Apple remains number one in the premium phone market

All indications are that global smartphone sales will decline this year, while sales of premium phones will continue to rise and reach new records. Apple still leads the premium phone market, but other manufacturers are also gaining.

According to Counterpoint Research's Market Pulse Service, sales of the global high-end smartphone market will grow by 6 % in 2023, reaching a new record. According to this classification, phones with a price higher than 600 US dollars, which is just under 550 euros, belong to the higher price class. This figure contrasts with the predicted decline in sales expected in the smartphone market last year. The premium device segment is likely to account for almost a quarter of all phone sales and 60 % of all revenue. In the last few years, the premium segment has emerged as an area of growth in an otherwise weak market.

Commenting on the growth of the premium phone market, Senior Analyst Varun Mishra said: “The smartphone market has seen a change in consumer purchasing patterns. Given the importance of the smartphone, consumers are willing to spend more to get a high-quality device that they can use for a long time. Owning the latest and greatest showpieces has also become a status symbol for many consumers, especially in emerging markets where they move directly from mid-range to premium. In addition, seasonal promotions and various financing options make these devices increasingly affordable."

Apple is still number one in the premium device market. However, its share decreased compared to 2022. This is mainly due to Huawei's resurgence in China, fueled by the Mate 60 series. Samsung has also increased its share with the S23 series and, perhaps somewhat surprisingly, foldable devices. It is precisely these that have emerged on the premium market as an element that makes a difference.

Looking at different regions, China, Western Europe, India, and the Middle East and Africa (MEA) regions have largely driven the growth of the global premium products market in 2023. In fact, China, India, MEA and Latin America are most likely to set a new sales record in the premium market, with India being the fastest growing market in the world.

If we look at the premium market in more detail, the driver of growth is the segment of ultra-premium devices. In 2023, devices priced from 1,000 euros accounted for more than a third of total sales on the premium market.