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Manila Bulletin devider Business devider PH smartphone market recorded biggest decline in 2022

PH smartphone market recorded biggest decline in 2022

Published Feb 20, 2023 04:36 pm

The Philippines smartphone market recorded its biggest annual decline in 2022 as inflation progressively soared, according to the International Data Corporation’s (IDC) Quarterly Mobile Phone Tracker.

IDC said in a report released Monday, Feb. 20 the country’s smartphone market declined 8.6 percent year over year (YoY), shipping 16.3 million units in 2022.

Though the last quarter in 2022 grew 6.3 percent quarter over quarter (QoQ), ICD said it also registered a 16.3 percent decline compared to last year as several vendors focused on clearing out inventories rather than bringing in new shipments during the holiday season due to unfavorable market conditions.

“Both consumer and vendor confidence have been seriously dampened as inflation progressively soared throughout 2022 ending the year at a 14-year high,” said Angela Medez, Senior Market Analyst at IDC Philippines.

Of the top five smartphone brands in the country, four are Chinese. These are Real Me with market share of 22.8 percent followed by Transsion with 17.9 percent, Oppo with 14.1 percent, Samsung with 13.5 percent, and Xiaomi with 11.4 percent.

Real Me maintained the top spot in 2022 by launching several new smartphones in the Narzo series to cater to the price-conscious customer, while Transsion was the only company in the Top 5 rankings that registered growth.

Both of its Infinix and Tecno brands upscaled their products in bringing in more models in the higher price range of $100+, such as Infinix’ Note series and Tecno’s Pova and Camon series, while itel continued to cater to the entry-level segment.

"Though inventory levels started to normalize towards the end of 2022, IDC is lowering its forecast for 2023 as vendors will remain cautious in their shipments amid the looming economic uncertainties and accelerating inflation," Medez added.

IDC is the premier global provider of market intelligence, advisory services, and events for the information technology, telecommunications, and consumer technology markets. With more than 1,300 analysts worldwide, IDC offers global, regional, and local expertise on technology and industry opportunities and trends in over 110 countries.

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