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Home / Business

NZ smartphone sales finally spring back to life

Chris Keall
By Chris Keall
Technology Editor/Senior Business Writer·NZ Herald·
20 Mar, 2024 01:56 AM2 mins to read

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A spike in high-end phone sales “was largely driven by the iPhone 15 Pro range which had much higher shipments compared to the iPhone 14 Pro range a year ago", IDC said. Photo / Getty Images

A spike in high-end phone sales “was largely driven by the iPhone 15 Pro range which had much higher shipments compared to the iPhone 14 Pro range a year ago", IDC said. Photo / Getty Images

If upgrading your phone is an indicator, our economy might be turning the corner.

Market tracker IDC says after four straight quarters of decline, New Zealand smartphone shipments grew 10 per cent year-on-year in the December quarter to 296,000.

Kiwis not only bought more phones, but more expensive phones.

Growth was notably strong in what IDC calls the “ultra-premium” bracket of US$1000 ($1600-plus), which accounted for 28 per cent of the market versus 18 per cent a year ago.

The average selling price increased 16 per cent to $991.

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Beyond a possible pick-up in consumer confidence, various factors in play in the higher selling prices - from inflation and punters turning their attention back to upgrading their handset after diverting funds to home office set-ups during the pandemic.

But the spike in ultra-premium sales “was largely driven by the iPhone 15 Pro range, which had much higher shipments compared to the iPhone 14 Pro range a year ago”, IDC said.

The new iPhone’s success saw Apple close in on overall market leader Samsung (see table below) - although the Korean firm is likely to see a stronger result for the first quarter of the current year, given its flagship Galaxy 24 was released in January.

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Source: IDC 2024
Source: IDC 2024

Samsung’s mid-price Galaxy A continued to dominate the affordable 4G phone segment, with 42 per cent of sales in the fourth quarter from a year-ago 40 per cent.

Most of the balance of the market was held by Oppo, house-brand Androids sold by One NZ and budget brand TCL, whose phones can be picked up for as little as $85.

Chris Keall is an Auckland-based member of the Herald’s business team. He joined the Herald in 2018 and is the technology editor and a senior business writer.

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