Sales of smartphones in the Philippines dove by a record 8.6 percent to 16.3 million units in 2022, according to the Quarterly Mobile Phone Tracker of International Data Corp. (IDC), as rising prices of basic goods and services prompted many Filipinos to hold back on spending on big-ticket items.
Given that accelerating inflation will remain a key concern in 2023, IDC predicts that the sales decline will spill over to this year.
“Though inventory levels started to normalize toward the end of 2022, IDC is lowering its forecast for 2023 as vendors will remain cautious in their shipments amid the looming economic uncertainties and accelerating inflation,” said Angela Medez, senior market analyst of IDC Philippines.
The Philippine Statistics Authority earlier reported that inflation revved up to a fresh 14-year high of 8.7 percent in January—the highest since 9.1 percent in November 2008—from 8.1 percent the previous month.
The IDC explained that vendors slowed down with their orders last year as they focused on moving their inventory during the holiday season.
Chinese brands
Last year, Chinese brand Realme led the Philippine market with 3.72 million units, equivalent to a 22.8-percent market share.
“Realme maintained the top spot in 2022 by launching several new smartphones in the Narzo series to cater to the price-conscious customer,” IDC noted.
Transsion, another Chinese brand, followed the lead with 2.92 million units for a 17.9-percent market share.
IDC said that “both of its Infinix and Tecno brands upscaled their products in bringing in more models in the higher price range of $100+, such as Infinix’ Note series and Tecno’s Pova and Camon series.”
Completing the top five were OPPO with 2.30 million units or a 14.1-percent market share; Samsung, 2.2 million units, 13.5 percent; and Xiaomi, 1.86 million units, 11.4 percent.
Other brands accounted for the remaining 3.31 million units or 20.3 percent. INQ