Mobile phone accessories industry is a vital part behind the mobile economy. It has been on the growing ladder in the past decade and is expected to continue the growth in the upcoming years, rolling out huge market opportunities.
To better understand the trend, let’s look at some data first.
- According to the report on Statista.com, in 2019, the number of total global smart phone users surpassed 3 billion, (3.2 billion). And this figure will continue to grow, expected to hit 3.8 billion in 2021.
- IDC (International Data Corporation), a global provider of market intelligence of consumer technology markets issued Mobile Report 2019 in the end of this January. According to the report, the total shipments of smartphone worldwide in 2019 was 1.37 billion (units), among which the top 5 brands are: Samsung, Huawei, Apple, Xiaomi and OPPO.
The drives behind the growth are multi-faceted: the consumer demand driven by further urbanization in some Asian countries; the fastest growing India market (158 shipments in 2019 with a 7% year on year growth according to the research of Counterpoint’s Market Monitor); the rise of African market; developed markets driven by constant new launches with tech innovations of leading mobile brands (I mean, who doesn’t like the Samsung Galaxy Z Flip except for the price) and so forth.
Also, let’s not forget the exciting 5G. The global 5G landscape has been rolling out starting from South Korea. And US, China, UK, Germany, Switzerland, Finland, Japan, Singapore and many others are all under the development of the network and have their pressing 5G target to catch up.
No doubt here, we will soon enter the 5G time. And the smartphone industry is expecting a booming wave of new 5G smart phone replacing the current 4G-enabled phones.
For each unit of cell phone, it involves certain units of mobile accessories: charger, power bank, phone case, phone grip, screen guard, phone holder and more. Some of them are necessities that consumers will definitely buy, and some are supplementary companions.
According to the report “Mobile Phone Accessories Market Outlook” on Allied Market Research, the global mobile phone accessories market size was valued at $224.69 billion in 2018, and projected to reach $284.06 billion by 2026, growing at a CAGR of 3.1% from 2019 to 2026.
While the huge volume of smartphone users and the projected growth of shipments are the base of mobile accessories booming, there are other catalysts as well. Technology innovation is one of them. In the past decade, we not only witnessed the transformation of cell phone itself, but also have been experiencing continuous development of tech accessories, from plugin charging to wireless power bank, from cable charging to wireless charger, and not to mention the constantly upgrading headphones.
Also we definitely need to mention fashion, and self-expression and personalized needs of young generations. Cell phone case used to be a functional gadget that protects our phones from accidental drops and bumps. But today besides the practical utility, it becomes a part of the fashion outfit, just like the handbag, glasses; and a personal statement of the Y and Z Gen. People in the fashion industry, celebrities, influencers and the involvement of leading luxury brands as well as social media, like Instagram, YouTube push the trend even further.
Handbag used to be the most important fashion accessory, but with the fact that we are taking our cell phone everywhere all the time, phone case has more exposure than any other accessory now. And the very popular selfie trend also makes phone case another focus in the shot constantly.
Many luxury brands including Chanel, Gucci, LV, Mac Jacobs etc. all participated in the trend. We also see plenty of new specialist phone case brands coming out; some of them are doing quite well. Casetify, Chaos, Ideal of Sweden, Wildflowers, Case Mate and more all have earned their market share and reputation in this field with stunning designs and unique brand propositioning.
If we go to Youtube and search phone case, there will be numerous videos with people passionately talking and presenting phone case fashion. And views for single video over 10 million or one million are not surprise.
The mobile phone accessories industry, linked with tech companies, fashion, social media and consumers, has developed into a complete and mature ecology, in which new lifestyles are shaped and promising commercial opportunities are nourishing.
If you are looking for business opportunities in 2020, don’t’ miss out. There is still time to catch the highway train of the mobile economy.