🚀 AI-picked stocks soar in May. PRFT is +55%—in just 16 days! Don’t miss June’s top picks.Unlock full list

iPhone's share in China continues to decline: Jefferies

Published 05/13/2024, 05:45 AM
Updated 05/13/2024, 05:47 AM
© Reuters.  iPhone's share in China continues to decline: Jefferies
AAPL
-

iPhone's volume has continued to decline significantly during the Labor Day Holiday week in China, with its market share dropping to the sixth position during the period, compared to third a year ago, analysts at Jefferies noted Sunday.

Citing industry checks, analysts estimate that China's year-to-date smartphone volume has grown by approximately 2% year-over-year, aligning with their full-year 2024 growth forecast of about 3%.

The growth for the year has been primarily driven by high single-digit increases in Huawei, while Android volumes remained flat and iPhone volumes saw a high double-digit decline. Vivo has emerged as the market leader in year-to-date market share, followed by Huawei and Honor, with iPhone ranked fourth.

In contrast, Jefferies noted an increase in promotional discounts for the iPhone 15 Pro/Pro Max, which rose last week by 2 to 6 percentage points across major online platforms, likely in an effort to boost sales.

The most substantial discounts were found on PDD (PDD), where they reached around 21%, followed by JD (NASDAQ:JD) with discounts close to 16%. Notably, iPhone’s discounts began to expand even before the start of the 618 shopping festival, which typically kicks off in the last week of May, analysts said.

“For Apple (NASDAQ:AAPL) to defend its iPhone market share, we believe it might launch aggressive promotional discounts during 618. This is the focus of our observations for the upcoming 618 event,” analysts at Jefferies wrote.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.