Inflation, typhoons pull down smartphone shipments to PHL
SMARTPHONE shipments to the Philippines significantly declined in the third quarter of the year as a result of inflation and recent typhoons, according to International Data Corp. (IDC).
In an e-mailed statement on Wednesday, it said smartphone shipments “declined by 8% quarter on quarter and 6.8% annually, bringing in 3.9 million units in the third quarter.”
Recent typhoons and inflation hurt both consumers and vendors, according to the market intelligence company.
“Vendors took a more conservative approach by clearing inventories, maintaining prices of existing models, and sustaining momentum by bringing in more affordable smartphones,” IDC Philippines Market Analyst Angela Jenny V. Medez noted.
Inflation accelerated to 7.7% in October, the fastest pace in nearly 14 years, as the prices of food and utilities continue to rise.
The top five smartphone brands in the Philippines in terms of market share in the third quarter were realme (23.4%), Transsion (15.8%), Samsung (15.6%), OPPO (15.5%), and vivo (13.2%).
“The last quarter of the year is the peak sales period for smartphones, buoyed by holiday buying,” Ms. Medez said.
“But as inflation is expected to linger and peak towards the end of year, we anticipate an annual shipment decline towards the end of 2022 as vendors will lower targets for the upcoming holiday season by controlling inventories and increasing prices for newer models to counter the depreciating currency,” she added. — Arjay L. Balinbin
