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High prices pushed global smartphone revenue up by 2018

2018 was a tricky year for smartphone makers; As we commented, some analysis firms have reported that there has been a downturn in the market. But look s: on the other hand, the GfK He said the market had actually shrunk, but that did not imply a decrease in overall revenue.

According to the report (PDF), although global smartphone demand dropped by 3% in 2018 (to 1.44 billion devices), sales alone amounted to more than $ 522 billion, an increase of almost 5% over to the previous year. Responsible for leveraging global smartphone revenue were the manufacturers themselves, which increased the average price of smartphones.

In this sense, around 12% (compared to 9% in 2017) of the flagships sold over the past year cost more than $ 800. The $ 150 to $ 400 handset segment remains the largest, with 46 percent of global sales in 2018 (up 2 percent from the previous year).

Another GfK study looked at consumer trends about what to consider when buying a smartphone. Users not only prefer to have fewer devices, but higher quality devices, but also ?value experience more than possession?. In some cases, larger megapixel cameras, screens and larger internal storage do not stimulate so much demand for new models.

Our research has shown that while the new features of smartphones have computer power and features that are comparable to laptops, these high end specs still need to be converted into new experiences.

Once again, part of the blame for the decline of the smartphone market has been blamed on China, as the country is the world's largest consumer pole of smartphones. According to GfK, 60% of all smartphones sold within the country were produced by local brands (such as Huawei, Xiaomi, Oppo and VIVO), which squeezed foreign brands and reduced the number of devices sold in the country by 19%.

In the same report, the firm noted that sales of smartwatches grew 16% in 2018, led, of course, by Apple Watch. Global revenue from this market rose 35% and demand was driven by the rise of mobile connectivity enabled wear, which accounted for 17% of total mobile phone sales. gadgets.

via 9to5Mac