Fri. Dec 2nd, 2022
Smartphone sales: Xiaomi plummets in Europe, Realme continues to make progress

A report on the European smartphone market establishes a drop of 12%, but the drop is greater for Xiaomi with 36% less sales. Is the Chinese giant being trapped by another Chinese brand, Realme?

Xiaomi 12 back
Source: Anthony Wonner – Frandroid

While forecasts indicate that global smartphone shipments will decline throughout 2022, the first quarter of this year is off to a poor start, with the European market down 12% overall. This is noted in a Counterpoint Research report published on June 15.

The health and geopolitical context in question

According to counterpoint research” METhe decline was caused by a number of factors, including ongoing component shortages, COVID-19-related lockdowns in China, deteriorating economic conditions, and the start of the Russo-Ukrainian war. “. In addition, Jan Stryjak, associate director of the research institute, says that these contexts ” they have been exacerbated by new economic and geopolitical challenges. Rising inflation levels in the region are affecting consumer spending “.

This 12% decrease in the first quarter of 2022 compared to the same period last year may be due in part to the disruption of smartphone shipments to Russia by Apple and Samsung. Even if the Russian market does not represent just 6% of total European smartphone shipments. […] However, the impact of the war may have broader ramifications if it leads to lower availability of raw materials, higher prices, additional inflationary pressure, and/or the withdrawal of other suppliers from Russia. adds Stryjak. According to Counterpoint Research, the situation should not improve this year and the drop in deliveries should continue.

The smartphone market in Europe in the first quarter of 2022 // Source: Counterpoint Research Market Monitor Q1 2022. Totals may not add up due to rounding.

We could also ask ourselves if the smartphone market has not reached a certain maturity. It is possible that the potential audience is now equipped and that smartphones are becoming more durable, thanks to wide software support, for example.

You will also notice that while Apple gains one point of market share (from 24% to 25%), the overall drop in sales of the entire smartphone market causes them to suffer a slight 6% drop in sales. Clearly: if Apple is taking a small step in the battle for the biggest seller, the Apple brand still sells fewer smartphones during this period.

Xiaomi is being overtaken by Realme in Europe

But in the table of market shares of smartphone deliveries in Europe during this first quarter of 2022, what is obvious is the fall in market shares of Xiaomi. The Chinese brand is at the bottom of the podium in Europe, behind Samsung and Apple. Note that in this report, Xiaomi includes the Redmi and Poco brands, while Oppo includes OnePlus.

What is also obvious is the impressive rise of Realme, which is in fifth position, just behind Oppo. The brand (also Chinese) registered a growth of 67% compared to the same period last year. So we can ask ourselves if Realme would not be the new Xiaomi, the manufacturer is approaching a similar strategy in relation to its pricing policy and the number of smartphones it launches. A significant growth of Realme that we also see in France, even if Xiaomi manages to stay in France.

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This article was translated from this source written by


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