According to a report by TechARC, Indian smartphone sale may decline from a projected figure of 162 million to 127 million.
The report further highlighted that the smartphone sales in India will be driven by basic and mid-range smartphone segments (Rs 5,001 to Rs 25,000). This segment will account for over 92 per cent of the total sales. Meanwhile, the entry-level segment will continue to witness a decline. On the other hand, the premium segment (Rs 50,000 and above) will be the least affected as the propensity to spend will remain high.
That said, it’s likely that any potential buyer will buy smartphones from a segment lower than intended owing to the uncertainties around.
Further, the report suggest that the agility of smartphones will emerge as the key strength of OEM players and will play a decisive role in their business continuity.
Owing to this, TechARC expects only a mild impact on the market share of the top five smartphone brands and niche players. Whereas, lower-ranking smartphones are expected to be impacted the most.
Another strategy that smartphone brands have adopted recently is the hyper-local O2O (online to online) medium where orders are taken online and fulfilled through offline retail networks in the proximity of the customer. TechARC predicts this strategy to gain momentum in the coming times and contribute 5-7 per cent of the total sales in the coming months.