The global premium smartphone market’s sales are likely to grow 6% YoY in 2023 to hit a new record, according to Counterpoint Research’s Market Pusle Service. The research includes smartphones having a wholesale price of ≥ USD 600 (Rs. 50,000 approx.). Interestingly, the volume growth in 2023 is 3X more compared to 2016.
This growth in the premium segment contradicts the declining overall global smartphone market, suggesting a shift in consumer buying patterns in the smartphone market. Further, it is said that India is the fastest-growing premium market globally.
Continuing its dominance, Apple leads the market segment with a 71% share, followed by Samsung, HUAWEI, Xiaomi, OPPO, and others. Apple’s share slightly declined this year, which is attributed to HUAWEI’s resurrection in China, driven by the Mate 60 series.
Another interesting insight the research suggests is that it’s the ultra-premium segment (above USD 1000 / Rs. 83,315) that has driven the growth, capturing over 1/3 of the total premium market sales in 2023.
Region-wise, China, Western Europe, India, and the Middle East and Africa (MEA) regions were driving factors for the growth. China, India, MEA, and Latin America are likely to see a new record.
Commenting on the premium market’s growth, Counterpoint Research’s Senior Analyst Varun Mishra said,
There has been a shift in consumer buying patterns in the smartphone market. Considering the importance a smartphone holds, consumers are willing to spend more to get a high-quality device that they can use for a longer period. Owning the latest and greatest flagships has also become a status symbol for many consumers, especially in emerging markets where they are jumping directly from the mid-price band to the premium band. Further, these devices are increasingly becoming more affordable due to promotion seasons and financing options.