India’s smartphone market sees flat growth in September quarter

New Delhi: India’s smartphone shipment remained flat at 44 million units in the quarter ended September amid tapering demand and high prices, according to the International Data Corporation (IDC).

July and August registered single-digit growth as channels started stocking the festival early, but overall sales were flat in the first half of the year. The lowest shipment since 2019 was recorded in September.

“As demand eases in the second half of the quarter (post-Diwali), brands may face overwhelming inventory challenges. Therefore, the outlook for 2023 remains flat or declines to a low single digit. Next year we will see a range of affordable and foldable 5G phones at the mid and premium end, but inflationary stress and longer refresh cycles are likely to limit the market’s annual growth in 2024,” said Navkendar Singh, AVP – Devices Research, IDC.

Samsung led the market with an 18.5% share, followed by Realme, Vivo, Xiaomi and Oppo.

A range of micro-finance options are available on budget devices such as no-cost EMI offers for longer periods, from 24 to 30 months, and affordability initiatives from all the major brands have made a modest start to the Christmas season.

Despite the bleak outlook, there were some benefits for brands. The ASP or average selling price hit a high of $253 or 21,000, with growth of 5% quarter on quarter and 12% year on year in the quarter ending September. This would mean better revenue for brands as prices rise.

The vendors focused on affordable 5G devices and discounts over the channels would reduce the ASP for 5G phones to around 30,000. Higher sales of the new technology phones will result in lower prices for 5G phones compared to 4G devices. Share of 5G phones below 17,000 items, known as the budget segment, increased to 52% from 34% a quarter ago.

“5G smartphone shipments reached a record 58% share with 25 million units in the quarter. 5G ASP fell to US$357 in 3Q23, down 9% YoY. Samsung’s Galaxy A14, Apple’s iPhone 13, and Xiaomi’s Redmi 12 were the top 5G models launched in the quarter,” the research firm said.

Premium segment – between 49,000 and 65,000 – at a 3% share, registered the highest growth of 52%, led by iPhone 13, Galaxy S23/S23 FE and the recent Moto Razr 40. 65,000 registered a healthy growth of 43%, and its share increased from 4% to 6% in 3Q23. “Apple led this segment, with a 60% share, with high shipments of its iPhone13/14/14 Plus. Samsung also gained share, from 24% to 36% in 3Q23, coming from the newly launched Galaxy Z Fold5/Flip5 and Galaxy S23+/S23 Ultra,” IDC said.

Foldable phone shipments hit an all-time high of half a million units in a single quarter, with Samsung leading the way with a 66% share. With new launches by Motorola at lower price points, the asp of the foldable phones was US$1198 or thereabouts. 1 lakh, from US$1319 or 1.09 lakh years ago.

Milestone Alert!Livemint tops the charts as the fastest growing news website in the world 🌏 Click here for more information.

Get all Industry News, Banking News and Live Coin Updates. Download the Mint News App for Daily Market Updates.


Updated: 07 November 2023, 08:15 PM IST

Denial of responsibility! is an automatic aggregator around the global media. All the content are available free on Internet. We have just arranged it in one platform for educational purpose only. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, all materials to their authors. If you are the owner of the content and do not want us to publish your materials on our website, please contact us by email – at The content will be deleted within 24 hours.

Read original article here

Leave a Comment