Samsung Leads Declining Global Smartphone Market in Q1 2018: IDC

The demand for smartphones has declined. Although smartphone shipment volume declined, Samsung announced its blended average selling price for handsets was $250 per unit, up from $170 at the same time past year.

"The saturating China smartphone market is forcing the Chinese smartphone players to invest and expand beyond their home market". The China market was the biggest driver of this decline with shipment volumes dipping below 100 million in the quarter, which hasn't happened since the third quarter of 2013. Huawei is trying to mold itself to offer midrange budget smartphones to the users and to create a strong market share. With 16 million units shipped, the phone has managed to beat expectations by a landslide. The nearly out-of-the-blue rise in Xiaomi's performance therefore is directly linked to their upcoming IPO. According to this research, the bezel-less flagship was the most popular smartphone for the Q1, 2018 period.

Strategy Analytics said that the iPhone repeated the success it achieved in the launch quarter.

So, the main question is, what does this mean for the smartphone market? Outside the top five, the market share of the "others" went down 18.5 percent from 40.2 percent in 2017 to 33.7 percent in 2018.

In place of emoji, Apple launched Animoji's that uses AR technology to create life emoji's of user's face with the use of every facial muscle. Of Xiaomi's 28.1 million shipments in Q1, close to 57% shipped outside of China. Samsung holds 30% market share in Latin America which remains a healthy market for the company.

Coming to Apple, the Cupertino-based company now stands in the second position with modest 2.8 percent year-over-year growth from 50.8 million units shipped last year to 52.2 million shipped during Q1 2018.

However, all of that doom and gloom is a thing of the past now as iPhone X has emerged as the best-selling smartphone worldwide for two consecutive quarters.

You can read the full report on smartphone shipments here. OPPO has also shifted some focus to online channels to counter Xiaomi's strong growth in the India market. After that, we see a slight increase in smartphone shipments in 2017 but in 2018 we see a plunge in the numbers. Oppo and Vivo now hold the market share of 6.1% and 5.4%, respectively.

This is the report for Q1 2018 and seeing how this is the start of the year this trend could change. In highly saturated markets, such as the US, China and Western Europe, a lack of innovation has led to a lack of consumer demand, and growth will be hard to find in 2018. Huawei's tablet shipments even grew, although tablets as a whole are down 11.7%. The iPhone 8 had 12.5% and the iPhone 8 Plus posted an 8.3% share. While the Motorola brand did well, it was Lenovo smartphones that registered decline during the quarter.

The sales figures for the Chinese manufacturers have increased in regions like Europe and the Middle East and Africa.

Other Chinese companies in the top 5 smartphone vendor list had mixed fortunes.

  • Arturo Norris