Samsung Reclaims the Top Spot as Smartphone Market Performs Better Than Expected with 353.6 Million Device Shipments in 3Q20, According to IDC

The worldwide smartphone market confirmed indicators of enchancment within the third quarter of 2020 (3Q20) with shipments declining simply 1.3% yr over yr, in accordance with preliminary information from the Worldwide Information Company (IDC) Worldwide Quarterly Mobile Phone Tracker. In complete, 353.6 million smartphones have been shipped throughout 3Q20 and whereas the market declined, the outcomes have been stronger than IDC’s earlier forecast of a 9% year-over-year decline. That is largely attributed to the re-opening of economies across the globe as COVID-19 restrictions have been regularly relaxed.

An vital development on the street to market restoration is a sooner than anticipated rebound in some key rising markets. India, which is the second largest market globally, witnessed very sturdy volumes throughout the quarter regardless of additional issues across the COVID pandemic. Different rising markets, resembling Brazil, Indonesia, and Russia, which rank fourth, fifth, and sixth on the planet, additionally skilled sturdy development.

“Though there was a component of pent-up demand that fueled market development, it was primarily the array of heavy promotions and reductions that accelerated development in these markets,” mentioned Nabila Popal, analysis director with IDC’s Worldwide Mobile Device Trackers. “In India, distance studying has truly boosted the demand for low-end smartphones as they’re a extra reasonably priced choice in comparison with tablets. The elevated low-end demand solely additional will increase competitors and provides strain to the distributors’ backside line.”

Bigger, extra developed markets like China, Western Europe, and North America all witnessed the biggest declines in 3Q20. Given these are the biggest markets for Apple, the month delay within the iPhone 12 launch contributed to the decline. Nonetheless, throughout many of those markets 5G promotions are beginning to warmth up and a full array of merchandise is rapidly turning into out there to customers in any respect value factors.

“Whereas among the topline numbers might not appear fairly, we’re seeing a variety of enchancment within the smartphone market each by way of provide chains and shopper demand,” mentioned Ryan Reith, program vice chairman with IDC’s Worldwide Mobile Device Trackers. “Within the massive developed markets, it is vitally clear that 5G will likely be positioned to most customers as their subsequent telephone no matter which model or value level they’re targeted on. Advertising and marketing has ramped up considerably. Merchandise are broadly out there. Promotions are occurring. And it is clear that the highest gross sales initiative in these markets is to push 5G. Having mentioned this, we nonetheless imagine shopper demand for 5G is minimal at greatest, which solely provides to the value strain on channels and OEMs.”

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Smartphone Firm Highlights

Samsung reclaimed the highest place in 3Q20 with a market share of twenty-two.7% after delivery 80.4 million smartphones, up 2.9% yr over yr. In India, the biggest marketplace for Samsung and accounting for 15% of complete quantity, the model considerably improved its place with near 40% development yr over yr because of its sturdy efficiency within the below $250 value phase and the web channel the place its M sequence fashions did fairly properly. Within the U.S., Samsung’s second largest market, momentum was sturdy for the A sequence with good performances from the Observe 20 and Observe 20 Extremely as properly, which contributed to nearly 20% of complete quantity in 3Q20.

Huawei misplaced the highest spot and settled into the second place in 3Q20 with 51.9 million smartphones shipped and 14.7% share. The seller suffered a big drop – down 22% yr over yr – with continued declines in worldwide markets and a drop of greater than 15% in China. The corporate continues to face challenges as a result of ever rising influence of the U.S. sanctions, that are taking a toll on its efficiency even in China because the model is making an attempt to tempo out its shipments over an extended interval.

Xiaomi shipped 46.5 million gadgets to seize the quantity 3 place globally, beating Apple for the primary time with 13.1% share and 42.0% development. This is because of sturdy good points in India and a continued sturdy presence in China, which accounted for 53% of the corporate’s quantity in 3Q20. In India, Xiaomi’s manufacturing capability recovered to almost 85% of its pre-pandemic degree, which helped it cater to sturdy demand. Xiaomi’s low-end portfolio, significantly the Redmi 9 Collection, did properly in each India and China. Xiaomi additionally launched the mid-range Redmi K30 Extremely and high-end MI 10 Extremely in China, which additional captured customers’ consideration.

Apple shipped 41.6 million iPhones in 3Q20, down 10.6% yr over yr, which positioned the corporate in fourth for the primary time with 11.8% share. This drop was anticipated and is principally as a result of delay within the launch of the brand new iPhone 12 sequence, which is normally within the third quarter. Regardless, the iPhone 11 sequence did exceptionally properly, contributing nearly all of Apple’s quantity, adopted by the SE gadget. Wanting forward, we count on Apple to develop in coming quarters with sturdy early demand for iPhone 12 paired with strong trade-in provides throughout main carriers, particularly within the U.S.

vivo returned to the High 5 this quarter with 31.5 million items shipped for 4.2% year-over-year development and eight.9% market share. Though the corporate is making an attempt to develop its presence in different markets, India delivered large development of practically 30% yr over yr in its low-end fashions below $200. In China, the model enhanced the market positions of its S, iQOO, and X sequence telephones that helped proceed its sturdy presence there.

Notes:

• Information are preliminary and topic to alter.

• Firm shipments are branded gadget shipments and exclude OEM gross sales for all distributors.

• The “Firm” represents the present dad or mum firm (or holding firm) for all manufacturers owned and operated as a subsidiary.

• Figures characterize new shipments solely and exclude refurbished items.

Along with the desk above, a graphic illustrating the worldwide market share of the highest 5 smartphone corporations over the earlier 5 quarters is obtainable by viewing this press release on IDC.com.

About IDC Trackers

IDC Tracker merchandise present correct and well timed market measurement, vendor share, and forecasts for tons of of know-how markets from greater than 100 nations across the globe. Utilizing proprietary instruments and analysis processes, IDC’s Trackers are up to date on a semiannual, quarterly, and month-to-month foundation. Tracker outcomes are delivered to purchasers in user-friendly Excel deliverables and on-line question instruments.

For extra details about IDC’s Worldwide Quarterly Cellular Telephone Tracker, please contact Kathy Nagamine at 650-350-6423 or knagamine@idc.com.

Click here to find out about IDC’s full suite of information merchandise and how one can leverage them to develop what you are promoting.

About IDC

Worldwide Information Company (IDC) is the premier world supplier of market intelligence, advisory companies, and occasions for the knowledge know-how, telecommunications, and shopper know-how markets. With greater than 1,100 analysts worldwide, IDC provides world, regional, and native experience on know-how and business alternatives and developments in over 110 nations. IDC’s evaluation and perception helps IT professionals, enterprise executives, and the funding neighborhood to make fact-based know-how selections and to attain their key enterprise goals. Based in 1964, IDC is a wholly-owned subsidiary of Worldwide Information Group (IDG), the world’s main tech media, information and advertising companies firm. To be taught extra about IDC, please go to www.idc.com. Comply with IDC on Twitter at @IDC and LinkedIn. Subscribe to the IDC Weblog for business information and insights: http://bit.ly/IDCBlog_Subscribe.

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Contacts

Ryan Reith
508-935-4301
rreith@idc.com

Nabila Popal
508-872-8200
npopal@idc.com

Anthony Scarsella
508-935-4712
ascarsella@idc.com

Michael Shirer
508-935-4200
press@idc.com