06 Nov 2020

Russian Smartphone Market Shakes Off Lockdown Blues in Q3, IDC Reports

Moscow, FOR IMMEDIATE RELEASE — Russia’s smartphone market rebounded from the COVID-19 downturn with a strong Q3 that saw increased sales year on year, according to International Data Corporation (IDC).

IDC’s Worldwide Quarterly Mobile Phone Tracker reports that 9.4 million smartphones, with a retail value of $2.19 billion before VAT, were imported into Russia in Q3. Total mobile phone imports to Russia reached 11.4 million in the quarter.

Smartphone sales were up nearly 10% year on year in Q3, according to the tracker. The value of the market was also around 10% higher in U.S. dollar terms year on year, despite a drop of about 25% in the value of the ruble in the past year.

IDC analysts say the sales surge was partially attributable to consumers returning to shops after the lifting of the COVID-19 lockdowns. Retailers also report that online purchasing is becoming more popular in smaller cities and towns, in part due to the lockdowns.

Samsung remained the market leader, importing 3.9 million smartphones into Russia in Q3. This was the vendor’s highest quarterly total since 2013. Samsung holds two-fifths of the Russian smartphone market.

Xiaomi captured 22.6% of the market in Q3, a robust performance that enabled the vendor to move past Huawei and, for the first time, become the second-ranked smartphone provider in the country. Huawei and its Honor brand subsidiary continued to fade in Q3, taking just 15.9% of the Russian smartphone market.

“Russian customers are increasingly focused on the midmarket,” says Olga Agapova, research analyst for IDC Russia. “There were fewer shipments of Android phones above $250 in Q3 2020 than in previous quarters. The cheapest phones were also less popular. Devices between $50 and $250 accounted for 86% of sold Android units in Q3, up from around 75% a year earlier.”

"The midmarket is being driven by phones with impressive specs that have been discounted below the $250 price point in response to the COVID-19 lockdowns," added Agapova.

Apple’s sales in Russia continue to tilt toward the less expensive iPhone SE II model. Russia is also seeing the arrival of more Chinese brands; for example, realme captured 2.2% of the market in Q3, outperforming the more established OPPO and vivo brands.

With Q3 making up for a weak Q2, the 2020 Russian smartphone market is on target to match or exceed 2019’s results, according to Simon Baker, program director for IDC EMEA. “Like other smartphone markets in Europe, the Russian market has proven its resilience in the face of lockdowns and other COVID-19 restrictions," Baker says.

Advance orders for Apple’s new 5G iPhone 12 range have been strong, but 5G networks are not expected to be widely operating in Russia until 2021 or later. IDC nevertheless expects 5G capability to increasingly become standard on most upper-range Android devices sold in the country.





About IDC

International Data Corporation (IDC) is the premier global provider of market intelligence, advisory services, and events for the information technology, telecommunications, and consumer technology markets. With more than 1,100 analysts worldwide, IDC offers global, regional, and local expertise on technology and industry opportunities and trends in over 110 countries. IDC's analysis and insight helps IT professionals, business executives, and the investment community to make fact-based technology decisions and to achieve their key business objectives. Founded in 1964, IDC is a subsidiary of IDG, the world's leading technology media, research, and events company. To learn more about IDC, please visit www.idc.com. Follow IDC on Twitter at @IDC.



About IDC's Worldwide Quarterly Mobile Phone Tracker

IDC's Worldwide Quarterly Mobile Phone Tracker fills the demand for detailed and timely information on the total mobile phone and smartphone markets for handset vendors, software developers, service providers, component suppliers, and investors. It provides insightful analysis of quarterly market share data by region. IDC's Worldwide Quarterly Mobile Phone Tracker is built on the foundation of IDC's network of country-level mobile phone tracking services. Its bottom-up methodology delivers an accurate view of the mobile phone market from those closest to it. This IDC tracker product delivers a quarterly web database that details the performance of the market's individual players and answers important product-planning and product-positioning questions.

Coverage

Companies Covered

Huawei Technologies Co., Ltd., Xiaomi Inc., HONOR, Apple Inc., Samsung


Regions Covered

Russia


Topics Covered

Smartphone