US feature phones market grows

The feature phones market in the United States have made a resurgence as Gen Z and millennials are advocating for digital detoxes due to the mental health concerns brought on by smartphones and social media.

This is as hashtags like #bringbackfliphones on TikTok have garnered millions of views leading to the increased adoption of feature phones by younger consumers looking to adhere to movements like digital detoxing, minimalist lifestyles, and unplugging, Counterpoint Research has said.

According to Counterpoint, the market is more crowded now. It stated that smartphones were widely adopted almost instantly when they arrived and because of this, the US feature phone market shrank significantly over the past 10 years.

It said, “Currently, the feature phone market contributes to only a little more than a two per cent share of overall handset sales in the US.

“Among the players catering to this segment of the market, TCL, which manufactures feature phones for major carriers in both branded and white-label capacities, leads the pack with a 43 per cent share due to its strong presence on carrier channels. HMD ranks second with a 26 per cent share, while other smaller players make up for the rest of the market.”

The firm noted that feature phones still hold their place in the market and are likely to see consistent shipments, helped by their affordability and durability to suit specific use cases. It continued that while growth in numbers may not be huge, the demand from consumers looking for a feature phone as a digital detox mechanism will continue.

It added, “There is a consumer base looking for devices that are minimalistic but also have features that are relevant to staying connected in today’s world. The design and specifications of feature phones have not changed much over the last few years.

“This is one of the factors that keep consumers from purchasing a feature phone. The addition of some new hardware configurations and features that are abreast with the current trends while still maintaining the simplicity of usage may open more gates for the growth of feature phones. NFC is one such feature.”

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