Global online smartphone sales to reach new high in Covid year
"Xiaomi was the leading brand in online channels across India."
Amid the ongoing Covid-19 pandemic, the share of online channel sales in total global smartphone sales is expected to reach 23 per cent this year - a 3 per cent increase from last year, according to a new report. India continues to lead in online sales, with 40 per cent of all smartphones being sold online during Q1 this year. In India.
The online market saw sales rise following the implementation of lockdowns and social distancing measures due to COVID-19. Xiaomi was the leading brand in online channels across India, accounting for 51 per cent of total online sales.
The company saw 67 per cent of its total sales happening online during Q1 2020. In contrast, Vivo sold only 11 per cent of its phones online. The UK recorded 35 per cent and China 30 per cent share of online sales.
"On the other hand, countries with strong offline distribution and carrier control, such as the US, Japan and South Korea, saw relatively low online sales," according to a report by Counterpoint Research.
The US recorded a 14 per cent share of online smartphone sales in 2019, which rose to 17 per cent as Covid-19 started to spread in the country.
"In terms of brands, Apple dominated online sales with 44% share. Its iPhone 11 and iPhone 11 Pro Max were the bestsellers in both online and offline channels. Samsung's Galaxy A10e was the No. 3 best-selling model in the online channel," said Yeree Yoon, Research Analyst.
Online smartphone sales in China reached 30 per cent in the first quarter of 2020. JD.com led among online platforms while Huawei smartphones ranked first in both online and offline channels. The top two brands in online were Honor and Xiaomi.
COVID-19 is a global crisis which is also changing the purchasing behaviour of users worldwide. In our view, this change will continue even after the pandemic is over as it may have permanently affected the financial strength of certain distribution channels, for better or worse. Brands leveraging the growth of online will definitely ride the tide this year and next.