New Delhi: India’s smartphone market experienced a decline of 10 per cent YoY (year-over-year) in the first half of 2023, shipping a total of 64 million units, as stated in a report released by the International Data Corporation (IDC) Worldwide Quarterly Mobile Phone Tracker.
The market shipped 34 million units in the second quarter of 2023, up 10% over the first quarter but down 3% year over year. Vendors and channels were said to have concentrated on eliminating inventory in the second half of the year before the holiday season by offering discounts, special deals, and price reductions.
The average selling price (ASP) of smartphones fell by 8% QoQ but increased by 13% YoY to reach US$241 in the second quarter, despite consecutive quarters of growth. Compared to the prior year, the share of smartphones in the sub-US$200 market fell from 70% to 65%, representing an 11% YoY decrease. The mid-to-high-end segment (US$400–$600) expanded by 34% YoY in the second quarter of 2023, holding a 5% share, while the mid-range segment (US$200–US$400) stayed consistent with a 22% share. The premium segment (US$600+) saw the fastest growth, increasing by 75% YoY and gaining 9% of the market.
In the second quarter of 2023, 17 million 5G smartphones were shipped with an average selling price of US$366, representing a 3% YoY decrease. Samsung, Vivo, and OnePlus were the leading brands in the 5G segment, commanding a combined share of 54 per cent. The highest shipped 5G models in this period were Apple’s iPhone 13 and OnePlus’ Nord CE3 Lite.
Overall, shipments to the online channel experienced a decline of 15 per cent YoY, while the offline channel saw growth of 11 per cent, capturing a 54 per cent share. The online-heavy players, such as Xiaomi and realme, contributed to the decline in online channel shipments, reported IDC.
Among the top ten smartphone brands, Apple registered a massive 61% YoY growth with the highest average selling price of US$929. “We continued to see strong results in emerging markets, driven by robust sales of iPhone with June quarter total revenue records in India, Indonesia, Mexico, the Philippines, Poland, Saudi Arabia, Turkey and the UAE,” said Apple’s CEO Tim Cook in the company’s earnings call. Apple grew by “strong double digits” in India.
OnePlus also achieved healthy growth of 61 per cent, although its average selling price dropped by 14 per cent YoY to US$346. POCO, with its affordable C series models, saw the highest growth rate.
