STRATEGY ANALYTICS REPORT UNVEILS CONSUMER APATHY TOWARDS iPhones
Amidst the trade war between USA and China, a global slump has been witnessed in the sales of iPhones in the second quarter of this year. The trend has been witnessed by a global technology research and solution firm ‘Strategy Analytics’ in its recently published report.
Ahead of the upcoming launch in September, Apple has seen a decline in their sale and has been plunged to the third position in the global smartphones market.
The launch at Headquarters in California will replace the X series (XS, XS Max, and XR) with Pro series with three new iPhones which will feature an ultra-wide triple camera on the rear with high-resolution features similar to professional video cams. But, presumably the lack of 5G technology may hamper sales.
According to the latest reports by Strategy Analytics, Samsung has retained its global leader position in the smartphones market, with 22% of market share followed by Huawei with a 17 % share. Whereas Apple has been pushed to the third position with 11% market share in the second quarter of this year, though Apple plays strongly in Asian and Hispanic market with a 50% market share. Xiomi captures the fourth position with 9 % share, and Oppo stands fifth with almost 8 % share.
The new figures and rankings from Strategy Analytics and other global market research firms Canalys and Gartner echo the same scenario and their reports have hit the market when global smartphone shipments have dropped for seven consecutive quarters in recent years. The expected decline may be significant in Europe, Japan, and North America and India as well.
Lack of innovations or marginal value for the money are the key factors that are instrumental in consumer’s apathy towards these devices. But most of the research firms believe that introduction of 5G technology would boost the market in 2020. Thought the high price along with this technology could deter the demand for the 5G equipped phones.
An online survey has been conducted by Strategy Analytics with 2,500 US smartphone users including Gen Z ( 18– 24 years ), Gen Y ( 25-39 Years), Gen X (40 -50 years) and Boomers (55 -75 years ), taking into consideration their gender, ethnicity , their cost of the current phone, and the replacement cycle of these consumers.
The report reveals that Gen Z expects Wow features with value for the price, whereas premium consumers desire the latest networking technology like 5G for faster operations. The women consumers and Gen Z desire for camera superiority and quality. Gen X and Gen Y users expect time management and unplug features in the phones.
The figures revealed that on average, the Apple users have been replacing their phones after 18 months, whereas Samsung users replace their phones after 16.5 months. Right now this trend has been extended to 33 months as the loyal consumers of both these brands are in wait and watch mode.
According to another survey done by BankMyCell, the loyalty of Apple users has hit its lowest since 2011. 26% of Apple users have moved onto another brand. As per another global market research firm Gartner, the largest slowdown can be observed in Western Europe, Japan and in North America.
Eyeing on Apple launch in September 2019 where iPhone 11 will be unveiled, Apple CEO Tim Cook has admitted that the sales slid to $26 billion but has expressed positive improvements in iPhone user’s trends.