Australian tablet sales stagnate as replacement cycles get longer

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Australian tablet sales stagnate as replacement cycles get longer

Australian tablet sales have continued to decline as overall replacement cycles increase to more than three years.

According to research from Telsyte, some 1.6 million tablets were sold in the second half of 2018, down 2 percent from the same period the previous year due to continuing decline in the Android market and a slowdown in the 2-in-1 segment.

Apple remains the leader in tablet sales share, with iOS tablets at just under 50 percent share and the new iPad 9.7 inch once again named the most popular model overall. Windows tablets come in second with 29.9 percent, followed by Android at 19.3 percent and Chrome at 1.2 percent.

Android-based devices was the big mover with a 21 percent decline, while Apple and Windows-based tablets had modest sales growth at 5.1 percent and 2.1 percent, respectively.

“Tablet sales are expected to continue to face challenges due to longer overall replacement cycles as consumers hold onto their chosen device longer,” Telsyte said.

“The average replacement cycle of tablets has increased to around 3.1 years (up 0.6 years from 2017), a faster rate compared to smartphones.”

Apple, Microsoft and Samsung also remain the top three vendors, accounting for more than 75 percent of total sales during the period. Apple is also the leader in repeat purchase intention, followed by Samsung at more than 80 percent and 50 percent respectively.

Telsyte estimates that some 15.7 million Australians had access to a tablet at the end of 2018, with around 2 million connected to mobile networks. The company added that technologies such as 5G, eSIMs and larger shared mobile data plans could increase sales of connected tablets and 2-in-1s.

“The arrival of 5G will likely spur further interest for connected tablets, potentially amongst gamers due to lower latency,” Telsyte senior analyst Alvin Lee said.

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