According to the latest data from International Data Corporation (IDC), Kenya’s smartphone market dropped for the second quarter in Q4 2022, with shipments down 13.5% year on year (YoY).
In its report, the global technology intelligence firm said that supply shortages and rising prices were the main reasons for the drop. Also, the dollar’s exchange rate went up during the quarter, increasing import costs and street prices, which drove up consumer demand.
In the fourth quarter of 2022, Samsung had a 31.7% unit share of Kenya’s smartphone market, making it the market leader. Tecno was in second place with 18.8% of shipments, and Infinix was in third place with 9.2% of shipments.
In the price band segment, the share of smartphone shipments from the lower price band ($0–$100) dropped from 41.7% in Q4 2021 to 28.6% in Q4 2022.
In Q4 2022, the share of shipments in the mid-level price band ($100–$200) rose to 55.3% compared to last year. Vendors moved their portfolios to this price band for higher profit margins.
The share of shipments in the premium price band (>$450) grew from one year to the next. This was because new models came out, and more money was spent on marketing in this segment.
IDC analysts think Kenya’s smartphone market will stay flat by 2023, with shipments growing by only 1.4%. This is because the economy is still uncertain. The rapid shift to smartphones will also continue to continue in the coming year. Currently, 72% of all mobile phones coming into the country are smartphones.