The global smartphone market showed resilience in the second quarter of 2024, growing by 6.5% year-over-year according to preliminary data from the International Data Corporation (IDC) Worldwide Quarterly Mobile Phone Tracker. This growth marks the fourth consecutive quarter of shipment increases, indicating a gradual recovery amid ongoing market challenges.

Market Overview

Despite the overall growth, the smartphone market continues to face uneven demand across different regions. Many markets are still grappling with subdued consumer spending and supply chain constraints. However, the top 5 smartphone companies have shown notable performance gains, leveraging strategic moves and innovation to capture market share.

Key Players and Their Performance

Samsung

Shipments: 53.9 million units

Market Share: 18.9%

Year-over-Year Growth: +0.7%

Strategy: Samsung maintained its lead with a strong focus on flagship models and an advanced AI strategy. The company’s incremental growth reflects its ability to navigate competitive pressures and consumer preferences.

Apple

Shipments: 45.2 million units

Market Share: 15.8%

Year-over-Year Growth: +1.5%

Strategy: Apple saw improved performance, particularly in China and other key regions. The company’s strategic pricing and product differentiation contributed to its market position despite global economic uncertainties.

Xiaomi

Shipments: 42.3 million units

Market Share: 14.8%

Year-over-Year Growth: +27.4%

Strategy: Xiaomi showed significant growth driven by robust performance in emerging markets. The company’s competitive pricing strategy and expanding product portfolio bolstered its market presence.

vivo

Shipments: 25.9 million units

Market Share: 9.1%

Year-over-Year Growth: +21.9%

Strategy: vivo secured a strong foothold with aggressive expansion efforts outside China. The company’s focus on mid-range and premium segments resonated well with global consumers, driving impressive growth.

OPPO

Shipments: 25.8 million units

Market Share: 9.0%

Year-over-Year Growth: +1.8%

Strategy: OPPO maintained growth momentum with successful expansion strategies in international markets. The company’s efforts in diversifying its product offerings and enhancing brand visibility contributed to its market performance.

Market Dynamics and Future Outlook

The smartphone market’s growth in Q2 2024 was partly supported by a favorable comparison base from the previous year. As the industry anticipates the rollout of next-generation AI smartphones in the second half of the year, there is optimism for continued momentum. These innovations are expected to further drive market growth and consumer adoption, particularly in the premium segment.

“While recovery is evident with major players showing year-over-year gains, competition intensifies among industry leaders,” noted Nabila Popal, senior research director at IDC’s Worldwide Tracker team. “The trend towards premiumization, driven by higher average selling prices (ASPs) and advancements in AI technology, is poised to reshape the smartphone landscape.”

Conclusion

Looking ahead, the smartphone market is poised for a dynamic second half of 2024. With ongoing innovations and competitive strategies among leading OEMs, the industry is set to witness a competitive race for market dominance. As consumer demand gradually strengthens and new technologies unfold, the global smartphone landscape continues to evolve, promising exciting opportunities and challenges for manufacturers worldwide.

Source @ idc