Counterpoint Research estimated sales of smartphones in the premium tier were up six per cent year-on-year in 2023 against a backdrop of a declining overall market, with the most expensive devices credited with driving growth.
In its projected sell-through sales figures for the year the analyst house indicated the final tally would constitute a sales record in the premium segment, defined as handsets with a wholesale price at or above $600.
When the final numbers are in premium device sales are expected to make up 24 per cent of the entire smartphone market and bring in 60 per cent of revenue across the board. Within the segment it noted a third of sales were for devices priced over $1,000.
China, India, the MEA region and Latin America were deemed likely to have set new records for premium sales in the year, with India pinned as the fastest growing market.
Throughout last year major analyst houses, including Counterpoint Research, predicted a global annual drop in total smartphone sales.
Apple domination
In terms of market share in the premium market, Counterpoint Research projected Apple at 71 per cent last year, a drop from 75 per cent in 2022. Samsung’s share increased one per cent to 17 per cent while Huawei hit five per cent, up from three per cent the prior year.
Its analysts attributed the fall in the share for the market’s “undisputed leader” as “mainly due to Huawei’s resurrection in China driven by the Mate 60 series,” though also pointed to Samsung’s traction with foldables and its S23 series.
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
Varun Mishra Counterpoint Research
Counterpoint Research senior analyst Varun Mishra highlighted “a shift in consumer buying patterns in the smartphone market,” adding: “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.”
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