By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
eBusiness Life MagazineeBusiness Life Magazine
  • Home
  • NewsBytes
  • Big Issues
  • Columns
  • Cyberparenting
  • Tech Talk
  • Gadget Review
  • Interviews
  • Our People
Notification Show More
Font ResizerAa
eBusiness Life MagazineeBusiness Life Magazine
Font ResizerAa
  • Categories
  • More Foxiz
    • Blog Index
    • Sitemap
Follow US
eBusiness Life Magazine > Blog > NewsBytes > Inflation Drags Africa’s Smartphone Market Demand Down – IDC
NewsBytes

Inflation Drags Africa’s Smartphone Market Demand Down – IDC

ELadmin1
Last updated: 2023/06/07 at 12:58 PM
By ELadmin1
Share
3 Min Read
SHARE

Africa’s smartphone market declined 3.4% quarter on quarter (QoQ) in Q1 2023 to total 17 million units, the lowest level of shipments since the start of the COVID-19 pandemic in Q1 2020. That’s according to the latest figures announced by International Data Corporation (IDC), with the firm’s newly released Worldwide Quarterly Mobile Phone Tracker showing that rising inflation and local currency depreciations against the U.S. dollar have negatively impacted demand for smartphones across the continent.

Shipments of feature phones across Africa also declined in Q1 2023, although not to the same extent as smartphones. Feature phones remain relatively affordable and are still the preferred secondary device option for many consumers.

a senior research analyst at IDC, George Mbuthia explained: “Africa’s smartphone declined throughout 2022 amid weak consumer demand, and this has been exacerbated by rising inflation and higher device prices. The average selling price (ASP) for smartphones grew QoQ due to high import costs and the fact that many vendors’ flagship devices are now equipped with 5G and have therefore moved up in price to the premium segment.”

Africa’s top three (3) smartphone markets recorded a mixed performance in Q1 2023. South Africa and Nigeria both saw shipments decline QoQ, while the Egyptian market registered growth. South Africa was impacted by seasonality issues and weak demand, meaning vendors were unable to bring in new units while they continued to clear the channel. Egypt remains below its potential, but local assembly is picking up in the country and the government has now dropped its “letters of credit” requirement for vendors, both of which have helped the market to recover from its low base.

Ad imageAd image

Transsion (Tecno, Itel, and Infinix) accounted for the largest share for smartphone shipments across Africa in Q1 2023, despite experiencing a decline in units. Samsung placed second, while Xiaomi came in third.

“Looking ahead, a slight recovery in demand is expected starting from the second half of 2023, with uncertainty over a global recession lessening,” says a senior research manager at IDC, Ramazan Yavuz. “Greater currency stability against on the dollar will promote more stable pricing, and this is also expected to ease import costs and thus lower ASPs in the market, helping to spur slight growth throughout the remainder of the year.”

International Data Corporation (IDC) is the premier global provider of market intelligence, advisory services, and events for the information technology, telecommunications, and consumer technology markets. With more than 1,300 analysts worldwide, IDC offers global, regional, and local expertise on technology, IT benchmarking and sourcing, and industry opportunities and trends in over 110 countries.

ELadmin1 June 7, 2023 June 7, 2023
Share This Article
Facebook Twitter Whatsapp Whatsapp LinkedIn Copy Link Print
Leave a comment Leave a comment

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Get Started
Additive Manufacturing Making Impact on Digitalization, More Sustainable Workflows – Study

With 3D printing making an impact on the digitalization of manufacturing and…

NCC Cautions MNOs Over Interconnection Agreements Default

… Lifts Phased Disconnection Mandate Against Globacom In a bid to protect…

Infrastructure Financing: AfDB And InfraCredit Sign $15 million Funding Agreement

The African Development Bank (AfDB) and Infrastructure Credit Guarantee Company Limited (InfraCredit)…

Moniepoint, NITHub Unilag Kicks Off 2nd Cohort Of HatchDev Programme 

Moniepoint Inc, Africa's top digital financial services provider, in collaboration with University…

Stakeholders Seek Ways To Mitigate Telecom Fibre Cuts

The Association of Telecommunication Companies Of Nigeria (ATCON) has highlighted fibre cuts…

Konga Health, L’Oréal Partner to Raise Personal Care Awareness with Discount Campaign
May 22, 2025
Canal+ MultiChoice takeover A Step Away From Final Approval
May 22, 2025
Intellectual Property: Temu Signs MoU With IACC, Joins Advisory Council
May 22, 2025
Despite Knowledge Gap, Marketing Leaders See Strong Potential In gTLDS – New ICANN Research
May 22, 2025
Containerized Infrastructure With Exposed Docker APIs At Risk Of New Cyber Attack – Kaspersky Alert
May 22, 2025

You Might Also Like

NewsBytes

Konga Health, L’Oréal Partner to Raise Personal Care Awareness with Discount Campaign

By Ebusiness Life
NewsBytes

Canal+ MultiChoice takeover A Step Away From Final Approval

By Ebusiness Life
NewsBytes

Intellectual Property: Temu Signs MoU With IACC, Joins Advisory Council

By Ebusiness Life
NewsBytes

Despite Knowledge Gap, Marketing Leaders See Strong Potential In gTLDS – New ICANN Research

By Ebusiness Life
Facebook Twitter Instagram
Company
  • Advertisement
  • Privacy Policy
  • Editorial Policy
  • Contact US
More Info
  • Newsletter

Sign Up For Free

Subscribe to our newsletter and don’t miss out on our latest reports

Join Community

Copyright 2023. Designed by Kreative TechPoint

adbanner
AdBlock Detected
Our site is an advertising supported site. Please whitelist to support our site.
Okay, I'll Whitelist
Welcome Back!

Sign in to your account

Lost your password?