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Chinese firms lead smart growth

With festive season approaching, online share is likely to bounce back following a 7% dip in Q2 2016 with an array of new launches and offers.

New Delhi: After declining for two straight quarters, smartphone market in India posted a 17.1 per cent sequential rise in shipments to 27.5 million units in April-June quarter (CY Q2), with Chinese vendors like Lenovo, Xioami and Vivo driving the growth, according to research firm International Data Corporation (IDC).

Both global and Indian vendor’s shipments declined year-on-year, while China based vendor’s shipments grew at healthy 75 percent in CY Q2 2016, said IDC.
“China based vendors’ shipments grew 28 percent over previous quarter of which Lenovo group, Vivo, Xiaomi, OPPO and Gionee were key contributors driving the growth.

Until now, Lenovo was the only China based vendor to ship over a million units in a quarter, while this quarter saw additional three vendors joining the million shipments bandwagon,” said Karthik J, senior market analyst, IDC India.

He said Xiaomi’s Redmi Note 3 was not only the top selling model in online channel but also a star product for the vendor contributing majority of Xiaomi’s total shipments in Q2 2016.

Online share of smartphones dipped to 28 percent in CY Q2 2016 from 35 percent in the previous quarter. However, with festive season approaching, online share is likely to bounce back with array of new launches and offers.

Samsung continued to lead the Indian smartphone market with 25.1 percent share, registering 10.9 per cent sequential growth over previous quarter and 15 percent growth from the same period last year. “With updated versions of J2, J5 and J7 released in Q2 2016, J-series devices continue to drive Samsung’s shipments,” said IDC.

Micromax retained second position with 19.9 percent growth over the previous quarter. Lenovo group (including Motorola) with 10.3 percent growth over the last quarter, vendor regained the third position in Indian smartphone market. Apple’s iPhone SE failed to make any significant impact in the premium segment while its previous generation 5S continued to contribute majority volume, IDC said.

( Source : Deccan Chronicle. )
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