Gartner: Global smartphone sales growth by 9% in the first quarter of 2017

May

30

2017

China’s three most prominent brands continue to increase their overall market share annually.
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Global smartphone sales totaled 380 million in the first quarter of 2017, an increase of 9.1% over the same period in 2016, according to Gartner . The desire of buyers to spend more to get better phones, contributed to the rising average selling prices of different types of phones.

Gartner pointed out that the shift in the preferences of buyers is positively affecting the work of Chinese manufacturers of smart phones such as Huawei , Obo , Vivo in their strategies to provide the desired desirable and affordable features. The total market share of these companies was 24% in the first quarter of 2017, an annual increase of 7%.

“The three leading smart phone manufacturers in China are driving sales at competitive prices for their smartphones with high quality and innovative features,” said Anshul Gupta, Research Director at Gartner. Strong marketing and sales of these brands have also helped to capture the share of other brands in markets such as India, Indonesia and Thailand. ”

Samsung ‘s smartphone sales fell by 3.1% in the first quarter of 2017. “Despite Samsung’s announcement of an annual increase of orders for its Galaxy S8 and Galaxy S8 Plus by 30 per cent, The strong variant of NUT 7 and strong competition in the core smart phone segment have led to a continuous decline in Samsung’s market share. IPhone’s stable sales have led to Apple ‘s annual market share slipping . Like Samsung, Apple faces fierce and growing competition from Chinese brands such as Obo, Vivo and others, and its performance in China is also very competitive. ”

Huawei is moving closer to Apple, with sales of smartphones reaching 34 million units in the first quarter of 2017. Although its smartphones B9 and P9 Plus have been on the market for more than a year now, Demand for these two devices remains strong, boosting Huawei’s position as a dominant brand in the consumer market. “Huawei has consistently maintained third place in the global smartphone supplier rankings, but the pressure is rising as its counterparts in China seek to catch up,” Gupta said.

Obo continues its business of catching up with Huawei. With global smartphone sales rising by 94.6% in the first quarter of 2017, Obo achieved the best performance this quarter, maintaining its top position in China. “Obo continues to deliver strong sales across a large network of traditional retail outlets, surpassing major market players such as Samsung and Huawei,” said Gupta. Owbo’s strategy of focusing on premium cameras in its equipment, fast shipping and traditional sales has boosted its smartphone sales to the global market.

Vivo sold nearly 26 million smartphones and achieved a market share of 6.8%, which helped it achieve a growth rate of 84.6% in the first quarter of 2017. Gupta commented: “Vivo has seen an increasing demand for Its smartphones in emerging markets in the Asia-Pacific region including India, where sales rose by more than 220% thanks to the increase in the attractiveness of its brand and high-quality smart phones.

In the market for operating systems for smart phones, competition is fierce between the operating systems Android and IOS , with other operating systems struggling to increase market share, but the market share of the Android system rose by 2% to 86.1%. The growing popularity of Chinese brands in global markets – driven by high-quality smartphones – has led to the strengthening of the Android operating system’s control over the market. With the announcement of the Google Android operating system, which targets the smart phone markets of low-class specifications, the Android operating system is expected to see more growth.

For other operating systems, its share fell from 14.8% in the first quarter of 2016 to 13.7% in the first quarter of 2017, while the share of other operating systems, such as Windows Phone, BlackBerry and others, fell to only 0.2% of the market.

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