India smartphone shipment rose 7 percent to 161 million smartphones in 2021, according to IDC.
The transition from 4G to 5G will drive growth in 2022, though still restricted to mid and high-tier price segments. IDC expects ASPs in 2022 to be high due to the rising cost of components and higher share of 5G smartphones.
“Consumers demand better features like the camera, battery, and processors over 5G capability in the entry-level price segments. The feature phone base will remain crucial but elusive to the smartphone market in the absence of any affordable offerings at the entry-level,” said Upasana Joshi, Research Manager, Client Devices, IDC India.
Smartphone sales via online channels clocked 13 percent growth to 81 million units, surpassing the offline channel. This was driven by marketing and initiatives like multiple sales festivals, attractive financing schemes, cashback & exchange offers, and trade-in programs.
IDC expects offline shipments to recover some lost ground in 2022.
MediaTek-based smartphones recorded 54 percent market share, creating a bigger lead over Qualcomm with more than 85 percent of its smartphones below $200. UNISOC regained some momentum reaching a 7 percent share, up from 2 percent in the previous years.
ASPs peaked at US$190, growing by 15 percent annually. The share of the premium segment doubled from a year ago to 4 percent in 2021, growing by more than 100 percent annually, largely due to higher Apple shipments.
“Consumer demand is lower than expected as we entered 2022, but supply challenges are expected to ease by mid-2022, which should help in maintaining similar growth levels in 2022,” said Navkendar Singh, Research Director, Client Devices & IPDS, IDC India.
Top 5 smartphone makers
Xiaomi maintained its top position for four consecutive years with 40 million units, though declining by 1.5 percent in 2021. Poco, Xiaomi’s sub-brand, emerged as the fastest growing online brand with 51 percent growth. The entry-level models, Redmi 9A/9 Power/9, were the major volume drivers. Better supplies and a focus on offline channels should help drive growth for Xiaomi in 2022.
Smartphone shipment of Samsung declined 6 percent in 2021 to 28 million units. Samsung faced supply constraints especially for Galaxy A series in the low to mid-price segment, and for foldable devices in the premium segment.
Samsung led the 5G smartphone segment with a 21 percent share, driven by the Galaxy A22, M32, and M42. Samsung will revive its focus on offline and online space to stay in top position in 2022.
Vivo’s shipment declined 6 percent. Vivo led offline channel shipments in 2021 with a 28 percent share. Its Y series was a major contributor. Vivo faced supply challenges. Vivo could leverage its sub-brand iQOO to expand its online presence and garner share in 2022.
Realme registered 26 percent growth. Realme also rose to the second slot in 4Q21 (Oct-Dec), surpassing Samsung, with a share of 19 percent. In the online space, Realme has 21 percent share in 2021 in online space. Realme’s UNISOC-based shipments reached 60 percent of its total, ensuring sufficient supplies in 4Q21.
OPPO, at the fifth slot, witnessed 8 percent growth in 2021 to 18 million units. It surpassed Samsung for the second slot annually in the offline channel with a share of 18 percent. With a larger focus on higher ASP devices like the Reno 6/7 series, OPPO’s play in the mid-premium segment has risen compared to previous years. However, its online presence remains limited.