Global smartphone sales to end-users declined 6.8 percent in the third quarter, compared to the same time period in 2020, according to Gartner. Component shortages disrupted production schedules, leading to lower inventory and delayed product availability, which eventually impacted sales to end-users.
The existing shortage of components, such as radio frequency and power management integrated circuits, delayed smartphone production globally. This disrupted the supply-demand equilibrium and end-users were burdened with limited choices at point of sale. Sales of premium smartphones continued to grow even though overall smartphones sales declined in the quarter, Gartner said.
Apple reclaimed the No.2 position in sales to end-users reaching a market share of 14.2 percent, up from 11.1 percent a year ago. Samsung maintained its overall lead in smartphone sales, though its market share declined 1.9 percent year-over-year to 20.2 percent. Even with the overall decline, Samsung experienced growth of its premium smartphones, led by strong demand for revamped foldable smartphones. Chinese smartphone vendors Xiaomi, Vivo and Oppo increased their market shares by 1 percent, 2.4 percent and 1.7 percent respectively, year-over-year to 13 percent, 10.5 percent, and 9.8 percent.
Apple continued to experience strong demand for iPhones led by compelling feature upgrades and underpenetrated 5G installed base. Apple continues to revamp its online channel and position trade-in programmes to accelerate demand for its 5G iPhones through the rest of 2021. Xiaomi’s strong online channel-led strategy for market expansion in Europe and the Middle East and partnering with communication service providers in these regions helped the company increase its global smartphone market share in the third quarter of 2021.
Vivo registered the highest year-over-year growth (20.9 percent) among the top five global smartphone vendors in the third quarter. The company introduced 13 new smartphones in the quarter to try to gain advantage while entering new markets, including Europe and the Middle East, along with the addition of new offline retailers and experience stores to its strategy.
