A GfK Survey claims that there has been a sudden surge in smartphone sales, thanks interest from developing markets.
GfK said that smartphone demand rose to 347 million units making 2Q17 the best second quarter on record.
Emerging Asia led the demand growth with a 13 percent year-on-year increase, followed by Central and Eastern Europe at 11 percent, and Latin America at 10 percent. Market value grew nine percent year-on-year, due to rising average sales price (ASP).
Western Europe and the developed Asian countries dropped by four percent as the market remained saturated and Chinese market was flat.
Arndt Polifke, global director of telecom research at GfK, said: “The record demand for smartphones in the second quarter this year shows that, despite saturation in some markets, the desire to own a smartphone is a worldwide phenomenon. How that manifests itself differs widely by region. Manufacturers are maximizing all their creativity to ensure their latest devices are irresistible – and to increase ASP as a result. Elsewhere, macroeconomic factors and consumer confidence are having an impact, but operators and retailers are employing localized tactics to ensure the smartphone remains the connected device of choice.”
Yotaro Noguchi, product lead in GfK’s trends and forecasting division, said: “Consumers are willing to pay more for their smartphone as they seek a better user experience. Despite the market reaching high penetration levels, GfK forecasts smartphone demand will continue to see year-on-year growth even in 2018, as innovation from smartphone vendors keeps replacement cycles from lengthening.”
GfK expects major device launches in 4Q to help moderate full-year declines to -0.4 percent.
