Thanks to Chinese-owned phone brand Transsion, with its budget-friendly options, Africa’s smartphone market is experiencing tremendous growth, amidst a tough economic situation.
Transsion, the parent company of Tecno, Itel, and Infinix, cemented its dominance in the African market during 2023. Its strategy of ultra-low-end devices priced under $100 was well received by budget-conscious consumers grappling with reduced income and fluctuating exchange rates. Meanwhile, Samsung and Xiaomi secured the second and third positions, respectively.
Sign up for Techloy
Techloy.com publishes information about companies, products, careers, and funding in the technology industry across emerging markets globally.
Email sent! Check your inbox to complete your signup.
No spam. Unsubscribe anytime.
According to IDC’s latest data, smartphone shipments rose 12.5% year-on-year in Q4 2023 to reach 19.8 million units, while feature phones saw a decline of 7.8% in the same period.
The top three markets:
- Kenya recorded the region’s highest YoY growth rate in terms of smartphone shipments in Q4 2023 coming from a low base in Q4 2022.
- Nigeria, despite currency fluctuations and market volatility, boasted the second-highest growth rate due to the strong presence of Chinese brands.
- South Africa, another big market faced a decline due to economic challenges and port delays.
An important trend to note is the continuing demand for affordable smartphones amid economic imbalances. This saw shipments in the ultra-low-end category (below $100) grow by 5.2% YoY in Q4 2023, while low-end ($100<$200) and midrange ($200<$400) devices also marked double-digit growth of 18.9% and 16.6%, respectively.
Looking ahead, growth is expected to moderate in 2024 at only 2.8%. The shift from feature phones to smartphones will continue to be a major driver, coupled with the increasing adoption of AI-powered phones and 5G technology.
