Global Mobile Phone Sales Stalled In 2009: Gartner
 
 
 
 
 
Global Mobile Phone Sales Stalled In 2009: Gartner

Strong sales forecast for 2010

As we are approaching the year end, Gartner – the market research firm, released revised data for predicting handset sales for 2010. According to earlier reports, there was a global decline of 0.67%, which will change and make an upward trend in 2010 due to shorter model replacement cycles and growing popularity of app stores. Though the sales figure fell steeply in 2009, it was lower than the predicted 3.7%, due to increased sales in Western Europe in the last couple of months of the year. Moreover, there has been an increase in the sales of mobile phones in the grey market in various parts of the world, such as - Asia, Latin America and Eastern Europe. According to Gartner's Research Director, Carolina Milanese, "the grey market will affect Nokia's market share the most." Smartphones are expected to do very well as long as the mobile operators keep a check on the high and flat-rate data plans which tend to make the phone unaffordable. More so, with the extreme competition causing average selling price to fall, she says, "Software, services and content will be much bigger drivers than hardware, pushing traditional mobile phone vendors to reinvent themselves to remain at the top of their game." She further added that the grey markets in Russia, Eastern Europe, Latin America and India were responsible for the sale of around 250 million handsets in 2009. The research conducted by Gartner also revealed that the sales of smartphone will rise steeply in 2010. The main reason being dramatic increase in demand around the world for smartphones. Furthermore, the average price will drop by 3% and mobile phone networks will offer shorter contracts to consumers, as consumers do not like being tied up to a contract for a long period of time. Addition, it has been predicted that smartphones will account for almost 19% of total mobile sales in 2010.