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Apple regains top position in Chinese smartphone market after six years

by Nick Erickson
January 26, 2022
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Cupertino-based giant Apple surpassed all of its local smartphone rivals in China in Q4 2021 to become the top brand in China after six years when the iPhone 6 supercycle was at its peak, a report revealed on Wednesday. new report. The festive quarter (Q4) also brought Apple its highest-ever market share in China at 23 percent, according to Counterpoint Research’s Monthly Market Pulse Service. “Apple’s stellar performance was driven by a mix of its pricing strategy and profits from Huawei’s premium base. Apple rose to number one in China right after the iPhone 13 was released in September (week 39),” said research analyst Mengmeng Zang.

After that, it remained in the leading position for most of the fourth quarter. “The new iPhone 13 has fueled Apple’s success thanks to a relatively lower starting price when launched in China, as well as the new camera and 5G features. In addition, Huawei, Apple’s main competitor in the premium market, experienced declining sales due to ongoing US sanctions,” Zang said. However, Chinese smartphone sales in the fourth quarter of 2021 fell by 2 percent (quarter on quarter) and 9 percent (year on year), respectively.

Full-year smartphone sales also continued the downward trend for the fourth year in a row, dropping 2 percent year-on-year in 2021. The market in China continues to contract due to several factors, both on the supply side and on the supply side. demand side.

“The ongoing component shortages are affecting shipments for all OEMs. Second, the average smartphone replacement cycle in China is getting longer. Smartphone designs across brands have also become more homogeneous, especially in hardware, which is not motivating consumers to upgrade,” explains senior analyst Ivan Lam. China has also faced a complex economic environment in which exports fuel growth. and domestic spending remains weak.

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Faced with more serious component shortages, slower penetration in offline channels and competition from Honor, Xiaomi was in fifth place during the quarter.

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