Demand for smartphones in the UAE and the rest of the Gulf Cooperation Council (GCC) region has picked up on the back of improved outlook and sentiment.
New data released by International Data Corporation showed that the GCC smartphone market grew 30 percent over the first quarter of 2021 to reach 5.53 million units. The overall mobile phone market grew by 15 percent quarter-on-quarter to 6.21 million units.
According to IDC, the market’s growth was spurred by the release of several new models by Android vendors. “Consumer demand also continues to improve with the region’s successful vaccination programmes and slightly improved economic outlook,” IDC said in its report.
Government-backed retail campaigns, such as the Dubai Shopping Festival (DSF), have also helped spur consumer sales in markets like the UAE.
Among the GCC countries, Saudi Arabia accounted for the bulk of the market, with 53.8 percent of the region’s smartphone shipments landing in the kingdom during the first quarter, while the UAE accounted for 25.7 percent.
IDC expects the GCC smartphone market to post a 12.5 percent year-on-year growth in 2021.
“The holy month of Ramadan, which this year took place in Q2, traditionally represents a slower period in terms of sales, and tourism remains restricted due to the COVID-19 crisis,” noted Akash Balachandran, a senior research analyst at IDC.
“However, with the vaccine rollout continuing, travel resuming, and supply chain constraints and component shortages being resolved, the smartphone market is set to grow through the second half of the year.”
