• Smartphone OEMs increased their shipments to Indonesia by 4% YoY in Q1 2024.
• vivo led in smartphone shipments for the first time in three years with a 19.2% share.
• Xiaomi’s shipments grew 55% YoY to take second place in the quarter.
• The $200-$399 price band’s shipments increased by 37%, led by Samsung.
• 5G smartphone shipments grew 77% YoY owing to the $200-$399 price band.

Jakarta, Beijing, Boston, Buenos Aires, Fort Collins, Hong Kong, London, New Delhi, San Diego, Seoul, Tokyo – May 10, 2024

Indonesia’s smartphone shipments increased 4% YoY in Q1 2024, according to Counterpoint’s Monthly Indonesia Smartphone Tracker. Smartphone OEMs started this year by aggressively launching new models to meet the anticipated increase in demand during the Ramadan festivities in March. As a result, the shipments of newly launched models grew 183% YoY .

Various promotional activities were seen in retail channels such as Erafone, where discounts were not only for smartphones but also included discounts for accessories or IoT products, and free e-vouchers. Further, official online stores, e-commerce platforms and social media channels such as X, IG, TikTok and Facebook were used to market promotions. Offline stores have progressively increased over the years, with more competition coming from independent multi-brand stores and official smartphone stores, such as those from OPPO and realme, which continue to expand their coverage area.

Commenting on the shopping season during Ramadan festivities, Senior Analyst Febriman Abdillah said, “Indonesian consumers have become accustomed to increasing their spending during Ramadan and the following Eid al-Fitr festivities. This also includes upgrading their smartphones. Keeping in mind last year’s Ramadan shopping season, when demand was higher, OEMs were better planned this year in terms of product launches approaching Ramadan festivities. Consumers appreciated this as the newly launched smartphones also came with flash sale promotions.”

vivo took the top position after three years, with a 19.2% market share driven by improved distribution channels and aggressive marketing strategies. The Y series, including the new Y100 and Y03 models, drove vivo's shipments. Promotions on online channels such as Eraspace, Tokopedia, Blibli, Shopee and Lazada, and partnering with fintech brands like Kredivo and Spectra for installment promos, also helped vivo increase consumer interest.

Xiaomi grew 55% YoY to move to second place. During the quarter, the brand expedited the replacement of older models with successors while offering price promotions. The Redmi Note 13 series, Redmi A3, Pocophone X6, X6 Pro and Xiaomi 14 were among the popular models introduced by Xiaomi during the quarter. Also, Xiaomi led the <$200 price band with a 21% share.

We witnessed a YoY decline in OPPO and Samsung due to reduced shipments in the entry-level segment (<$200). Meanwhile, realme saw lower shipments across all price bands. The new realme 12 series will take time to develop for the higher price bands. realme also missed its popular GT series from last year.

The mid-range segment ($200-$399) grew by 37% YoY in Q1 2024 to reach a 27% share. The growth was driven by Xiaomi, Samsung and vivo, particularly with the addition of new models such as the Samsung Galaxy A15, Galaxy A25, vivo Y100 and the Redmi Note 13 series.

5G smartphone shipments grew 77% YoY, reaching a 29% share of the overall smartphone shipments. The growth was led by vivo and OPPO with a combined share of 39%. The $200-$399 segment saw the largest growth, accounting for 57% of 5G shipments. OEMs still considered launching 4G smartphones in the Indonesian market due to slow 5G expansion.

Outlook 

Commenting on the market outlook, Abdillah said, “The demand for smartphones is expected to grow, especially for the mid-range ($200-$399) segment as we see this segment continuing to thrive, given the country’s improving macroeconomic conditions. Furthermore, OEMs may continue to launch new smartphones equipped with new technologies, including features such as AI and new camera systems.”

Background

Counterpoint Technology Market Research is a global research firm specializing in products in the TMT (technology, media and telecom) industry. It services major technology and financial firms with a mix of monthly reports, customized projects and detailed analyses of the mobile and technology markets. Its key analysts are seasoned experts in the high-tech industry.

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