Apple is seriously challenging Samsung’s dominance of the premium segment, and it has managed to grow market share to 29% in the first quarter of 2016, against 11% in the same period last year in the device category priced over US$300 or Rs 20,000.
Samsung’s market share in the same category fell from 66% in the first quarter of 2015 to 41% in the same period of 2016. Apple has increased shipments by 56% to make it the second fastest-growing vendor in the top 10.
‘Apple is outperforming the overall market in India, and still has great growth potential. Successive price cuts to the iPhone 5s made it the most popular Apple device on the market, despite its smaller screen and outdated hardware,” said Canalys Mobility Analyst Wilmer Ang.
Apple seem to have hold the nerve of Indian consumer ” Availability of Premium Brands at a lower Price”. Apple has already challenged chinese players in 10k segments, by introducung the leathel weapons like iPhone 4 and 4s at 10k price band.
Though Lenovo is the fastest growing Brand as of Today in Indian Market, just to remind Lenovo picked up the Market share by introducing K3 Note sub 10k category at that time, when Xiaomi and Yu created a vaccum. For a long time, Xiaomi was out of 5.5″ Devices, lenovo taking advantage of the situation, took a step forward and started gaining market share.
India’s smartphone market grew by 12% year on year, with 24.4 million units shipping in Q1 2016. The top five vendors stayed the same, with Samsung in the lead, followed by Micromax, Lenovo ,Lava and Intex. Unfortunately Intex lost the spot in Top 3.
Though in eighth place, Apple continued to climb in India, increasing shipments by 56% to make it the second fastest-growing vendor in the top 10.
Who were the losers : LG, Panasonic, Microsoft and Blackberry, These international Brands ( Except Microsoft ) have always failed to impress customers, The key reason being, Trying to charge Premium from Customers without establishing a base. LG is still capable of braking the market, but the key issue seems to be the Price.
In the past couple of years, LG has always relied heavily on Nexus, but could never ever concentrate on ” G ” series of smartphones. Eben though, The G series has been personally endorsed by Amitabh Bacchan, but LG failed to capture the momentum.
Blackberry has been making the same mistake again and again, Trying to boost sales just by pressurizing customers for Security, which may work well for Companies / B2B , not for individual customers.
In the last two years, Indian Smartphone market and pricing have changed Drastically, specially by Chinese Brands like Xiaomi. Customers are moving towards Value for money, not just driven by Brands. Coolpad, LeECO, Asus, all these smartphones seem to have understood Indian Market well.