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The market share of Chinese smartphone Brands slips in India

The lockdown concerning the Covid-19 pandemic and the anti-China sentiments in India on account of the border dispute seem to have severed damaged the dominance of Chinese smartphone brands in the domestic market with their total market share falling sharply from an all-time high of 81 percent to 72 percent during the recently concluded April-June quarter of current calendar year.

According to Counterpoint’s research, Chinese brands such as Xiaomi, Oppo, Vivo, and Realme controlled 81 percent of India’s smartphone market but the lockdown and the anti-China sentiment together declined their total market share for the first time in almost two years.

Research Analyst Shilpi Jain has said that this decline in the market share is mainly due to the mixture of the stuttering supply of goods from China and also the Anti-China sentiment that was compounded by stringent actions taken by the Indian government to ban more than 50 applications of Chinese origin and the delay of the import of Chinese goods amid extra security. However, local manufacturing, R&D operations, attractive value-for-money offerings and strong channel entrenchment by Chinese brands leaves very few options for consumers to choose from, she added.

“Additionally, in the era of globalization, it is difficult to label a product based on country of origin as components are being sourced from many different countries. This development has given a window of opportunity for brands like Samsung and local Indian brands, like Micromax and Lava, to recapture market share. Further, Jio-Google’s partnership to bring a highly affordable 4G Android smartphones could also gain ground, banking on the growing vocal for local sentiment,” Jain added. So, this has given high chance for the brands of Indian origin to increase their market share as the market to observing a slight surge in sales as the lockdown restrictions are slowly lifted.

Reporter - Jaya Anisika