Xiaomi closes in on Samsung in India smartphone market in Q1 2017

Toni Houston
April 30, 2017

The top five most popular phones in India comprised of the same names as per global technology market, Canalys report on Thursday.

LTE or 4G capable smartphones contributed 96% of total smartphone shipments in January-March quarter of 2017."LTE is now a default feature for smartphones in India", the agency said. Vivo, OPPO and Lenovo (that also includes Motorola) occupied the other three spots. Third-placed Vivo shipped 17 million units and captured a 15% share.

In the second quarter, it should rather be a growth seen for the brands like Vivo and OPPO because of the offline marketing strategy and the partnerships they have done to promote during the IPL season.

India smartphone shipments grew 12 percent to over 27 million in the first quarter of 2017, said research firm Canalys.

Yet another positive development was the preference for high-end smartphones, as reflected in the increase in the average selling price. "Its strategy to focus on the highly fragmented "unorganized" retail market is paying off", said Mo Jia, Research Analyst.

The IDC Worldwide Quarterly Mobile Phone Tracker also found that the bulk of the growth came from a small number of Chinese manufacturers, including Huawei, OPPO and vivo who are rapidly growing their market share, it says.

Vivo has 10 percent market share - registering 36 percent growth sequentially. "One year on and all three vendors have dropped out of the top five, with their collective share falling to around 11 percent".

The company boosted its market up to 18 per cent, after growing 25 per cent year-on-year, according to Canalys.

During the quarter, eight out of ten smartphones shipped supported a 5-inch or bigger display. "Offline brands have now started focusing on online channels as well to gain extra market share while online only brands are moving fast into offline markets to widen their reach to the mass market, addressing consumers in tier-2 and tier-3 cities", said Karn Chauhan, Research Analyst at Counterpoint Research. "Pure online players are likely to suffer, and those that react quickly to the new regulations will benefit".

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