Numbers launched by market analysis agency Counterpoint for April-June quarter confirmed a 9% decline in market share for Chinese language manufacturers — when put next with the earlier quarter (January-March 2020). South Korean large Samsung appears to have benefited because it gained 10%.
Whereas the Chinese language manufacturers scored a close to 10% development year-on-year, their general share got here down sequentially (quarter-on-quarter) to 72% on the finish of the June quarter, in opposition to 81% a 12 months in the past, Counterpoint mentioned.
The Chinese language manufacturers have been going through shopper wrath on social media platforms as tensions between India and China had escalated prior to now few months, main many to consider that their sturdy grip on India could get challenged.
The numbers do present a decline, particularly for Xiaomi (by 1%), RealMe and Oppo (3% every), however market analysts refuse to learn an excessive amount of into the figures, saying this decline may very well be because of element provide constraints due to Covid restrictions and heightened customs checks for consignments from China, aside from adverse sentiments.
“There have been particular provide points. Oppo needed to shut its manufacturing facility because of some constructive Covid circumstances, which additionally impacted the manufacturing of different corporations corresponding to Realme and OnePlus,” mentioned Prachir Singh, senior analysis analyst at Counterpoint.
Nevertheless, he provides that this decline is probably not sustained because the Chinese language manufacturers will come again strongly within the image as elements provides normalise they usually launch new merchandise.
“It’s troublesome to match them in superior product specs and the worth at which they launch. The Indian shopper is worth delicate and prefers high quality, and that is the place the Chinese language do effectively – within the Rs 15,000 phase. They’ve additionally began to advertise the truth that they’re making extra telephones in India or assembling right here.”
Nevertheless, Samsung appears to have gained within the interval of Chinese language weak spot, clawing again 10% extra share on the finish of Q2 when in comparison with the primary quarter. “Samsung pushed its price range units of M Collection to capitalise on the state of affairs. Additionally they pushed in new merchandise into the channel,” Singh mentioned.