September 22, 2020

India comes to second spot dethroning US in Smartphone Market

In the past few years there is a huge expansion in the number of Chinese smartphone brands India has seen as compared to US smartphone market and holding the second place in the list. Now, China is the only one heading above to the India in the list, in terms of total smartphones shipped by them. As coming to stats China just recorded a shipment of total 158 million smartphones in 2019, and while taking about the situation between India and US so India beats US total shipments of 153 million as the data is projected.

The main strategy of major Chinese smartphone brands for India of providing flagship level of features under a very attractive price bracket to capture new user’s in India’s smartphone market which helped to gain this growth and the growth in the e-commerce also acted like a boost for it. As it e-commerce gained a pace in India it made smartphones more accessible to the Indian users. A whopping share of 72% in Indian smartphone market is held by Chinese brands like Vivo, Xiaomi, Oneplus and many others as compared to a stat of 60% in previous year.

 Comparing the stats, the total number of smartphone shipments done by China in 2019 is around 395 million and points out towards a decline in the stats, while looking in into Indian smartphone market a growth of 7% is registered the whole year in 2019.

If look close to situation in Indian market the growth was in single-digits for the first time when looked on an annual basis as slowdown in the industry has marginally affected the industry, which has shown a growth of 10% in 2018. In demand is created by both the first-time buyers as well as the repeat buyers and is still not well penetrated as compared to the US market.

As an estimation it is projected that it might take atleast close to four or five years to get close to China. The main reason is that there are good number of used or refurbished options of smartphones available in the market which always take some share away from new phone demand in India. Also it is noticed that only 55% users present in Indian market are the subscriber’s of 4G network and in future it can be thought that more number of user will migrate from feature phones to smartphones and this hype will increase the demand. And the hyper competition between different smartphone brands India will see a huge growth in future.

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