Article By : IDC India
After a number of years of development, India’s smartphone market declines in 2020, reporting a 2% YoY drop, says IDC India
Based on the International Data Corporation’s (IDC) Quarterly Mobile Phone Tracker, the India smartphone market exited 2020 at 150 million items, a 1.7% YoY decline, after a number of years of development. Keep-at-home mandates, distant work, distant schooling, journey restrictions, and manufacturing shutdowns led to a sluggish H1’20 (-26% YoY decline), notably impacting 2Q20. Nonetheless, H2’20 recovered, with 19% YoY development, as markets reopened regularly.
Lockdowns and restrictions rendered an pressing want for units supporting actions resembling leisure, earn a living from home, and distant studying, leading to extra units per family, and resulting in a resurgence in demand for shopper units together with smartphones, shopper notebooks, and tablets in 2020.
4Q20 (October-December) posted report fourth-quarter smartphone shipments of 45 million units, with 21% YoY development. Whereas smartphone shipments for the complete 12 months 2020 remained beneath the pre-pandemic degree, IDC believes a stronger market acceleration in 2021 might be led by upgraders. Navkendar Singh, Analysis Director, Consumer Units & IPDS, IDC India mentions, “The rebound of the smartphone market within the latter half of 2020 underscores the significance of units in our day-to-day lives. In 2021, IDC expects the smartphone market to develop in excessive single-digit YoY, pushed majorly by upgrading customers, within the mid-range phase and inexpensive 5G choices (~US$250). Additionally, revamped offline channel play is anticipated, to convey again development within the essential brick and mortar counters for long run sustainability.”
Observe: *The “2021” represents preliminary forecasted determine for cargo development in CY2021
The important thing market tendencies for 2020 are listed as beneath:
• The net channel outpaced the general market, rising by 12% yearly with a 48% market share in 2020. A number of gross sales occasions, promotions, trade-in/improve packages, and affordability initiatives helped it in clocking a report 51% share in 4Q20. Nonetheless, within the pre-Diwali weeks of October and November, retail footfall regularly picked up the tempo, because the offline channel registered 5% YoY development in 4Q20.
• MediaTek processor-based smartphone shipments led with a share of 43%, intently adopted by Qualcomm at 40% in 2020. MediaTek expanded its lead within the <US$200 worth segments.
• 5G smartphone shipments crossed 3 million in 2020, with Chinese language OEMs rolling out aggressively-priced units by 2020, together with Xiaomi’s Mi 10i at a <US$250 worth level. However adoption was restricted by increased costs and the dearth of a 5G community, which is predicted to begin to roll out in late 2021 or early 2022.
• “As extra 5G units enter in 2021, the ASP for smartphones is predicted to rise. IDC expects distributors to launch 5G units at a number of worth factors backed by aggressive promotions, as 5G presently stays a novelty slightly than a necessity to most,” says Upasana Joshi, Affiliate Analysis Supervisor, Consumer Units, IDC India.
| India Smartphone Market, High 5 Firm, Shipments in million, Market Share, 12 months-on-12 months Progress, 2020 | ||||||
| Firm | 2020Q4 Cargo Volumes | 2020Q4
Market Share |
2020Q4 YoY Progress | 2020
Cargo Volumes |
2020
Market Share |
2020 YoY Progress |
| 1. Xiaomi | 12.0 | 27% | 12% | 41.0 | 27% | -6% |
| 2. Samsung | 7.7 | 17% | 35% | 29.7 | 20% | -4% |
| 3. vivo | 7.6 | 17% | 10% | 26.7 | 18% | 12% |
| 4. realme | 5.2 | 12% | 11% | 19.2 | 13% | 19% |
| 5. OPPO | 5.1 | 11% | 7% | 16.5 | 11% | 1% |
| Others | 7.2 | 16% | 75% | 16.6 | 11% | -23% |
| Whole | 44.8 | 100% | 21% | 149.7 | 100% | -2% |
| Supply: IDC Quarterly Cellular Telephone Tracker, February 2021 | ||||||
Observe: *The “Firm” represents the present guardian firm (or holding firm) for all manufacturers owned and operated as subsidiary.
*Figures in tables/charts rounded to first decimal level
High 5 Smartphone Vendor Highlights
Xiaomi‘s efficiency in 2020 was led by its inexpensive Redmi 8 collection, regularly changed by the Redmi 9 collection in H2’20. Although it continued to face provide shortages by H2’20, leading to an annual decline, Xiaomi maintained its management in 2020. POCO, Xiaomi’s sub-brand, entered the “high 5 on-line channel vendor record”, strengthening Xiaomi’s on-line place at 39% share in 2020.
Samsung remained in its second spot within the 2020 rating, with its online-heavy portfolio pushed by the Galaxy M collection and the newly launched F collection. On-line channel registered robust 65% YoY development, whereas the offline channel shipments declined by 28%, thus resulting in an total drop of 4% in 2020.
vivo stood on the third place, with robust development within the offline channel, dethroning Samsung for the management place within the offline channel with 30% share, pushed by the inexpensive Y collection and devoted efforts in advertising and marketing and promotional actions in offline channels.
realme surpassed OPPO for the fourth slot with 19 million annual shipments, rising by 19% YoY in 2020. It continued to be the second-largest on-line vendor, with its inexpensive C-series as a significant driver.
OPPO’s annual development remained flat YoY in 2020, whereas it maintained a give attention to the offline channels, and regained its third slot forward of Xiaomi with an 18% annual share pushed by the inexpensive A collection.
Others: Transsion (ranked sixth) accounted for a formidable 64% annual development in 2020, pushed by its online-exclusive Infinix portfolio and its Itel and Tecno-branded telephones broadly out there in smaller cities and rural areas. Apple, on the seventh slot, exited 2020 with YoY development of 93%, pushed by earlier technology merchandise just like the iPhone 11, iPhone SE (2020), and iPhone XR, at the same time as the brand new iPhone 12 collection had a robust pickup in 4Q20.
