The smartphone market is going through a serious rebuild. Not only that, the big players have started to change places, including from-for sanctions against Huawei, and the market began a large redistribution of the background of what is happening now in the world. The worldwide drop in sales of smartphones amounted to about twenty percent. On the background of these figures one might even say that the market is dead, to be resurrected when the economy will again begin to Wake up and be reborn into something completely new, something he was not. The first signs of what will happen next, you can see now. So it becomes clear which models will rule the roost in a few years. But at the same time it becomes clear that perhaps the producers are right, releasing the super-expensive machines.
Why smartphones are so expensive
The prices are above thousands of dollars for a smartphone became the norm after the release of iPhone X in 2017. Then all manufacturers realized that it is possible to step over that invisible line and it also have buyers who are willing to sweep away from shelves everything that they offer.
This in itself has led to the fact that inexpensive models became popular. Even the notion of subframe. It became known as smartphones, which according to the old standards seemed expensive but not as expensive as new vehicles.
Such a thing to a certain extent left now, and the example of some countries is very well illustrated, as such devices are becoming increasingly popular. For example, in South Korea, according to the latest sales report, the most popular device was the Samsung Galaxy A90 5G.
May be time for us to stop buying flagship phones?
A90 5G Galaxy is the first Galaxy A smartphone-based mobile platform Snapdragon 800—series. What is the most interesting is the price of the device, which is only $ 450. That is, it is more than three times cheaper than the Samsung Galaxy S20 Ultra. This is not to say that the machine as many times worse. Even features they can hardly be called similar.
How many less people are spending on phones
Even if such a comparison you feel is not correct, how do you figure that the average price of the most popular smartphone this year is almost two times lower than the average price of most popular smartphone last year. They were Galaxy Note 9, which in the first quarter of 2019 were sold for 806 dollars.
Compared to the first quarter of 2019 has clearly increased demand for affordable premium smartphones. Of the five best-selling Samsung smartphones in the first quarter of 2020 in South Korea three part of a series of Galaxy A. Galaxy A30, A50 and A90. Last year’s Galaxy Note 10 5G and Galaxy Note 10 Plus 5G is the only flagship premium that were in this list. Interestingly, in the list Q1 2020 no Galaxy S.
Our main editor Renat Grishin generally agree with my position on flagship smartphones.
This trend is found in other markets. For example, according to various estimates, the best-selling smartphone in the world iPhone is now 11 and it’s not the most expensive iPhone, although for two years prior to that, the three leaders headed the iPhone 8 been iPhone X and then iPhone 8 Plus. That is, the smartphone for a thousand dollars went to second place ranking. Now iPhone hardly fall into the five of leaders of sales. Despite the fact that Apple is always good to sell expensive devices. It should be noted that other manufacturers in the top five is also not represented by flagships.
What smartphone is more profitable to sell the manufacturer
Sometimes I think that the situation with super expensive phones now more than ever in their manufacturers, even in the background of the fact that sales are down. They used to do on these devices good money because of high sales. Now the situation has changed a bit.
Technology has become too expensive and attempts to make a new smartphone, though not much better, require more investments. As long as these attachments allow you to get at least some benefit, the manufacturer will even in small, but plus. That’s good, but it’s something to earn. Here begins the most interesting.
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Having sleeve cool technology and developments in the field of iron, the manufacturer can use it in cheaper models. In the end, they will be more cheap than the competition, and people will think that if the Cabinet is a Samsung Galaxy S20 Ultra for 100 000 rubles, and next Samsung Galaxy A51 for 20, 000 and OPPO for the same money, buy it first, knowing that this brand has the technology and reputation. It’s like buying a Volkswagen or Lada X-Ray for the same amount. The choice will be obvious.
As the manufacturers stimulate sales of cheap smartphones
And most interesting is that this horse’s price tag manufacturers, wanting or not wanting it themselves, pushing the user to buy a cheaper smartphone, which often have sewn a lot more profits than top-end flagship. So to push the market much more profitable than trying to reduce the price of the flagship. Who will buy it, and so will buy. Most importantly, the price was not at a loss.
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So it or not, time will tell, but one thing is clear for sure. The smartphone market in the coming years will be the same. Cheap smartphones have become too good, and sublimely almost not inferior to the flagship, but are much cheaper. People will understand that in this category there is life and not the fact that immediately after the end of the pandemic (which is still unknown when it will end) will run to buy the device for 1000+ dollars. Market changes long overdue and it is possible that they came from.