Global Smartphone Market in Decline for the First Time Ever

Global Smartphone Market in Decline for the First Time Ever

Since 2004 the market research and consulting firm Gartner has been recording worldwide sales of smartphones. Now, for the very first time, the figures reveal that there is no longer any growth.

During the fourth quarter of 2017 Gartner are reporting that 408 million smartphones were indeed sold, but that was in fact 5.6 percent fewer than in the matching period a year earlier. Analyst Anshul Gupta considers two factors responsible for the very first decline since Gartner started keeping an eye on smartphone figures. Firstly, there was a slowdown in people switching from simple “feature phones” to smartphones due to a lack on the market of inexpensive, high-quality smartphones. And secondly, those buying replacement smartphones are opting for high-quality models and using them longer – a trend intensified by the current shortage of real progress in technical development.

In terms of units sold, Samsung narrowly outperformed Apple in 4Q17, followed by Huawei, Xiaomi and Oppo – three Chinese manufacturers. All other providers share the remaining 40 percent of the market between them. In terms of turnover, however, thanks to its particularly expensive new flagship model “iPhone X” Apple has taken more than half of the total market (51 percent) according to Strategy Analytics. When it comes to profit, Apple’s share of the pie is even considerably higher. It was recently calculated to be 72 percent according to Forbes, followed by Samsung with 24 percent. Astonishingly, Huawei is the only other profitable manufacturer (OEM) on the market.

Smartphones aside– companies wanting to reach their customers on their mobile phones should still look no further than SMS. Text messages work on all mobile phones and using services such as Retarus‘ Enterprise SMS Services they can also be sent directly from business applications and enhanced for use in business processes by means of two-way functions and dynamic routing.

See how industries integrate transactional SMS into their day-to-day business.

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