European mobile phone market slump

Source: French newspaper L'Echo Financial 26/02/2009

Based market research firm IDC (Interactive Data Corp.), The European mobile phone industry to face up to history for the first time on the worst performance.

IDC announced the end of 3 quarter of 2008, the Western European market a serious recession into the Depression period significantly. 4 quarter of 2008, mobile phone sales total of 53.6 million, compared 2007 Q4 sold 62 million, reducing by 13.5%. Throughout the year in 2008, Western European countries a total of 100 million sale of 90.05 million, 5.9 percent less than 2007.

2008 Q4 sales of the worst of all mobile phone manufacturers are unprecedented, and caused by factors that include: reduced consumer demand, exchange rate losses and credit-related risks.

Market experts agreed that at the end of the traditional festivals promotions and new product introductions, are unable to reverse the plight of stimulating buying. If the deterioration continues, in 2010 before the market have no hope of a turn for the better. In 2009 the situation is even worse than in 2008, production plants, vendors, and communications companies, we must strive to attract consumers to buy brains.

Development of new products such as smart phones that is one of the end of last year the product particularly attractive to consumers, that is, «smartphone», Apple's iPhone is the representative, sales significantly beyond other products, the growth rate of 25.9%.

In Western Europe, almost all mobile phone's main production plant in 2008 have substantially reduced sales, market leader Nokia sales than the year 2007 decreased by 6.4%. What is certain is that the manufacturers in order to increase sales, we must turn to the development of the emerging market economy countries.