All things considered, that significantly smaller drop proves the US handset market is especially “resilient”, according to Counterpoint’s top researchers and analysts, a fact supported and highlighted by the June 2020 sales numbers in particular.
Yes, both tech giants sold far fewer mobile devices stateside in the April – June 2020 window compared to the same period of time last year. But both companies also experienced lower than average declines.
In Samsung’s case, we have to assume the newest members of the mid-range Galaxy A family heavily outperformed their forerunners given that high-end
Galaxy S20 series activations during their opening four months (starting in March) were apparently 38 percent lower than the same figures racked up by the
Galaxy S10 lineup between March and June 2019.
Meanwhile, Apple’s volumes were largely kept afloat by
the popularity of the budget-friendly second-gen iPhone SE, which was that much more successful stateside thanks to surprisingly attractive promotions offered by everyone from Walmart to Metro by T-Mobile and Boost Mobile. The
iPhone SE (2020) is proving to be an especially wise move on Apple’s part, as the 4.7-inch handset is unlikely to cannibalize “fall 5G iPhone sales.”
That’s because most people buying the company’s latest compact iPhone model would have never considered a 5G-enabled iPhone 12 variant, switching from an
iPhone 6s or older device or a similarly affordable Android soldier.
Interestingly, Alcatel was another strong Q2 2020 performer, actually edging out Apple in terms of its year-on-year sell-through evolution thanks primarily to “solid sales within government subsidized programs and within prepaid channels.”
LG, OnePlus, and Motorola had a particularly rough three months
Although you may have expected US store closures to affect those with a stronger retail presence more, the brands that experienced the largest declines in Q2 sales are not exactly very visible and active in the offline retail landscape anyway.
As far as LG, Motorola, and perhaps especially ZTE is concerned, that might have something to do with the fact prepaid channels were hurt more than postpaid demand. Postpaid channels were boosted by a massive rise in online smartphone sales, but even though the nation’s top wireless service providers all carry quite a few LG and Motorola handsets, these evidently failed to generate much online interest at the peak of the COVID-19 public health and economic crisis.
The quarter, by the way, actually ended on a pretty high note, with “pent-up demand created by the weeks of store closures” and stimulus checks resulting in an unspecified year-on-year jump in overall June sales. It remains to be seen if the market will be able to ride that wave of recovery into Q3, although things are not looking very promising for Samsung’s Galaxy S20 roster, for instance.