Apple Loses Market Share To Samsung In Mobile Phones

Need more evidence that Apple’s iPhone dominance is slipping? Market data firm Kantar Worldpanel found, in the three months ending in May, that Apple’s iPhone 6s/6s Plus did worse than Samsung’s Galaxy S7/S7 Edge in terms of sales. According to a report, 16 percent of consumers bought Samsung phones compared to 14.6 percent of consumers who opted for an iPhone. What’s more, the report found Samsung represented 37 percent of smartphone sales compared to 29 percent with Apple in the three-month period.

Although Samsung is picking up market share from Apple, the report did find that it tends to lose more customers than Apple, at least for the three months ended in May. Kantar Worldpanel said 5 percent of Samsung purchases are coming from customers who switch from an iPhone. That compares to 14 percent of people who purchase an iPhone because they are leaving Samsung. “Among those intending to change devices within the next year, 88 percent of current Apple users and 86 percent of current Samsung users intend to stay loyal,” the research firm found.

Apple, long the leader in the mobile device market, has been facing increased competition from Samsung this year. In the second quarter of 2016, Apple reported its first-ever decline in iPhone sales since the phone was launched in 2007. The company sold 51.2 million in the second quarter, down from 61.1 million in the year earlier period. Typically, the second quarter is the worst period for iPhone sales, but even still, a decline in sales of its flagship product doesn’t happen that often and caught many investors by surprise. Apple is gearing up to launch its newest iPhone, expected to be dubbed the iPhone 7, in September. While it’s not expected to be super transformative, the rumor mill has it sleeker and with its Plus model including a better camera.