Smartphone shipments down 11% in Q2 despite festive push

A report by market tracker Counterpoint Research shows that a total of 45 million devices were shipped in the quarter, down from 51 million devices a year ago. This attributed the decline in shipments to weak demand and large unsold stocks.

Counterpoint India research director Tarun Pathak said smartphone shipments declined “for the first time” in the festive quarter, combined with more than 10 weeks of record high inventory, macroeconomic headwinds and flat consumer demand at the start of the September quarter. one year.

Meanwhile, the average selling price (ASP) of smartphones rose by over 4% 20,000 in the September quarter, adding to the increase in the previous four quarters. This January, Counterpoint’s year-end report for the Indian smartphone market pegged ASP closer. 17,000, which has now crossed 20,000 While Counterpoint forecast a 4% increase on a dollar value basis for new phone shipments, the average smartphone price saw an increase of more than 20% from a year ago, thanks to a sharp depreciation in the currency against the US dollar. Middle.

Pathak said the growth in smartphone ASPs is likely to continue till the June quarter of 2023. “It is a reverse trend, where ASP will continue to move upwards, and shipments will either remain flat or decline year-on-year. This may start to change from the September quarter next year, when a brand starts offering affordable 5G phones in the country. will do.”