Apple tops India premium segment with 51.3pc share in Q3

Yolanda Curtis
November 14, 2019

Smartphone shipments in India surged 27 per cent sequentially and a little over nine per cent year-on-year in the July-September quarter, according to data tracked by International Data Corp (IDC).

The surge in sales was driven by multiple online sale festivals, new model launches, and price corrections on a few key models by various brands.

The offline channel continued to face challenges, leading to a 2.6 per cent YoY decline in 3Q19.

Even as the offline channel players tried to match their offers in line with the online players, they fell short of deals that a consumer could grab in the online space and were still dealing with leftover inventory from previous quarters. The USD 300-500 segment doubled itself year on year, while the USD 200-300 grew 47.8 percent year on year. The ASP for the overall smartphone market was United States dollars 159, with 2.7 percent year-on-year growth in Q3.

Indian smartphone market had yet another successful quarter as phone companies led by Chinese vendors shipped 46.6 million units in the third quarter ending September of 2019. The 2/2.5G market also saw a decline of 16.2 percent in Q3. With a total shipping estimate of 8.8 million units, Samsung came in second but this is lower than the 9.6 million units shipped the year prior. The subsidiary brand that spun out of Oppo now commands 14.3% of the world's second largest market, India, in the quarter ending September 2019, according to a report released Monday by research firm IDC.

One of the reasons is the growth of online platforms as offline sales channels are on the decline. Vivo is reported to have shipped an estimated 7.1 million smartphone with a hugely impressive 58.7% yearly growth. The company's phone shipments, however, declined because of "the lag between older Galaxy A series (Galaxy A10, 50, etc.) and the refreshed Galaxy As (Galaxy A10s, A50s etc) series just before the Diwali quarter". But Samsung's Galaxy M30s saw strong shipments. But the South Korean company suffered a year-on-year growth drop of 8.5%, with quarterly shipments of 8.8 million handsets.

"The continued aggression by the online platforms with attractive cash back and buyback offers as well as affordability schemes like no-cost EMIs and financing options were key in taking the share of the online channel to a record high of 45.4% with year-on-year growth of 28.3%", Upasana Joshi, associate research manager, client devices, IDC India, said in a press statement.

Samsung remained the second biggest smartphone vendor with 18.9% market share, but its overall shipments have declined 8.5% from a year ago.

Samsung was the only player ong top five that lost market share over a year ago, while Xiaomi recorded its highest shipment ever of about 12.6 million units. IDC says Xiaomi posted 12.6 million units, its highest ever shipments in a quarter, led by the Redmi 7A and Redmi Note 7 Pro. Apple is king in the premium class with 51.3% share while the fastest-growing segment is the INR 21,000 - 35,000 ($300-500) range.

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