The phone which is dominating the UAE market

Key Takeaways:

• Global mobile phone producers shipped 1.1 million devices to the UAE in the third quarter of 2022, an increase of 7.2% from the second.
• According to IDC data, mobile phone shipments to the GCC region fell by 5.9% quarter over quarter to 5.23 million units in Q3 2022.
• Regarding unit sales, Samsung led the GCC smartphone market in Q3 2022 with a 47.6% market share, followed by Apple with a 16.8% share.

In the third quarter of 2022, global manufacturers of mobile phones shipped 1.1 million devices to the UAE, up 7.2% from the second quarter.

As per data released by International Data Corporation, South Korean technology giant Samsung dominates the mobile phone market in the United Arab Emirates and has overtaken Chinese rival Xiaomi and iPhone manufacturer Apple as the most popular brand among consumers (IDC).

Samsung had a market share of 43%, or 47,300 devices, out of 1.1 million phones shipped to the UAE from July to September 2022.

In the UAE market, Samsung has a wider selection of devices that appeal to all consumer segments. 

The Flip 4 and Fold 4’s new premium releases garnered much customer interest at launch and contributed to the portfolio’s strong performance throughout the quarter. 

On the other hand, Xiaomi provides comparatively better specs in budget price ranges, aiding in the company’s continued market dominance, according to Ramazan Yavuz, senior data and analytics research manager (Meta) at IDC.

Yavuz continued, saying that the global supply chain crisis and production delays, particularly with the most recent iPhone series, affected the UAE market.

Although these shortages have significantly decreased since then, he continued, “some brands and particular models continue to experience sporadic stock-outs throughout the final quarter of the year.”

GCC’s performance

According to IDC data, mobile phone shipments to the Gulf Cooperation Council (GCC) region decreased 5.9% quarter over quarter in Q3 2022 to 5.23 million units.

Shipments of smartphones fell by 5.7% to 4.74 million units, while feature phones fell by 8.1% over the same period to 0.48 million units.

The value of the GCC smartphone market increased by 5.4% to $1.93 billion in Q3 2022, while the market for feature phones decreased by 17% to $8.42 million.

According to Akash Balachandran, a research manager at IDC, “Product shortages, while generally improved in comparison to previous quarters, continued to afflict portions of the smartphone market.”

“Additionally, as discretionary spending was focused on necessities, inflationary pressures impacted consumer spending in the low- and mid-range price ranges. 

Due to the introduction of several well-liked flagship devices from Apple and Samsung, the market’s premium price bands performed well in Q3 2022, which accounts for the increase in value over the previous quarter.”

The UAE came in second with 23.6%, followed by Saudi Arabia with 52.4%.

According to Balachandran, “the decline in these two significant markets resulted from channel partners’ unwillingness to carry inventory as they are challenged by fluctuating prices as well as varied pricing among different retail segments.” “Product shortages in Apple’s case constrained the company’s quarterly growth.”

In terms of units, Samsung had a 47.6% market share in the GCC smartphone market in Q3 2022, while Apple came in second with a 16.8% share. In Q3 2022, Xiaomi held 15.2% of the market share for smartphones in the GCC.