Analyst firms concur that global smartphone shipments dropped by around 8% in Q2 amid shifting consumer preferences towards higher-end and refurbished devices, signalling a focus on value over volume.
Analyst firms are converging on the same conclusion: the smartphone market weakened in the second quarter, with shipments falling year on year even as the mix shifted towards more expensive devices. Omdia, CCS Insight and Counterpoint Research all pointed to an average decline of about 8%, blaming pressure on lower-end handsets, where higher memory costs have squeezed margins and pushed some vendors towards pricier configurations.
Omdia was the only one of the three to publish a total shipment figure, saying worldwide volumes slipped 6% to 272 million units. Its ranking, alongside Counterpoint’s, put Samsung in first place with an average share of about 23%, while Apple held second at 20%. The two also agreed that Xiaomi, Oppo and vivo lost ground, although they differed sharply on Apple’s growth rate, underlining how varied vendor performance can look depending on methodology and geographic weighting.
The broader signal from the quarter is that value is becoming more important than volume. Counterpoint said higher device prices helped lift revenue by 7%, while its separate research found the premium segment accounted for 29% of first-half shipments, up from 25%, albeit in a smaller market overall. Omdia likewise said vendors were moving towards mid- and high-tier products, helping revenue remain comparatively resilient. Le Xuan Chiew, Omdia’s research manager, said pricing is once again acting as a competitive differentiator.
The shift is also visible beyond new handsets. CCS Insight said shipments of second-hand phones rose 3%, describing the organised refurbished market as a major opportunity if vendors can scale trade-in and refurbishment schemes. Ben Hatton, an analyst at the firm, said those programmes could become critical as demand recovers. Ekta Mittal, senior analyst at CCS Insight, also said Apple may benefit as the price gap between its phones and Android rivals narrows, while both CCS Insight and Omdia highlighted financing, leasing and buyback plans as key tools for supporting the upgrade cycle. Omdia expects the Q2 decline to level off after what it called a sharp correction, though it warned volumes are likely to stay subdued.
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