Chinese smartphone makers overtake Indian manufacturers in IDC’s Q4 Top Five list

Indian manufacturers slip down as Lenovo, Xiaomi, Oppo and Vivo take over

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Highlights

    • Oppo, Vivo show massive growth
    • 4 out of top 5 are Chinese makers
    • Samsung still leads the game

The latest numbers from research firm International Data Corporation (IDC) have been released, and here are the headlines. A total of 109.1 million units of smartphones were shipped to India in 2016 – a 5.2 percent growth over the previous year. In Q4, however, there was a 20.3 percent decline and the shipments stood at 25.8 million units. IDC says that this decline was primarily seasonal (it was right after the festive season) and also because of demonetization.

However, the big news is that Xiaomi, Lenovo, Oppo and Vivo have made their presence felt strongly in the Indian smartphone market by being 4 out of the top 5 smartphone sellers in India. The 5th and the highest selling brand happens to be Samsung. They have overtaken Indian manufacturers such as Micromax and Karbonn in the rankings.

Samsung currently leads the smartphone market in India with a market share of over 25.1 percent while Xiaomi holds a 10.7 percent market share . It was a 15 percent quarter-on-quarter growth for the latter. Lenovo Group, which also includes Motorola, has a 9.9 percent market share and ranks third on the top 5 list. The Lenovo Group however, saw a quarterly decline of 17.4 percent.

The fastest growth story is however at the 4th and 5th position, with Oppo and Vivo occupying those spaces respectively. Oppo has managed to acquire 8.6 percent of the market share, with a growth of 29.9 percent since the previous quarter. Vivo now holds 7.6 percent, but perhaps has the fastest growth, showing 50.8 percent quarter-on-quarter rise in sales. Totally, Chinese vendors account for 46 percent of the market share in India.

“This is first time when none of the homegrown vendors were able to make their position in top five,” said Jaipal Singh, Market Analyst, Client Devices, IDC India in a press release. He added, “The decision of sticking with a 3G-heavy portfolio and prioritising the price game over product experience is working against the dominance of homegrown vendors.”

While offline, brick-and-mortar sales still account for a majority, online sales too have managed to reach a 31.2 percent of all the sales numbers. Lenovo and Xiaomi group dominate this segment.

Indian manufacturer Micromax still has some 10 percent market share in the overall segment, which also includes feature phones, but even here it has seen an annual downslide of 20 percent.