Tuesday, August 19, 2008

Mobile Phone Sales Not Insulated from Consumer Downturn

The NPD Group released data today revealing a 13% year over year drop in unit sales of mobile phones in the United States. 28 million units were shipped, though sales were down just 2% to $2.8 billion.

NPD's numbers confirm the data discussed here that there is a rotation towards SmartPhones. 28% of the phones sold in the second quarter had a QWERTY keyboard, vs. just 12% in the same quarter of 2007. Smartphones comprised 19% of all total phones sold in the quarter, up 9% from the same quarter a year ago.

The average selling price of handsets was up year over year, but down $3 from Q1 2008 to $84.

Two hypotheses for this change are as follows:

- Consumers are squeezing more out of their phone the same way they are with other parts of their wallets
- Phones are getting more sophisticated and durable

The move to SmartPhones continues to benefit Mpayy, as Mpayy's secure payment accounts can be accessed from Mpayy's website, Mobile website, or social networks like Facebook and MySpace.

1 comment:

James praker said...

Smart Phones sales is being increased no doubt, also this is a revolution in terms of technology.

- J.

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