The smartphone market has registered a significant decline in sales for the past two years. Data from Stocklytics.com reveals that the global smartphone market revenue plummeted by $36 Billion during that period. This reflects a challenging period for phone manufacturers grappling with various economic and industry-related challenges.

Offering insights into these findings, Stocklytics’s financial analyst, Edith Reads, said:

The decline in 2023 marked the lowest full-year volume in a decade, primarily driven by macroeconomic challenges and elevated inventory early in the year. While the global smartphone market remains challenged, momentum is moving quickly toward recovery.

Stocklytics’s financial analyst, Edith Reads

Premium Smartphone Revenue Increases Despite Overall Sales Decline

While overall smartphone sales have reduced, the global premium smartphone (those costing $600+) sales have risen. These phones captured more than 20% of the market in terms of shipment for the first time. This trend aligns closely with Apple’s strong performance in 2023 since some of its devices are priced above $600. 

The shift in customer behaviour suggests that some are willing to pay a premium price for high-quality devices with advanced features and specifications. 

Additionally, the refurbished phone market has also risen by 16% year-on-year. This indicates that consumers are more willing to buy a used device at a lower rate than a brand-new device.

Apple Claims Top Spot, Outshining Samsung in 2023 Sales

Apple and Samsung have been in a battle for supremacy in the smartphone industry for the last decade. While Apple is known for setting trends with its iPhone series, Samsung offers a range of devices tailored to market segments. This intense rivalry has led to back-and-forth competition for market dominance, with both companies striving to outshine each other in terms of design, features, and technological advancements.

In 2023, Apple surpassed Samsung in smartphone sales for the time since 2010. The iPhone series overtook the Samsung Galaxy as the best-selling smartphone globally, marking a shift in the industry’s competitive landscape. The iPhone accounted for a significant portion of the smartphone market last year, with approximately 235 million units shipped. 

As phone technology advances and new features are introduced, observing how companies adapt to meet evolving customer demands will be intriguing.

By Edith Muthoni