OnePlus among top 5 premium Android OEMs in Q2 2018: Report

Chinese smartphone maker OnePlus entered the global top five premium Android smartphone manufacturers in the second quarter of 2018, helped by strong sales in India, China and the UK, according to a Counterpoint Research report released on Wednesday.

The findings from Counterpoint Research’s “Market Monitor Q2 2018” showed that OnePlus was among the fastest-growing brands in the $400-$600 price category during the quarter.

The growth came as the global premium smartphone market performed better than the overall smartphone industry. While the premium segment expanded by 7 per cent year-on-year, the broader smartphone market contracted by 1 per cent during the same period.

Premium smartphones, defined by Counterpoint as devices priced above $400, accounted for around one-fifth of the global smartphone market.

OnePlus recorded its strongest performance in India, where it overtook Apple and Samsung to become the leading premium smartphone brand during the quarter. The company captured a 40 per cent share of the Indian premium segment, with sales of its OnePlus 6 playing a major role in its growth.

The company also entered the top five premium smartphone brands in several European markets, including France, Germany, Italy, the Netherlands, Sweden and the UK.

Counterpoint noted that around 40 smartphone manufacturers were competing in the global premium segment, but the top five accounted for nearly 88 per cent of total sales, highlighting the intense concentration of the market among a handful of major brands.

Apple continued to dominate the overall global premium smartphone segment with a 43 per cent share. Samsung followed with 24 per cent, while China's OPPO held 10 per cent.

Apple's dominance was even more pronounced in the ultra-premium category. In smartphones priced above $800, the company commanded an 88 per cent market share during the quarter.

The $600-$800 segment was also largely controlled by Apple and Samsung, which together accounted for 85 per cent of shipments. Huawei remained a distant third in this price band.

The strong performance of OnePlus is particularly notable because the company competed primarily by offering high-end specifications at prices significantly below many flagship rivals. Its success in India also demonstrated the growing appetite for premium devices beyond the traditional dominance of Apple and Samsung.

Meanwhile, Apple and Samsung continued to benefit from strong demand in developed markets, including the US, China, Japan, South Korea and Western Europe.

Samsung's position in the $600-$800 category weakened during the quarter, with Counterpoint attributing the decline partly to lower-than-expected sales of the Galaxy S9 series.

The figures indicated that while the premium smartphone market was expanding even as the overall market declined, competition was becoming increasingly concentrated at the top, with OnePlus emerging as a notable challenger in the more affordable premium segment.