In the first half of 2024, the Indian smartphone market shipped 69 million units, marking a 7.2% year-over-year (YoY) growth, according to the International Data Corporation's (IDC) Worldwide Quarterly Mobile Phone Tracker. The second quarter alone saw 35 million smartphones shipped, reflecting a 3.2% YoY increase. This growth marks the fourth consecutive quarter of YoY shipment increases, although the recovery is slow due to subdued consumer demand and rising average selling prices (ASPs).
Upasana Joshi, senior research manager at IDC India, noted that the latter part of Q2 sets the stage for the important second half of the year, which includes the festive sales period extending until November. While the first half of the quarter focused on clearing old inventory, vendors began launching new smartphones, particularly in the mid-premium and premium segments, to target monsoon sales in July and August.
The entry-level smartphone segment (sub-$100) saw a significant 36% YoY decline, dropping to a 14% market share from 22% the previous year. In contrast, the mass budget segment ($100-$200) experienced an 8% YoT growth, slightly increasing its share to 44% from 42%. The top brands in this segment were Xiaomi, realme, and Vivo, which collectively held 60% of the market.
The entry-premium segment ($200-$400) grew the most, increasing its share to 30% from 22% and recording a 42% YoY growth. OPPO, Vivo, and Samsung captured almost 60% of this segment. The mid-premium segment ($400-$600) declined by 25% in units, holding a 4% share, down from 5% last year. Vivo led this segment with a 25% share, followed by OnePlus and OPPO. The premium segment ($600-$800) accounted for 2% of the market and declined by 37% in units. The iPhone 13, Galaxy S23FE, iPhone 12, and OnePlus 12 were the key models, with Apple's share rising to 61% YoY and Samsung's increasing to 24% from 21% last year. The super-premium segment ($800+) continued its momentum with 22% growth.
Overall, Vivo maintained its lead for the second straight quarter, thanks to multiple launches across various price segments, including the Y series, mid-premium V series, and flagship X Fold 3 Pro. Motorola achieved the highest growth, supported by a diverse product portfolio, while Nothing recorded the second-highest growth among all brands.
Navkendar Singh, associate vice president of Devices Research at IDC, highlighted the ongoing trend of premiumization in the smartphone market, driven by Apple and Samsung. The rising costs of devices are pushing China-based brands to move beyond the mass market segment. The entry-premium segment ($200-$400) is expected to continue growing, while the entry-level segment (sub-$100) will likely remain under pressure despite efforts to launch affordable 5G smartphones. Additionally, marketing around GenAI smartphones is expected to increase, accompanied by heavy promotional activities.
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