Global Sell-in and Sell-Through Declines: Sell-through was weak through all regions except for Japan and Korea. China sell through was slightly better than December but showed negative growth YoY. Sell in dropped more than sell through showing an inventory correction. This was mostly due to Chinese vendors with the exception of Huawei.
China’s HOVX Brands Shine: China’s HOVX brands registered marginal incline on MoM basis, while other global brands such as Apple and Samsung declined. All other major brands also declined. Chinese brands were aided by growth in the China market, especially in mid-tier price bands.
Share of Ultra-Premium ($800+) Price Band Declines: The share of ultra-premium price band decreased with the decline in Apple sales. The brand also continues to dip in China amid weak demand. Share of premium price band $600-$799, dominated by Apple iPhone XR, also remained flat. Recently announced Samsung Galaxy S10 series expected to shake up the premium price bands in coming months.
Topical Reports: Key strategies of global network operators can largely be subdivided into three categories – new product category, user acquisition and user retention. The report also takes a look at ecommerce policy changes in India and its impact on the handset industry. It emphasizes that exclusive engagements with ecommerce firms are likely to stay but there will be some short-term setbacks.
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