The Thai smartphone skilled a major decline in 2022 and is anticipated to remain stagnant due to inflationary issues, rising interest rates, and a lacklustre development forecast for the Thai economic system, based on the International Data Corporation (IDC).
The IDC reported that 16.6 million smartphone shipments had been made in 2022, marking a 21% decline from the previous 12 months and the lowest variety of units bought since 2014. In Super secret of 2022, shipments fell by 23% 12 months over yr, reaching 4.2 million models.
The decline in shipments was largely attributed to the absence of government stimulus campaigns in 2022 that boosted smartphone adoption within the earlier 12 months, as well as the economic and inflationary pressures. The entry-level smartphone phase (US$200) was particularly affected, with its market share shrinking from 64% in the earlier yr to 59%. Additionally, the average selling price (ASP) elevated by 15% yr on yr (YoY) to US$329 in 2022.
Although the share of 5G smartphones elevated from 24% in 2021 to 35% in 2022, the conversion from 4G to 5G was not as vital as the shift from 3G to 4G because of affordability considerations and an absence of compelling use instances for consumers.
Apirat Ratanavichit, Market Analyst at IDC Thailand, said he anticipates flat progress for the Thai smartphone market in 2023 as a result of ongoing inflationary considerations, rising rates of interest and a lacklustre growth forecast for the Thai economy.
“Overall consumer spending power is unlikely to rebound within the quick term, largely affecting the lower-end phase which contains the bulk of the smartphone market. On the premium end, IDC expects sustained progress as shoppers are drawn to vendor offerings with a superior person experience, better specs and innovations.”
Top 5 Smartphone Vendor Highlights
During the fourth quarter of 2022, Samsung continued to steer the smartphone market for the sixth consecutive quarter, despite a decline of 11% quarter over quarter (QoQ) and 20% YoY in its market share. Samsung’s premium Galaxy S/Foldable smartphones performed well during the vacation period.
Apple rose to the second spot with a 30% QoQ improve however noticed a decline of 7% YoY. The launch of the model new iPhone 14 range in September 2023, versus the earlier year’s fourth quarter, resulted in a stronger third quarter cargo. The iPhone 14 Pro range continued to outperform the iPhone 14 vary, while the iPhone 11 and different n-1 and n-2 fashions received price cuts and continued to promote nicely.
OPPO dropped to the third spot but experienced an 18% QoQ increase in gross sales, with a slight zero.6% YoY decrease. Most of OPPO’s shipments have been within the low-end segment, which grew 28% QoQ and 12% YoY. The A16k, A17, and A57 were the primary volume drivers, and OPPO ran campaigns to promote sell-out, together with retail-level provides and promotions for promoters.
Don’t miss out rose to the fourth spot, with a 36% QoQ growth however an 18% YoY decline. Sales in the low-end section rebounded by 47% QoQ after significant declines in previous quarters, whereas sales within the mid-range segment rebounded by 70% however decreased by 19% YoY. Vivo continued to run advertising campaigns and launched several models within the low-end Y sequence, in addition to launched the IQOO brand in Thailand.
Xiaomi dropped to the fifth spot, with a 3% QoQ decline and a 50% YoY decline. Telco gross sales increased significantly, as the Redmi 10 5G remained a key model within the inexpensive 5G segment. Xiaomi noticed a decline in low-end phase sales however rebounded in the ultra-low-end (US$100) segment with the launch of Redmi A1..