In the middle of 2021, many people were stuck at home with extra money to spare, and they often chose to upgrade their phones. However, the market faced various challenges in quick succession, including component shortages, stockpile squeezes, and people holding onto their old phones for longer periods.
After 27 months, Counterpoint Research now reports that sell-through rates are once again showing year-over-year growth. October sales were higher than previous months, and this trend is expected to continue into January 2022.
While the increase is modest, with a 5% rise in sales volume compared to October of last year, it is a strong sign of recovery. Emerging markets such as the Middle East and Africa, as well as China and India, are leading the way with noticeable growth.
Looking at China, analysts credit Huawei’s resurgence in its home market as one of the factors driving the recovery. In India, Diwali holiday sales gave a noticeable boost to the market.
In contrast, the developed market has reached a saturation point, resulting in slower sales recovery in those regions.
It’s worth noting the high peak of the iPhone 14 series. The launch of the iPhone 15 series also had a significant impact, pushing the October numbers above the zero line.
Counterpoint predicts that the market will continue its gradual recovery for the remainder of Q4 this year and into future quarters as well.