A report on Tuesday revealed that India’s smartphone market remained flat YoY shipping 44 million units in Q3 2023.
The report by International Data Corporation (IDC) titled ‘Worldwide Quarterly Mobile Phone Tracker’ said that the months of July and August registered a single-digit growth as the channels started early festive stocking. Still, September had its lowest shipments since 2019, as tapered demand and high prices restricted growth. The findings came from a challenging first half of the year and a modest start to the festive season.
The study underlined that the ASP (average selling price) hit a high of USD 253, with 5 per cent QoQ and 12 per cent YoY growth in Q3 2023 and vendors were found focused on affordable 5G devices and discounts across the channels.
Furthermore, 5G smartphone shipments reached a record 58 per cent share with 25 million units in Q3 2023. 5G ASP dropped to USD 357 in Q3, a decline of 9 per cent YoY. The majority of 5G smartphone launches were in the mass budget (USD100 < USD 200) price segment, increasing the 5G share in this segment to 52 per cent from 34 per cent a quarter ago. Samsung’s Galaxy A14, Apple’s iPhone 13 and Xiaomi’s Redmi 12 were the highest shipped 5G models in Q3 2023.
Upasana Joshi, Research Manager, Client Devices, IDC India said, “A swift uptake in affordable 5G smartphone shipments signals bullish sentiments and success of affordability efforts of the vendors. We should expect the previous generation of premium smartphone models to be in high demand this festive season, made affordable by various offers and upfront discounts across channels.”
Additionally, the study said the super-premium segment (USD 800+) registered a healthy 43 per cent growth, with its share up from 4 per cent to 6 per cent in Q3 2023. Apple led this segment, with a 60 per cent share, with high shipments of its iPhone 13/14/14 Plus. Samsung too gained a share, from 24 per cent to 36 per cent in Q3 2023, coming from the newly launched Galaxy Z Fold5/Flip5 and Galaxy S23+/S23 Ultra.
Foldable phone shipments hit a record half million units in a single quarter, Samsung leading with 66 per cent share. New launches by Motorola at lower price points brought the ASP of foldable phones down to USD 1,198 from USD 1,319 a year ago.
Shipments to offline channels continued to be higher than online channels, with stronger double-digit growth in Q3 2023. However, multiple rounds of eTailer events (The Big Billion Days on Flipkart and Amazon Great India Festival) with special platform pricing and online exclusive deals are expected to drive online demand in the coming weeks, the IDC report added.
Shedding light on the brand lead the study emphasised that Samsung surpassed Vivo for the leadership position, although its shipments declined YoY. Samsung had the highest ASP amongst the top five brands at USD 381, growing by 43 per cent YoY. Realm climbed to the second slot, driven by the newly launched C53 and 11 times. Vivo (excluding iQOO), registered the highest growth amongst the top five brands, driven by affordable Y and T series models. OnePlus, with 35 per cent of shipments driven by Nord CE3 Lite and Poco, also had growth of 50 per cent plus YoY.
