Intelligent CIO Middle East Issue 75 | Page 69

INTELLIGENT BRANDS // Mobile Technology

Gartner says global smartphone sales declined 6.8 % in third quarter of 2021

Global smartphone sales to end-users declined 6.8 % in the third quarter of 2021 , compared to the same period in 2020 , according to Gartner Inc . burdened with limited choices at point of sale . Sales of premium smartphones continued to grow even though overall smartphones sales declined in the quarter .

The research firm cited component shortages as the main cause that disrupted production schedules , leading to lower inventory and delayed product availability , which eventually impacted sales to end-users .
“ Despite strong consumer demand , smartphone sales declined due to delayed product launches , longer delivery schedule and insufficient inventory at the channel ,” said Anshul Gupta , Senior Research Director , Gartner . “ Supply constraints impacted the production schedule of basic and utility smartphones much more than premium smartphones .”
Apple reclaimed the number two position in sales to end-users among the top five global smartphone vendors and Xiaomi moved back to number three in the third quarter of 2021 . Samsung maintained its overall lead in smartphone sales , though its market share declined 1.9 % year-over-year .
Even with the overall decline , Samsung experienced growth of its premium smartphones , led by strong demand for revamped foldable smartphones . Chinese smartphone vendors Xiaomi , Vivo and OPPO increased their market share 1 %, 2.4 % and 1.7 % respectively , year-over-year .
Anshul Gupta , Senior Research Director , Gartner
Gartner stated that the current shortage of components , such as radio frequency and power management integrated circuits , delayed smartphone production globally . This , added Gartner , disrupted the supplydemand equilibrium and end-users were
Gartner noted that Apple continued to experience strong demand for iPhones led by compelling feature upgrades and underpenetrated 5G installed base . Upgraded bionic A15 sensor , improved battery life and camera sensor optimisation for improved photography are the leading features that drove iPhone upgrades . Apple continues to revamp its online channel and position trade-in programmes to accelerate demand for its 5G iPhones through the rest of 2021 .
Xiaomi ’ s strong online channel-led strategy for market expansion in Europe and Middle East , along with investing communication service providers ( CSPs ) in these regions helped the company increase its global smartphone market share in the third quarter of 2021 .
Vivo registered the highest year-over-year growth ( 20.9 %) among the top five global smartphone vendors in the third quarter of 2021 . The company introduced 13 new smartphones in the quarter to try to gain advantage while entering new markets , including Europe and Middle East , along with the addition of new offline retailers and experience stores to its strategy . p
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