Online Smartphone Sales to Hit a New High Amid COVID-19
United States
The US recorded 14% share of online smartphone sales in 2019, which rose to 17% as COVID-19 started to spread in the country. In terms of brands, Apple dominated online sales with 44% share. Its iPhone 11 and iPhone 11 Pro Max were the bestsellers in both online and offline channels. Samsung’s Galaxy A10e was the No. 3 best-selling model in the online channel.
India
As much as 40% of India’s smartphone sales came from online channels in the first quarter of 2020. Flipkart hosted half of online sales during the quarter. The online market saw sales rise following the implementation of lockdowns and social distancing measures due to COVID-19. Xiaomi was the leading brand in online channels across the country, accounting for 51% of total online sales. The company saw 67% of its total sales happening online during Q1 2020. In contrast, Vivo sold only 11% of its phones online.
China
Online smartphone sales in China reached 30% in the first quarter of 2020. JD.com led among online platforms while Huawei smartphones ranked first in both online and offline channels. The top two brands in online were Honor and Xiaomi.
Other Markets
Europe, CIS, Latin America, Southeast Asia, the Middle East and Africa all showed growth in online sales.
Omnichannel innovation is currently gathering steam in the European consumer market and driving the growth of online channels.
In Latin America, online stores of major electronic retailers and department stores drive the online market, with mid- and low- priced models from Samsung and Motorola popular here.
Southeast Asia is the region with steepest growth in overall e-commerce recently. Lazada is the leader in smartphone sale channels in Southeast Asia and holds almost 60% share.
Conclusion
COVID-19 is a global crisis which is also changing the purchasing behavior of users worldwide. In our view, this change will continue even after the pandemic is over as it may have permanently affected the financial strength of certain distribution channels, for better or worse. Brands leveraging the growth of online will definitely ride the tide this year and next.
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Author
Team Counterpoint
Counterpoint Research is a global industry and market research firm providing market data, intelligence, thought leadership and consulting across the technology ecosystem. We advise a diverse range of global clients spanning the supply chain – from chipmakers, component suppliers, manufacturers and software and application developers to service providers, channel players and investors. Our veteran team of analysts serve these clients through our offices located across the key innovation hubs, manufacturing clusters and commercial centers globally. Our analysts consistently engage with C-suite through to strategy, market intelligence, supply chain, R&D, product management, marketing, sales and others across the organization. Counterpoint’s key coverage areas: AI, Automotive, Cloud, Connectivity, Consumer Electronics, Displays, eSIM, IoT, Location Platforms, Macroeconomics, Manufacturing, Networks & Infra, Semiconductors, Smartphones and Wearables.