[eMarketer] Why global smartphone demand continues to drop

Nearly every smartphone maker except Samsung and Apple is reporting lower shipments in Q2 even as consumers continue to splurge on pricey phones, per Ars Technica.

The smartphone market is expected to cool further as a result of inflation, COVID-19-related lockdowns, and lack of any major innovation or reason for users to upgrade this year.

Premium smartphones continue to sell relatively well because consumers tend to hold on to them longer. The average length of phone ownership has been increasing steadily from 20 months, to more than two years, per CNBC.

The latest, greatest models from Apple, Samsung, and Google could be harder to come by due to protracted component shortages.

They could also cost more due to the persistent effects of inflation, which could further dissuade consumers to upgrade, especially if they made the leap to a 5G-capable device in the past two years.

According to eMarketer, the usual yearly upgrade cycle of more powerful processors, more capable mobile cameras, premium materials, and larger high-resolution screens aren’t enough to stoke consumer desire for new flagship phones.

Read the full eMarketer article here

www.emarketer.com