Published On: Sat, Apr 25th, 2020

Indian smartphone marketplace grew by 4% in Q1, though projected to decrease by 10% this year

India has emerged as one of a fastest flourishing smartphone markets in a final decade, stating expansion any entertain even as handset shipments slowed or declined elsewhere globally. But a world’s second largest smartphone is commencement to feel a coronavirus heat, too.

The Indian smartphone marketplace grew by a medium 4% year-over-year in a entertain that finished on Mar 31, investigate organisation Counterpoint pronounced Friday evening. The conveyance grew annually in Jan and February, when several firms launched their smartphones and denounced assertive promotional plans.

But in Mar a conveyance saw a 19% year-over-year dip, a organisation said. Counterpoint estimated that a smartphone shipments in India will decrease by 10% this year, compared to a 8.9% expansion in 2019 and 10% expansion in 2018.

The investigate organisation also cautioned that India’s lockdown, systematic final month, has exceedingly slowed down a internal smartphone attention and it might take 7 to 8 months to get behind on track. Currently, usually name equipment such as grocery products are available to be sole in India.

Prachir Singh, Senior Research Analyst during Counterpoint Research, pronounced a COVID-19 impact on India was comparatively amiable until mid-March. “However, mercantile activities declined as people save income in expectancy of an extended duration of doubt and an roughly finish lockdown. Almost all smartphone prolongation has been suspended. Further, with a amicable enmity norms, factories will be using during reduce capacities even after a lockdown is lifted,” he said.

Overall, 31 million smartphone units shipped in India in Q1 2020. Chinese smartphone builder Xiaomi, that has hold a tentpole position in what has turn a biggest marketplace globally for some-more than dual years, widened a lead to authority 30% of a market.

Vivo’s share grew to 17%, adult from 12% during a same duration final year. Samsung, that once led a Indian market, now sits during a third mark with 16% marketplace share, down from 24% in Q1 2019. Apple confirmed a new movement and grew by a clever 78% year-over-year in Q1 this year. It now commands 55% of a reward smartphone shred (handsets labelled during $600 or above.).

More than 100 smartphone plants in India arrange or furnish about 700,000 to 800,000 handsets a day, some of that are exported outward of a country. But a lockdown has halted a prolongation and could cost a attention some-more than $3 billion to $4 billion in approach detriment this year.

“We mostly pull parallels between India and China. But in China, their factories have adopted automation during several levels, something that is not a box in India,” pronounced Tarun Pathak, a comparison researcher during Counterpoint, progressing this week.

China, where smartphone sales declined by 38% annually in Feb this year, has already started to see recovery. Xiaomi pronounced final month that a phone factories were already handling during some-more than 80% of their capacity. Globally, smartphone conveyance declined by 14% in February, according to Counterpoint.

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