Deliver Your News to the World

COVID-19 Causes Severe Slowdown in South Africa’s Smartphone Market


Johannesburg – WEBWIRE

South Africa’s smartphone market saw shipments decline 22.9% quarter on quarter in Q1 2020, according to the latest insights from global technology research and consulting firm International Data Corporation (IDC). While shipments are traditionally weaker in Q1 than in Q4, the major reason behind the underperformance of the market was the impact of the global COVID-19 pandemic.

The COVID-19 outbreak halted production in China, with the resultant supply shortages effectively severing smartphone shipments into the South African in Q1 2020. “The country’s poor QoQ performance was due to delays in shipments of mobile phone devices into the country,” says Arnold Ponela, a research analyst at IDC. “Economic activity is usually slow in the first quarter of the year, but this was exacerbated by uncertainties caused by the COVID-19 crisis. With the negative impact of the pandemic on the economy, consumer demand declined substantially and channel activity was restricted due to lockdown measures and security issues.”

Despite all these challenges around supply and demand, Samsung continues to top the smartphone space in terms of overall smartphone shipments, accounting for 29.9% of the market’s units in Q1 2020. Samsung’s lead was driven by the launch of various new affordable and feature-rich models such as its new A series and S series range. Mobicel (17.7%) and Huawei (15.9%) followed in second and third place, respectively.

Looking ahead, IDC expects South Africa’s overall mobile phone market to experience a further double-digit decline in Q2 2020 caused by COVID-19 lockdowns and restrictions. “Consumer demand will be severely affected, with the majority of consumer budgets being directed towards essential consumption,” says Ramazan Yavuz, a senior research manager at IDC. “Throughout 2020, the fallout from the COVID-19 crisis will compound South Africa’s existing local and macroeconomic challenges. As such, we expect smartphone shipments to the country to decline 6.1% year on year for 2020 as a whole.”

For more information, please contact Sheila Manek at smanek@idc.com  or on +971 4 446 3154.

About IDC

International Data Corporation (IDC) is the premier global provider of market intelligence, advisory services, and events for the information technology, telecommunications, and consumer technology markets. With more than 1,100 analysts worldwide, IDC offers global, regional, and local expertise on technology and industry opportunities and trends in over 110 countries. IDC’s analysis and insight helps IT professionals, business executives, and the investment community to make fact-based technology decisions and to achieve their key business objectives. Founded in 1964, IDC is a subsidiary of IDG, the world’s leading technology media, research, and events company. To learn more about IDC, please visit www.idc.com. Follow IDC on Twitter at @IDC

IDC in the Middle East, Turkey, and Africa

For the Middle East, Turkey, and Africa region, IDC retains a coordinated network of offices in Riyadh, Nairobi, Lagos, Johannesburg, Cairo, and Istanbul, with a regional center in Dubai. Our coverage couples local insight with an international perspective to provide a comprehensive understanding of markets in these dynamic regions. Our market intelligence services are unparalleled in depth, consistency, scope, and accuracy. IDC Middle East, Africa, and Turkey currently fields over 130 analysts, consultants, and conference associates across the region. To learn more about IDC MEA, please visit www.idc.com/mea. You can follow IDC MEA on Twitter at @IDCMEA.


( Press Release Image: https://photos.webwire.com/prmedia/5/260333/260333-1.png )


WebWireID260333





This news content was configured by WebWire editorial staff. Linking is permitted.

News Release Distribution and Press Release Distribution Services Provided by WebWire.