Global Smartphone Market Rebounds Strongly in 2024: Revenue and ASP Surge, Fueled by High-End Segment

Global Smartphone Market Rebounds Strongly in 2024: Revenue and ASP Surge, Fueled by High-End SegmentThe global smartphone market demonstrated a robust recovery in 2024, with both revenue and average selling price (ASP) experiencing year-on-year growth, reversing a two-year decline. According to a recent Counterpoint Research report, global smartphone revenue increased by 5% year-over-year, with the ASP reaching a record high of $356

Global Smartphone Market Rebounds Strongly in 2024: Revenue and ASP Surge, Fueled by High-End Segment

The global smartphone market demonstrated a robust recovery in 2024, with both revenue and average selling price (ASP) experiencing year-on-year growth, reversing a two-year decline. According to a recent Counterpoint Research report, global smartphone revenue increased by 5% year-over-year, with the ASP reaching a record high of $356. Simultaneously, global smartphone shipments grew by 4%, driven by an improving macroeconomic environment, renewed consumer confidence, a 5G upgrade cycle, and increasing consumer demand for features like advanced cameras and more powerful processors.

The report delves into several positive indicators for the 2024 global smartphone market and provides detailed analysis of major manufacturers' performance. While Apple experienced a 3% year-on-year decline in shipments, its high-end Pro series performed exceptionally well, supporting revenue growth. The iPhone Pro series' ASP surpassed $900, another record high, highlighting Apple's strong brand influence and pricing power in the premium segment.

Samsung Electronics also showed positive growth in 2024. Despite a slight dip in shipments, the successful launch and sales of its flagship S24 series offset this decline, resulting in a 2% year-on-year revenue increase. The Samsung S24 series' ASP also exceeded the market average, further solidifying its position in the high-end market.

Among the top five global smartphone vendors, vivo and Xiaomi showed particularly remarkable growth. vivo experienced the fastest shipment growth at 20%, while Xiaomi's shipment growth reached 16%. This demonstrates the increasing competitiveness of these two Chinese manufacturers in the global market and their successful capitalisation on the market recovery.

Counterpoint's senior analyst, Shilpi Jain, noted that the 2024 smartphone market recovery wasn't accidental but rather the result of multiple contributing factors. Manufacturers are increasingly focusing on the high-end market, actively researching and launching premium flagship products to meet the growing consumer demand for advanced devices. Simultaneously, rising smartphone manufacturing costs further pushed up ASPs.

Jain believes the strong performance of the high-end segment was the key driver of the 2024 smartphone market recovery. Consumers' increasing demand for superior performance, better camera experiences, and innovative features provided a strong foundation for high-end products. Manufacturers responded by increasing R&D investment and launching more high-end flagship models to meet consumer expectations for high-quality smartphones.

Looking ahead, Jain predicts single-digit shipment growth for 2025, with ASP and revenue growth rates continuing to outpace shipment growth. This signifies the continued trend towards premiumization, with the high-end smartphone market remaining a key battleground for manufacturers.

The proliferation of low-cost 5G technology and the adoption of generative AI (GenAI) will be two key trends shaping the 2025 smartphone market. The wider availability of low-cost 5G will expand the market reach of 5G smartphones, providing further impetus for continued market growth. The application of generative AI will enhance smartphone user experience, making them more intelligent and convenient, further increasing their value proposition and driving further high-end market development.

The recovery of the global smartphone market in 2024 reflects adjustments in manufacturer strategies and evolving consumer demands. Manufacturers are prioritizing product quality and technological innovation, actively developing high-end flagship products to meet consumer demand for personalized, high-performance, and high-quality phones. Simultaneously, consumer perceptions and demands have shifted towards product practicality and user experience, demonstrating a willingness to pay higher prices for superior products and services.

Counterpoint Research's report indicates that the global smartphone market has emerged from its downturn and entered a new growth cycle. The high-end market will be the focus of future competition, while 5G and generative AI will be crucial drivers of market growth. Manufacturers must continuously monitor market trends and proactively address challenges to achieve greater success in this fiercely competitive market.

The success of the 2024 global smartphone market recovery is not merely reflected in revenue and ASP growth but also in the transformation of manufacturer strategies and the upgrading of consumer demands. Manufacturers are shifting their focus from sheer shipment volume to enhancing product value and building premium brand images. Consumers are becoming more rational, prioritizing product performance, experience, and service, and paying higher prices for quality products.

This positive cycle will further drive the sustained development of the smartphone market and inject new vitality into the entire technology industry. In the coming years, with the proliferation of 5G networks and the application of AI technology, the smartphone market will exhibit a more diversified development trend, delivering richer and more convenient mobile experiences to consumers.

Therefore, the 2024 recovery of the global smartphone market represents more than just numerical growth; it signifies a market restructuring and industry upgrade. This is a sign of healthy, sustainable development, heralding a more prosperous future for the smartphone market. Manufacturers must seize this opportunity and continue to innovate to remain competitive. Ultimately, global consumers will benefit, enjoying higher-quality and more intelligent mobile experiences.