By Sam Varghese
The Australian smartphone market fell 10.1 per cent year-on-year in the second quarter of 2023, the technology analyst firm IDC says, adding that 1.26 million units were shipped during the three-month period.
Global figures for the quarter, released by another firm, Canalys, in July, showed a similar decline, at 11 per cent.
On the plus side, the sales of devices priced above US$1000 (A$1541) continued to grow, IDC said without providing a specific figure. sales of mid-range phones showed a downward trend, while the lower end saw sales rise.
The average selling price of a smartphone in Australia rose by 5 per cent year-on-year in the quarter but saw a 10 per cent drop from the previous quarter, going down to US$755.
Lead analyst for Mobile Phone Research at IDC Australia, Yash Gupta said, “Consumers are uncertain about the economic situation, which is causing them to hold onto their wallets tightly.
“Consumer demand is expected to remain subdued due to the recent cost-of-living pressures, and the ongoing rise in interest rates continues to weigh on domestic demand.”
Among the brands, Apple increased its share to 46.5 per cent and remained at the top. Samsung, which was second, also lost share, falling to 31.8 per cent, while Oppo, which was third, also fell, from 4.9 per cent to 4.5 per cent.
Lenovo and Google were the only two brands to show growth during the quarter.
Regarding the outlook for the year, IDC said: “Economic activity is projected to continue at a slower pace throughout the entirety of 2023 and going into 2024, resulting in GDP per capita declining over this period.
“While end of financial year sales in June/July, as well as events like Black Friday and Boxing Day sales, are expected to contribute to a partial recovery, the overall consumer demand in the market has been adversely affected by economic factors.
“This is anticipated to result in a high single-digit YoY decline in shipment numbers for the year 2023.”