Smartphone shipments in India fell 3 percent year-on-year (YoY) for the July-September (Q3) period of 2023, according to a new report from market research firm Canalys. Despite the decline, Samsung continued to lead the smartphone market with 7.9 million shipments and an 18 percent market share. The South Korean company launched its Galaxy S23 series earlier this year and the flagship phones have apparently helped it increase its market share. Xiaomi comes in a close second, followed by other Chinese smartphone brands including Vivo, Realme and Oppo in the top five. The upcoming festival sales and improved consumer sentiment are expected to lead to positive growth in the coming months.
Analyst firm Canalys said in its latest report report that 43 million smartphones were shipped in India in the third quarter of 2023. This figure is a decline of 3 percent from the previous year.
Following the earlier trends, Samsung enjoyed a major share of the smartphone shipments in India and retained its top position in Q3 with an 18 percent market share and 7.9 million units shipped. Xiaomi moved to the second position by shipping 7.6 million units. The Chinese brand secured 21 percent of the market share, fueled mainly by the release of its affordable 5G models. Vivo came in third with 7.2 million shipments and a market share of 16 percent. BBK’s other subsidiaries Realme and Oppo came in fourth and fifth respectively. Realme shipped 5.8 million units and secured a market share of 14 percent while Oppo shipped 4.4 million units and secured a market share of 12 percent.
Canalys notes that brands promoted their festive product line-up with a focus on the budget-friendly 5G smartphone segment. Xiaomi expanded its 5G portfolio with the launch of budget-friendly models such as the Redmi 12 5G and Poco M6 Pro 5G, which contributed to the growth of 5G offerings across their lineup. Realme also gained traction in the market with its Realme 11x 5G and Realme 11 5G models. Brands such as Motorola, Infinix and Tecno also drove limited volume through their new affordable 5G devices.
The premium smartphone segment also saw robust growth in the just-ended quarter, the report said. Sales of Samsung’s Galaxy S23 series and Apple’s iPhone 14 and iPhone 13 series surged during the festive sales, driven by online sales promotions.
Canalys notes that increased consumer confidence and new device launches are likely to help the market recover gradually. “Despite the market seeing greater consumer confidence in the second half, the road to recovery will be challenged by global economic concerns,” said Sanyam Chaurasia, Senior Analyst at Canalys. “Growth in 2024 hinges on uncertain macroeconomic factors, particularly affecting the vulnerable entry-level segment. However, the Indian economy remains relatively resilient to sudden shocks from these variables and brands are adapting to market dynamics. To retain market share, vendors should prioritize reducing channel pressure and building a lean product portfolio. They should have ‘hero models’ in every price point while maintaining balanced inventory across all channels,” he added.
