Xiaomi leads Indian smartphone shipments despite down 25% YoY: IDC

Smartphone shipments in India fell more than 27% to 29.6 million in the October-December 2022 quarter, from 40.6 million a year ago, mainly due to inflationary pressures, the firm said on Friday. IDC market research.

Declining consumer demand due to high inflation remained a challenge throughout the year despite improving supply conditions, according to the report.

Smartphone shipments in the price segment below $300 (about 25,000 rupees) fell by 15%, while the mid and high-end price segments of $300-500 and over $500 (41,000 rupees) increased by 20 and 55 percent, respectively. during 2022.

Entry-level smartphones, below Rs. 12,500 each, reduced to 46% from 54% a year ago.

IDC India, Research Manager, Client Devices, Upasana Joshi, said the lack of new launches in the sub-$150 (around Rs. 12,000) smartphone segment has limited its growth.

According to IDC Associate Vice President, Devices Research, Navkendar Singh, rising prices and excess inventory should be a concern at least in the first half of the current year.

“We should expect a rather difficult and prolonged recovery for the smartphone market, as concerns about rising prices and excess inventory will remain a concern at least in the first half of 2023.

“Vendors and channel partners need to rethink their plans for their entry-level portfolios, driving affordability of 5G devices with attractive trade-in programs and financing programs,” Singh said.

Xiaomi led the market in the quarter as well as on a yearly basis with 18.6 and 21% market share despite a sharp drop in its shipment volume on a yearly basis.

Xiaomi’s shipments decreased by 38.3% in the December 2022 quarter and by 25% on an annual basis in 2022.

Apple maintained its lead in the premium segment with a 60% share, followed by Samsung with a 21% share.

Samsung smartphone shipments were down 22.6% in the December 2022 quarter and 6.6% in the year.

Samsung was the second largest player in the quarter as well as the year with 18.4% and 18.1% share respectively in terms of smartphone shipments.

A total of 201 million cellphones were shipped in 2022, registering an annual decline of 12%.

“Mobile phone shipments were 57 million, down 18% year-on-year. Samsung, Xiaomi and Transsion were the top companies in the total mobile phone market,” the report said.