Smartphone shipments are expected to equal one-seventh of the Earth’s population by the end of the year, but how has the market maintained its momentum? Easy: lower prices. According to an IDC forecast, smartphones are expected to see 39.3 percent year-over-year growth in 2013, while their average selling prices (ASPs) will decline 12.8 percent, from $387 to $337. Also Read - Realme sold over 8.3 million devices during festive sales period of 45 days
“The game has changed quite drastically due to the decline in smartphone ASPs,” said IDC Program Director Ryan Reith. “Given the trajectory of ASPs, smartphones are now a very realistic option to connect [the next] billion users.” Also Read - Flipkart shares customer behavior insights post coronavirus lockdown; here is everything we know
Emerging markets hold the key to the continued rapid ascent of worldwide smartphone shipments, as vendors attempt to balance profit and market growth. Prices will fall and new customers will be given the opportunity to enter the field. IDC’s ASP chart can be seen below.