Xiaomi replaces Samsung to lead in top 50 cities in India

Smartphone vendors in top Indian cities
China-based smartphone supplier Xiaomi has replaced Korea-based Samsung to lead in top 50 cities across India.

Xiaomi registered 120 percent growth in the Q3 2017. Redmi Note 4 contributed to more than 40 percent of the volumes. Xiaomi’s Redmi Note 4 is the highest selling model within the top 50 cities of India.

Samsung has slipped to the second spot with 15 percent quarterly growth. Samsung continues to dominate in the majority of cities owing to its deep penetration and reach. Galaxy J2, J7 Max, J7 Prime & J7 Nxt together make up to 50 percent volumes for Samsung.

Lenovo including Motorola is in the third position. Lenovo’s India smartphone business grew 8 percent from the previous quarter. New Delhi, Mumbai, and Bengaluru contributed around 40 percent of volumes of Lenovo with majority sales of K6 Power, Moto E4 Plus and K6 Note.

OPPO moved up to the fourth position as its smartphone models F3 and F3 Plus gained momentum. OPPO’s A71 is gaining positive sentiments at sub $200 price point.

Vivo slipped to fifth position as its sales declined marginally from the last quarter. Reduced channel spends were the primary reason for this. However, the vendor is expected to revive at the back of newly launched V7 Plus and Y69 in the coming quarters.

IDC said major 50 cities of India accounted for 50 percent of smartphone sales in Q3 with a growth of 27 percent from the previous quarter. Tier I cities of India continue to be the key volume driver for Indian smartphone market with 29 percent sequential growth.

Bhopal, Gurgaon, and Jaipur from the Tier II cities have emerged as the fastest growing cities with each growing more than 40 percent from the previous quarter.

Delhi and Mumbai contribute one-fourth of the sales in top 50 cities. Te availability of less expensive and large amounts of data and 4G penetration, the demand from Tier I and Tier II cities attract all smartphone vendors.

Navkendar Singh, associate research director at IDC India, said E-commerce companies contribute around 40 percent of the market in top 50 cities of India. Dominant smartphone players in offline retail space are Samsung, Oppo, and Vivo.