one in every three 5G phones sold in Saudi Arabia was aniPhone. With 5G coverage in the country having crossed 70% in 2021 and operators nearing the end of their respective 5G deployment roadmaps, upgradation to 5G smartphones will be an important growth driver for the Saudi smartphone market in 2022 as well.”

While the distribution across price bands remained largely the same as in 2020, sales growth was driven by the $300 and below and $600 and above price segments in 2021. Sales in the $300 and below band grew 55% YoY in 2021 driven by new launches from OEMs and consumer upgrades. Sales in the entry tier also grew driven by the continued transition of consumers to smartphones. Overall, Samsung held the top spot in the price segment.

As incomes rose and inflation stabilized at low levels,sales in the premium segment($600 and above) grew 44% YoY, with Apple and Samsung grabbing more than 90% of the sales in the price band. Sales in this segment are, however, yet to cross the pre-pandemic level of 2019. With salaries expected to grow again in 2022, the premium segment in Saudi Arabia presents an opportunity for OEMs. Huawei’s exit has further opened an opportunity for the third spot in thepremium segment, which other OEMswill battle to capture.

As incomes and employment continue to grow, digital initiatives and e-commerce activity ramp, and 5G connectivity improves, the Saudi Arabia smartphone market is set to record another year of double-digit growth, albeit much lower than in 2021. Market growth will be dependent on supply and economic strains arising from the global semiconductor shortages, an unforeseen COVID event andthe currently unstable global political climate.

Notes:The analysis is based on wholesale ASPs; OPPO excludes OnePlus.

请联系我们在公关ess(at)www.arena-ruc.com for press comments and enquiries.

For more insights on the Middle East and Africa smartphone market, please go through ourMEA Smartphone Market Report, Q4 2021.

You can alsovisit our Data Section(updated quarterly) to view the smartphone market share forWorld,USA,ChinaandIndia.

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

Yang Wang

Ravyansh Yadav

Counterpoint Research
press(at)www.arena-ruc.com

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2017: A Year of Mixed Results in the Latin American Smartphone Market

According to the latest research from Counterpoint’s Market Monitor service the Latin American (LATAM) smartphone market grew 5% YoY in 2017. Samsung continues to be the absolute leader of the region with more than 38% share.

Commenting on the 2017 smartphone market trends, Counterpoint’s Senior Analyst Tina Lu, highlighted, “The LATAM smartphone market grew 5% YoY in volume. However, we see a deceleration in the rate of replacement. Despite healthy economic conditions, the market decreased by more than -5% in Q4 2017 when compared to the same quarter in the previous year. This is the first time that the smartphone market has had a YoY decline, denoting that the smartphone market is close to maturity. We expect this softer rate of replacement to continue throughout 2018, leading to a flat year in 2018.”

Miss Lu added: “On the value side, the smartphone market grew only 1% YoY. This was caused by a 17% YoY decrease of the premium segments (>$400), which led to slight drop of ASPs. Devices such as the iPhone or Samsung Galaxy S-series in LATAM have always been more expensive than the same model in the US. Differences in price can range between 25% to 110% higher, depending on the country. At the same time, the LATAM average consumer purchasing power is notably lower than Europe or US. A smartphone is a significant investment for the LATAM consumer, inducing them to hang on to the device longer, resulting in slower rate of replacement.”

Commenting on vendor performances, Parv Sharma, Research Analyst, noted, “Samsung has been the absolute leader of the LATAM market. Its success is due to its strong foothold in the region–especially in Brazil and Argentina. Assertive investment in marketing, sales, supply chain and aggressive prices has rewarded Samsung. The company grew volumes more than 14% YoY. Samsung’s focus on having the best supply chain network, which starts with a well-established local manufacturing and assembly process, has allowed Samsung to launch the Galaxy S8 and Galaxy S9 almost at the same time as the models were launched globally. This competitive edge has helped it to increase its market share, which is more than triple its closest competitor.”

Exhibit 1: Percentage LATAM Shipment Volume Share – CY17

资料来源:公司unterpoint Research Market Monitor CY17

Market Summary

  • LATAM smartphone sales increased 5% YoY, reaching 147M units in 2017.
  • 89% of the mobile phones shipped were smartphones. Smartphone penetration increased almost 2% YoY.
  • LTE reached 87%. 25% increase compared to CY16.
  • LATAM is still a highly concentrated market, top 5 brands represented almost 71% of the market, leaving more than 190 brands battled for the remaining 29% of the market.
  • Only two (Motorola and Samsung) out of the top 5 brands had positive YoY growth.
  • LATAM is still a mid-low range market. $100-$199 is the largest segment in volume and value. This segment has grown around 13% YoY.
  • The main feature offered in this segment were >5” screen and between 8mp-13MP camera.
  • Samsung J-series, LG K-series and Motorola G-series have all contributed to the growth of the $100-$199 segment.
  • Ultra-low segment (~$99) grew around 5% YoY. Its growth has been impacted partly by the increased offering of refurbished (certified and non-certified) devices.
  • The mid-high segment ($300-$399) grew more than 6%, mainly driven by older flagship models from Apple and Samsung.
  • The smartphone category ASP decreased by 3% compared to CY16.

Exhibit 2: Latin America Price Band Volume Variation 2016 vs 2017

资料来源:公司unterpoint Research Market Monitor CY17

OEM Performance

  • Motorolagained 380 basis points of share YoY. It was the brand with the biggest YoY growth in LATAM. The launch of the C series with a sell-in price below $100 and its effort to improve its relationship with America Movil has enabled it to add a few models to the operator’s portfolio. This has boosted its performance and it has become second in volume share within the region.
  • Samsunggrew 320 basis points of share YoY. It was the brand with the biggest growth in terms of volume. It has been the absolute leader, in both volume and value, in the region.
  • 9 out of 10 top selling smartphones models were from Samsung J series.
  • ManyAppleusers are postponing the replacement of their device, resulting in a decline of 92 basis points of share.
  • LGlost 91 basis points of share. Despite its aggressive pricing on the K series, it could not fight against Samsung and Motorola aggressive marketing strategies.
  • Huaweidecreased 70 points. It lost its momentum as it focused on promoting higher- end models.
  • Lanixled the Local Kings (Brands) space. It successfully added a wide portfolio of very low-end smartphones for the megacarrier America Movil.

Please feel free to contact us atpress(at)www.arena-ruc.comfor further questions regarding our in-depth latest research, insights or press enquiries.

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Third Party Links: This Website may contain links to other third party websites, which are provided as additional resources for the convenience of Users. We do not endorse, sponsor or accept any responsibility for these third party websites, User agrees to direct any concerns relating to these third party websites to the relevant website administrator.

Cookies and Tracking

We may monitor how you use our Web sites. It is used solely for purposes of enabling us to provide you with a personalized Web site experience.
This data may also be used in the aggregate, to identify appropriate product offerings and subscription plans.
Cookies may be set in order to identify you and determine your access privileges. Cookies are simply identifiers. You have the ability to delete cookie files from your hard disk drive.