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Over 40 smartphone brands exit India market owing to hyper: Competition

Wilbert Doyle by Wilbert Doyle
February 5, 2025

NEW DELHI: As many as forty-one telephone brands exited the Indian phone marketplace in 2018 attributable to hyper-opposition, while 15 brands entered the marketplace eyeing the increased possibilities that India has to provide, in step with statistics shared with the aid of Cybermedia Research.

Mirroring the same pattern, more exits than entries of phone gamers are expected in 2019 as important manufacturers like Xiaomi, Samsung, Vivo, and Oppo continue to consolidate their share by ingesting those of the smaller manufacturers, analysts say. Counterpoint Research predicts the exit of 15 phone players in 2019 versus the entry of five gamers. CMR sees nine new entrants as opposed to 10 exits in 2019.

According to CMR estimates, India has around 200 phone gamers working in the market. At its top in 2014-15, the mobile telephone marketplace had over 300 phone players.

The churn in India comes amid persistent growth within the quickest-growing cellphone market internationally, compared with declines globally.

smartphone

In 2018, India turned into one of the most effective primary smartphone markets to have grown– through 10% – and is predicted to develop an additional 10% in 2019, in line with information from Counterpoint Research. In comparison, global telephone shipments fell by a few 4% in 12 months in 2018, while China’s shipments fell by 7% in 12 months. According to analysts, global phone shipments are anticipated to say no, in addition, through round 3% in 2019.

“India will become vital additionally in terms of a big hitherto untapped base for smartphone consumers in subsequent three-five years along with favorable manufacturing policies and surroundings improvement efforts via the authorities,” said Navkendar Singh, accomplice studies director, gadgets and surroundings, India & South Asia, IDC.

Counterpoint’s research analyst Shobhit Srivastava noted that the developing e-commerce channel is another favorable motive for brands to enter the Indian phone marketplace.

“China-primarily based Realme became a standout hit within the India marketplace in 2018. Realme’s fulfillment suggests that there is, nonetheless, a marketplace for brand-spanking new players. India offers to increase possibilities now not simply in Tier-1 cities, but beyond,” Prabhu Ram, head of CyberMedia Research.

Sector watchers, in addition, believe that the Indian phone marketplace is becoming particularly aggressive due to the presence of aggressively expanding Chinese brands, leading to charge and specification competition within the United States of America.

Smaller brands that cannot offer equal specifications furnished by Chinese manufacturers (with the backing of the Shenzhen surroundings) end up exiting the marketplace to cut their losses.

Xiaomi, Vivo, and Oppo had collectively cornered a market proportion of forty-six % in 2018, leaving Indian brands like Micromax, Lava, Intex, and Karbonn with a mixed marketplace percentage of mere eight% course of the equal duration, as in line with CMR. In addition, Samsung grabbed a 26% market proportion, leaving sixteen markets with different smaller smartphone players in India to function in.

IDC’s Singh pointed out how brands like Xiaomi, Samsung, Vivo, and Oppo have invested a lot of time building the emblem and channel and bringing the right product mix to Indian customers. Smaller manufacturers cannot dedicate volumes and locate demand with their half-hearted attempts to go for one channel (online or offline).

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Wilbert Doyle

Wilbert Doyle

I am a technology freak, I love new technologies and gadgets. I am always ready to learn new things, so I can share this knowledge with other people. and I am really happy when people like my blogs.

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