2022 Was the Worst Year for European Smartphone Shipments in a Decade

The European smartphone market continued to suffer from a dire economic climate and ongoing geopolitical uncertainty with shipments declining by 24% year-on-year in 4Q22, according to Counterpoint Research. This made the period Europe’s worst fourth quarter since 2011, and 2022 the worst year since 2012. However, iPhone 14 launch, despite being its weakest major launch in Europe for a decade, and wider seasonal promotional activity helped shipments to grow by 6% compared to the previous quarter.

“There was no let up for European consumers in Q4 as the cost of living remained at record levels. Yes, the traditional Christmas boost meant quarterly shipments increased compared to Q3, but consumer demand remained muted. Apple’s usual strong end to the year was weaker than expected, allowing Samsung to maintain its leadership of the European market. There was relatively good news for some OEMs though. Xiaomi’s YoY decline of ‘only’ 6% indicated a recovery from its troubles in 2021, while OPPO regained ground as realme looked to manage inventory in Eastern Europe,“ said Jan Stryjak, Associate Director at Counterpoint Research.

Commenting on the outlook for 2023, Stryjak added that “the challenging macro climate and ongoing geopolitical tensions will continue into 2023 and potentially get worse initially as the cost-of-living crisis deepens through Winter. Some countries are likely to fall into recession, so with weakened consumer demand and high inventory levels for some OEMs, the first half of 2023 will be tough. However, inflation has stabilized and wholesale energy prices have dropped, leading to hopes of interest rate and energy bill cuts later in the year. This should boost consumer confidence and spur demand, leading to a better second half of the year.“