Apple maintains its leadership in the premium smartphone market, challenges in China and the absence of a foldable offering may impact its market share. The evolving consumer preferences and the increasing dominance of the ultra-premium segment offer both challenges and opportunities for smartphone manufacturers.
Apple maintains global lead in premium smartphone market – CHECK details
Apple remains the dominant player in the global premium smartphone market, defined by devices with a wholesale price of $600 or more (Rs 50,000 or higher). As per TOI report citing CounterPoint Research, despite maintaining a substantial 71% market share, there has been a slight decline compared to the previous year. CounterPoint Research notes two contributing factors to this dip. Firstly, Huawei’s resurgence in China with the Mate 60 series impacted Apple’s market share. Secondly, Samsung made gains driven by its S23 and Foldable series.
Challenges for Apple in 2024
China continues to pose challenges for Apple amid tensions between the US and China. Chinese state governments have even prohibited officials from using iPhones. Another hurdle for Apple is the rise of foldable smartphones, a trend Apple has not embraced. While Oppo and OnePlus have entered the foldables race, Apple’s strategy remains unchanged in 2024.
Evolution of Smartphone Market Trends
Consumer buying patterns in the smartphone market have shifted, with consumers increasingly willing to invest more in high-quality devices. Owning the latest flagship models is now considered a status symbol. This trend is particularly evident in emerging markets where consumers are transitioning directly from mid-price to premium bands. The ultra-premium segment, smartphones priced at $1,000 and above, has claimed a significant share, representing over one-third of total premium market sales in 2023. The premium segment is expected to surpass the overall global smartphone market’s growth, providing opportunities for OEMs that can differentiate themselves and establish strong brands.
In summary, while Apple maintains its leadership in the premium smartphone market, challenges in China and the absence of a foldable offering may impact its market share. The evolving consumer preferences and the increasing dominance of the ultra-premium segment offer both challenges and opportunities for smartphone manufacturers.
