Emerging market sales grow by a third as average cost of smartphones declines for first time in four years
More than 1.94 billion mobile phones are expected to have been sold by the end of this year according to analysts CCS Insight.
The figure, which is part of CCS’s Global Mobile Phone Forecast, found that overall phone sales have grown by six per cent this year, from 1.83 billion in 2013, with smartphones making up 1.3 billion of devices sold (67 per cent).
But the average cost of a mobile phone fell for the first time in four years – helping promote greater growth in emerging markets – which has see a 33 per cent rise in smartphone sales. This was compared to a 10 per cent increase in Western markets.
Globally, smartphone sale have grown 25 per cent year-on-year but CCS found the growth is slowing. 2013 figures showed a 40 per cent growth and the analyst firm predict the rate will fall to 15 per cent in 2015.
CCS Insight director of forecasting Marina Koytcheva said: “Over the last four years we saw sustained growth in the average selling price of mobile phones as consumers in developed markets embraced smartphones, in many cases fuelled by Apple’s ascendency. This transition is almost complete and the biggest volumes have shifted to growth markets where lower priced smartphones dominate, and driving average prices down.”
“You only have to read the news to know that almost every traditional mobile phone maker other than Apple is under pressure. Our forecast underlines the challenges they face as competition in the mobile phone business reaches boiling point.”