PH Smartphone shipments down due to weak demand, supply woes

PH Smartphone shipments down due to weak demand, supply woes

Shipments of smartphones in the Philippines fell 7.1 percent to 3.9 million units in the first quarter, slowed by crippled demand, component shortages and logistics challenges.

Quarter on quarter, the figure marked a larger 21.6 percent decline as demand slowed, according to the International Data Corp. (IDC).

The lower smartphone shipments in the Philippines were due to the ongoing supply constraints for low-end smartphones and a weakened consumer spending for mobile phones in the country.

Angela Medez, market analyst at IDC Philippines, said 5G smartphones have increased to almost 20 percent of total shipments in the first quarter.

However, 4G Android smartphones fell 16.3 percent year-on-year and 24.4 percent quarter-on-quarter due to tight supplies, with smartphones priced less than $200 impacted the most.

“Supply disruptions are expected to challenge vendors in meeting their targets for 2022, but we may see some improvements towards the end of the year,” Medez said.

“The silver lining could be the acceleration of 5G smartphones in the Philippines as vendors focus on their 5G portfolio to drive growth,” she added.

During the first three months, IDC said realme cornered the biggest smartphone market share in the Philippines at 20.2 percent, followed by rising brand Transsion with a 19.8 percent share.

ISamsung held the third biggest market share with 16.8 percent due to the introduction of several models at different price points.

Xiaomi, which continued with its retail expansion by opening more Mi stores, kiosks, and partnerships with retailers, captured a 14.2 percent share of the local market, while OPPO got 11.2 percent.


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