Visitors take a look of the newly launched OnePlus 7 and OnePlus Pro series smartphones at the experience centre in Bangalore, India, 14 May 2019. EPA-EFE/JAGADEESH NV
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https://scmp.com/tech/gear/article/3021156/chinese-smartphone-brands-do-battle-india-more-consumers-upgrade Tech
Chinese smartphone brands do battle in India as more consumers upgrade to expensive models
- Indian consumers are upgrading to more expensive smartphones, opening up new opportunities for Chinese brands
- OnePlus, a Shenzhen-based brand, is the top in sales for the premium market in India
Indian men use their mobile phones in the street. Photo: Agence France-Presse
Surging demand in India for higher-priced smartphones is changing the perception of the country as a market for cheap feature phones and budget smart handsets. Chinese brands from OnePlus to Xiaomi are rushing to cash in.
Shipments of smartphones priced US$430 and above jumped 33 per cent in the second quarter of this year to a record, compared with 6 per cent growth for the overall Indian market, according to a Counterpoint research note released this week.
“Second quarter was the first-ever quarter when premium segment had the highest number of models, offering wide variety of choice for consumers,” Karn Chauhan, a research analyst from Counterpoint, said in the report. “As more brands such as Xiaomi, Oppo, Vivo and Huawei enter this segment, this segment is going to be hyper-competitive in the second half of 2019.”
Shenzhen-based OnePlus regained the top spot in India’s premium market after unveiling its flagship OnePlus 7-series, which captured its highest ever shipment share of 43 per cent in this segment, widening the gap with Samsung and Apple, both of which accounted for about 20 per cent share each, according to Counterpoint data.
India has become a major battleground for Chinese smartphone brands after sales declined in China, the world’s largest smartphone market. The stiff competition in China has seen Oppo, Vivo, Xiaomi and Apple report declines of at least 14 per cent in the second quarter, in contrast to Huawei’s 31 per cent gain, according to separate data by Canalys, a research firm.
In India, Xiaomi, Vivo, Oppo and Realme are ranked in the top five in terms of overall smartphone shipment, with South Korean technology giant Samsung Electronics being the only non-Chinese brand in second place, research firm IDC said in a research note in May.
The feature phone market, which still accounts for half of the total mobile phone shipments, fell 42 per cent in the second quarter from a year earlier, according to IDC, indicating that local consumers are migrating from cheaper feature phones.
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