Smartphone use in PHL rising as handset prices dive

With a little over P10,000, one can afford a phone with at least five-megapixel photo and video camera, applications for every need, and a capability to browse the internet via WiFi or 3G 24/7, depending on the phone provider’s postpaid or prepaid plan. Some lower-end units are sold for half this price.

 

In 2011, the average price of smartphones in the Philippines is around P13,000, or at least 23 percent more than  current market prices.

 

“Rising demand for smartphones is largely triggered by efforts of device manufacturers who are offering more affordable smartphones, as well as retailers who have started offering 0 percent interest programs of up to 24 months on top of other promos when selling smartphone devices,” said Benny Villanueva, general manager of GfK Philippines (Gesellschaft für Konsumforschung  or Society for Consumer Research), a market research firm which originated in Germany.

 

In fact, an earlier study of GfK Philippines showed that in the first five months of the year, one in every three mobile phones sold in the country was a smartphone.

 

However, GfK Philippines noted that feature phones still dominate the market with 70.6 percent share.

 

Operators and handset manufacturers project much room for growth in the Philippines, especially in the mid- to low-end smartphones.

 

 “Most Filipinos buy smartphones and miss out on a lot of its features by limiting its use to texting or calling. A lot of smartphone users tend to use data via WiFi only due to fear of high data charges,” observed Jenny Granada-Echevarria, head of Globe Telecom’s Mobile Data Services.

 

The Philippines still has a long way to go in terms of smartphone penetration. As of 2011, Singapore remains to have the highest penetration in the world, with 54.32 percent. It is followed by Canada at 39 percent, then Hong Kong, USA, Spain and Sweden, at 35 percent. — SP/VS, GMA News