The foundation Counterpoint specialized in market research recently to disclose its most recent report about the phone market. According to this report, it appears that the demand for traditional phones continue to grow for the fourth consecutive quarter. At the same time, decreased sales of smart phones in the same period, although analysts did not learn much in the details.
According to the statistics, the company iTel and HMD Global Oy are marked at the market of traditional phones with a market share of 14 percent each, followed by company Jio by 11 percent, and Samsung at 8 percent. The reasons are simple, namely, that manufacturers offer 4G phones cheap and can be easily obtained in emerging markets such as India and Africa.
Needless to say, the rate of use of traditional phones in developed markets such as Europe and North America the lowest compared to developing countries like India. Take Asia as a whole, more than half of the devices, which highlights the importance of these markets in the eyes of the manufacturers.
Pointed Foundation and Counterpoint to the two main reasons for the growth of the popularity of traditional phones new, two battery life and the user base. While the electricity still represents a significant problem in Africa, however, users prefer a simpler no drains energy quickly. Is also use traditional phones as a secondary for the same reason – if you give a smart phone, you can always rely on a traditional phone.
Still, most people prefer to move to smart phones whenever possible, but many of the people who are not familiar with modern technologies prefer the traditional phones. There is also the factor of low purchasing power in emerging markets and the rigidity of these devices. Moreover, many of the traditional phones compatible with the 4G already come with apps like Facebook and WhatsApp and many apps and other social sciences, this means not having to switch to smartphones.
Return of company HMD Global Oy to the market with Nokia phones has boosted the demand for traditional phones cheap as well. Nostalgia, and manufacturing quality possible made phone Nokia 3310 new achieve great success and helped the company to jump to second place in the global market, immediately after the iTel and domestic production in Africa.
The foundation expects to Counterpoint that keeps the demand for traditional phones high during the next five years due to the presence of a fundamental rule of new users with low income who are mobile phone services for the first time.