Smartphone Revenue Growth Outpaces Unit Sales on Better User Experience, Says GfK

Global Q2 smartphone sales reached 347 million units, the second-highest quarter, said a Monday report from GfK. Growth was strongest in the emerging Asia region at 13 percent, followed by Central and Eastern Europe at 11 percent and Latin America at 10 percent, GfK said. North American smartphone sales were 47.4 million, up 6 percent from the year-ago quarter, and revenue jumped 15 percent to $18.7 billion, it said. GfK forecasts the region’s smartphone demand will total 203 million units for the year, a rise of 2 percent year-on-year. Global Q2 smartphone market value grew 9 percent over Q2 2016 to $109 billion on higher average selling prices, it said. In China, unit sales were roughly flat at 110 million units, but dollar value grew 8 percent to $35 billion, said the research firm. "Consumers are willing to pay more for their smartphone as they seek a better user experience,” said analyst Yotaro Noguchi. Despite high penetration levels, GfK forecasts smartphone demand will continue to have year-on-year growth through 2018 “as innovation from smartphone vendors keeps replacement cycles from lengthening."