Apple has seen a drop of 40 percent in iPhone sales in Brazil during the first quarter in comparison to the same period last year, according to data from research firm Gartner.
The company has sold 498,000 devices during the firs three months of the year. According to the research, all manufacturers saw a decline in sales, but Apple was one of the companies that suffered the most, along with LG, who saw a sales drop of 58,4 percent in the first quarter.
According to Gartner, the factors prompting the iPhone sales slowdown is the current recession Brazil is experiencing , as well as the lack of new features in the latest releases, which reduces the attractiveness to consumers.
Samsung was the least affected of all the manufacturers with a Brazil presence during the first quarter, with a 15 percent sales decline.
Despite the economic instability Samsung remains the market leader in smartphone sales in Brazil. The company, as well as Apple, is positioned as a premium brand in the country and has been focusing on more expensive items to partly cover cost increases caused by currency fluctuations, as well as consumer demand for more advanced devices.
A separate report by IDC predicts the Brazilian mobile phone market will shrink by 17 percent in 2016, with a 16 percent drop in the smartphone segment alone, as costs to manufacturers have risen and firms are not planning on investing in new launches.