Mobile handset shipments are set to cross 300 million milestone by end-2018 and smartphones will outstrip feature phones and fusion phones collectively by 2020, a report by CyberMedia Research has said.
According to CMR’s India Mobile Handset Market Review Report for 2Q 2018, smartphones grew 17 per cent on annual comparison driven by strong performance registered by brands including Honor, Realme and Vivo. Reliance Retail led the overall shipments with 27 per cent market share across segments during 2Q 2018. This was followed by Samsung.
The feature phone market decline 28 per cent year-on-year which is being taken by fusion phones. The fusion phones segment is a new classification introduced by CMR to define mobile handsets that have a feature phone form factor with 4G connectivity, and may have a closed apps ecosystem enabling limited smart features for users.
“In 2Q 2018, Samsung’s continued brand loyalty in India paid dividends with its new refreshed portfolio enabling it to trump Xiaomi in the cut-throat smartphone competition. Whether it be the new rich features, camera or screen innovations, they all helped it in making dents. In line with predictions made by CMR earlier, smartphone brands, HTC exited from the Indian market in 2Q 2018. On the other hand, it is remarkable to note that ASUS scripted a positive turnaround, on the back of a revised market strategy and astute stewardship,” said Prabhu Ram, Head, Industry Intelligence Group (IIG), CMR.
“Going forward, it is expected that other brands shall also explore fusion phones and excite the consumers with enriched smart capabilities within the feature phone form factor. However, the success would like in how it penetrates into the open market, albeit telecom operators supporting the initiative,” added Narinder Kumar, Lead Analsyt, IIG-CMR.
The CMR Mobile Handset Review Report is based on CMR’s research methodology and proprietary tools, covering over 100 unique datasets, and delivered to CMR clientele.