A slowing economy resulted in a decrease in overall smartphone shipments in 2022, but the premium market continues to thrive as sales increased by 1 percent compared to the same figure a year ago. At the center of it all was Apple, which, according to the latest data, captured 75 percent of the high-end market, which accounts for handsets priced at $600 and above. To ensure its success in the same segment, the technology giant is said to introduce exclusive features to the iPhone 15 Pro and iPhone 15 Pro Max later this year.
Apple could have had a higher premium smartphone market share in 2022 if supply disruption had not affected iPhone 14 Pro, iPhone 14 Pro Max shipments
In 2021, Apple had a 71 percent market share in the premium smartphone category, and that grip had tightened last year, according to the latest data, with the company attaining a 75 percent market share. The same success could not be replicated by Samsung, who only had a 16 percent market share in the same category.
In fact, thanks to an earlier supply chain disruption, which Apple informed its customers about through a press release, iPhone 14 Pro and iPhone 14 Pro Max sales suffered for the fourth quarter of 2022. Assuming these disruptions did not take place during the holiday quarter, Apple likely would have garnered a higher market share, so Samsung would likely have been somewhat relieved at this news.
“Among OEMs, sales for Apple grew 6% YoY in the premium market, expanding its share to capture three-fourths of the total sales in the segment. Apple could have grown more, if not for the iPhone 14 Pro and Pro Max supply disruption during the peak holiday season in 2022. Apple also gained from Huawei’s decline in China.”
In terms of device sales based on operating systems, Android continues to suffer against iOS in the premium market. Apple’s smartphone OS captured three-fourths of all smartphone sales in this market. For Apple, the premium segment continues to be the most important, and its long-term software, after-sales customer support, and integration with other Apple-branded hardware are some reasons why customers still shell out thousands of dollars for iPhones annually.
Even with the rumored price increase of the iPhone 15 Pro and iPhone 15 Pro Max, Apple is still expected to sell the two high-end models in droves as it has increased the number of hardware upgrades arriving to them. For instance, the iPhone 15 Pro Max is said to arrive exclusively with a periscope zoom lens, along with sporting the thinnest bezels on a smartphone ever.
Additionally, both ‘Pro’ models will reportedly ship with Apple’s first 3nm SoC, the A17 Bionic, along with a titanium chassis, increased RAM, Thunderbolt support, and more. In short, it appears that Apple will once again find success in 2023, which in this economy is astonishing.
News Source: Counterpoint Research
