According to a report by Canalys, the Indian smartphone market has stabilised after three-quarters decline in Q2 2023, with shipments of 36.1 million units at 1 per cent year-over-year decline, but eventually rose at 18 per cent on a sequential basis as vendors’ inventory levels had improved due to favourable business environment.
As per the report, Samsung remained at the top of the leaderboard with a share (by volume) of 18 per cent despite a marginal 1 per cent YoY decline in Q2 2023, while Vivo’s share grew from 16 per cent to 18 per cent, helping reclaim the second position in the leaderboard. Xiaomi ranked third as its market share shrunk from 19 per cent to 15 per cent and its shipments fell from 22 per cent in Q2 2023. Realme went to the fourth position as its share fell from 17 per cent to 12 per cent , while its shipment sunk 29 per cent. Oppo rounded off at the fifth position with a 10 per cent market share.
The report notes that smartphone vendors are adjusting to the dynamic business environment focusing on ensuring long-term sustainability. Vendors effectively collaborated with channels to tackle existing inventory backlogs, clearing space for new models before the festive period starts next quarter. There was an increase in macro indicators in Q2, with an increase in manufacturing output and reduced inflation rates.
The report also stated that the government is aiming to improve consumer confidence ahead of the upcoming national elections in 2024. The firm expects a more favourable demand in the second half of 2023 due to improved consumer spending during the festive season.
