Although apparently it might seem that the smartphone bug has caught only the citizens of the developed countries but recent analysis of global markets shows that the size of this industry is much larger than what is being normally perceived. Moreover, with the proliferation of smartphone market, the ones at the highest and the lowest extremes of the price range are likely to perform best. It won’t be wrong to say that according to a thorough business analysis of the smartphone industry, the market doesn’t show any signs of a slowdown as the potential buyers for smartphones might jump to nearly five billion by 2017. Hence it becomes necessary that a business analysis of the global smartphone markets is performed by a research company. To learn more about the purpose of market analysis in business, visit this website: https://www.thetwincoach.com/
Cost Reduction is on the Priority List when it comes to Global Business Analysis of Smartphones
If a close track of the initial days of the global smartphone market is made, it can be said that as soon as the figures of market penetration touch around 20%, the general trend for the market to grow by 80% in the next five years can be surely estimated. This means that around 2017, it can be expected that nearly 3.9 billion people might claim to be smartphone subscribers. This trend is supported by a drastic decline in the cost of smartphones which could well dip to half of the current price in the next five years. In the emerging markets a much lower penetration is expected which means that a significant fraction of the smartphone market will be controlled by the emerging market adoption of smartphones by as low as 200 US dollars which signifies an enormous growth potential.
Business Analysis Foretells a Favourable Spending on Smartphones
As per the global analysis of the smartphone market situation, reports suggest that consumers are willing to spend a few more bucks on buying a smartphone in comparison to a normal mobile phone. This trend is something that wasn’t seen in the past and is somewhat unwelcome in the market of consumer electronics. People are flocking towards and prefer these smartphones over buying a camera, maybe a TV or even an MP3 player because there is so much that can be done with a smartphone in hand. The figures which were nearly 10% in terms of consumer electronics spend for smartphones has risen to 35% in the current fiscal year.
Consumer Loyalty is the Key Factor for Smartphone Business Analysis
When it comes to the customer loyalty in the smartphone market, the vast share of values is concentrated around a couple of major players and it is likely that they will continue to dominate the market share for some time. The key factor lies in the applications that are being used by these key players which are difficult to share across different platforms. This forces the customers to stay loyal to a particular brand for a long time, which means that the companies are only adding up to their customer base when new consumers are signing up for their very first smartphone.
Business Analysis Would Revolve Around Increased Spending in the Developing World
As per a recent survey carried out in nearly fourteen developing countries, it was reported that consumers placed smartphone buying on the top of their shopping list even at the expense of basic mobiles or computers. More particularly the survey reported that there is going to be a high demand of smartphones in countries like Saudi Arabia, China, India and Indonesia. This can has been a strong momentum in the smartphone expenditure which is accelerated by an increased access to internet.
With Apple planning to open new stores in Turkey and looking forward to increase its presence in India, Brazil and Russia the global smartphone market is all set to see to be going towards a positive side of the growth graph. However, this news holds some disadvantage for mid-priced phones whose market share can be expected to decline to 25% from 40% in the couple of years to come.