IPhone low price strategy works in China, while Huawei’s Q2 market share is nearly half

Recently, counterpoint, a well-known analysis agency, released an analysis report on China’s smartphone market in the second quarter of 2020. According to the data, Huawei’s mobile phone market share increased by 7 percentage points to 46%, ranking first.

according to the report, domestic smartphone sales in the second quarter decreased by 17% year-on-year. However, sales rose 9% month on month, showing signs of recovery, and one out of every three smartphones sold is 5g.

in terms of specific brands, Huawei’s mobile phone market share reached 46%, ranking first; vivo’s market share was 16%, ranking second; oppo’s market share was 15%, ranking third; apple and Xiaomi’s market share were both 9%, ranking fourth.

the lower price threshold of iPhone has greatly promoted sales. The report said it was mainly due to the launch of the low-cost iPhone se. This model starts at 3299 yuan.

Huawei grew by 14% year-on-year, becoming the second-largest brand in terms of growth rate. The report thinks that after losing the function of Google GMS, Huawei’s overseas shipment volume has dropped sharply, and China has become the most important market of Huawei. Huawei has invested a lot in expanding its online and offline distribution network, and now it has gained returns.

it is worth noting that, according to the China mobile phone sales report of counterpoint in the first quarter of 2020, Huawei was the only smartphone manufacturer to achieve positive year-on-year growth; although Apple’s sales growth was huge in this quarter, its market share was 1% less than that in the first quarter.

in addition to apple and Huawei, the sales of other smart phone brands are declining year-on-year: vivo is down 29%; oppo is 31%; Xiaomi is 35%, which is another drop of more than 30% after the first quarter; other brands are down 68% year-on-year.

on the whole, the top five brands of smart phones occupy 95% of the market share, while all other brands only occupy 5% of the market share.

Author: zmhuaxia