Huawei Technologies has emerged as the big winner in the Chinese smartphone market for the recent mid-year 618 shopping festival with the biggest sales increase and the smallest discounts, according to the latest data from Counterpoint Research.
According to Counterpoint, Huawei’s sales rose 42.4 percent during the one-month 618 sales period that started on May 20. This increase was attributed to continued strong demand for the company’s latest devices, including the Mate 60 and Pura 70 series that run on Chinese-made chips. The company also offered the smallest price discounts versus major rivals, Counterpoint said.
Apple was able to defend its position against Huawei by offering the biggest discounts ever for iPhones in China, helping to increase sales by 2.7 percent year-on-year amid increasing competition in the premium segment. Counterpoint figures place Apple as the second best seller by sales volume for the period, behind Vivo and ahead of Honor, Xiaomi and Huawei.
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The 618 Festival is China’s biggest shopping season after Singles’ Day. Amid a sluggish economy, e-commerce operators sought to attract more consumers this year by canceling the traditional pre-sale phase and extending the promotional period, which ran until June 20.
According to Counterpoint, total smartphone sales volume for the 32-day period grew by 6.8 percent compared to the same period in 2023. The sales performance indicates a warming in demand, Counterpoint said, adding that it expected low single-digit growth this year expected on an annual basis for the Chinese smartphone market.
Estimates from TechInsights are more pessimistic. It reported a 2 percent decline in smartphone sales volume to 13.1 million units during the 618 festival. It expects the market to remain stable at 62.3 billion yuan (US$8.6 billion) this year.
The slower growth of online shopping and the rapid rise of live-streaming e-commerce have made traditional sales campaigns associated with shopping festivals less attractive to consumers, TechInsights analyst Peng Peng wrote in a report.
“Escalated concerns about the downturn in China’s economy,” including in the real estate and labor markets, are also holding back consumer spending, Peng added.
Although Huawei saw the biggest revenue growth, Apple remained king in terms of sales volume and value, according to TechInsights.
Apple’s iPhone 15 Pro and Pro Max emerged as the most popular models not only in the 6,000 yuan price range, but also in all segments on the e-commerce platform JD.com. It’s the latest indication of Apple’s continued dominance in China’s premium smartphone market, Peng wrote.
Huawei came in third in terms of sales value, after Xiaomi, and is growing as a major challenger in the high-end market, data from TechInsights shows.
According to research firm Analysys, China’s top e-commerce platforms saw the value of their merchandise grow 13.6 percent year-on-year during the 618 shopping festival. However, companies have largely stopped publishing their own sales figures for major shopping festivals.
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