The new Apple iPhone 15 on display inside the tech giant's flagship store in Regent Street, central London.
A slower-than-expected recovery in China, the world's largest smartphone market, also weighed on overall phone sales.
Apple and Transsion were the only brands in the top five to record growth in shipments last year, when the market declined 3.2% to 1.17 billion units and hit a decade low.
Apple, however, is facing pressure in China from a resurgent Huawei as well as from budget Chinese brands.
The iPhone-maker is offering rare discounts of as much as 5% on some models in the country to attract customers.
Persons:
Jonathan Brady, Apple, China's Xiaomi
Organizations:
Apple, Samsung Electronics, International Data Corp, Samsung, IDC's, Huawei
Locations:
Regent Street, London, China