Xiaomi has regained its position as the leading smartphone manufacturer in India for the second quarter of 2024, according to Canalys. Smartphone shipments in India grew by only one percent in the second quarter (April-June) of 2024 on a year-on-year (YoY) basis, according to a report by a technology market analyst firm. The report suggests that the slight growth is a result of a number of different factors, including national elections, lower seasonal demand and extreme weather conditions in some areas. Among the top brands with the largest market share in the quarter were Xiaomi and Vivo. Notably, estimates for Xiaomi in this report include data from Poco, the company’s sub-brand, while estimates for Oppo exclude OnePlus.
Indian Smartphone Market Q2 2024 Growth
A report by market analyst firm Canalys claims that the total number of smartphone units shipped in India in Q2 2024 was 36.4 million, which is marginally more than the 36.1 million units shipped in Q2 2023. The report shows that Xiaomi and Vivo each shipped 6.7 million units and had an 18 percent market share each.
Samsung followed closely at 17 percent with 6.1 million units shipped, while Realme and Oppo shipped 4.3 million and 4.2 million units each, with 12 and 11 percent market share, respectively.
Contributing to Xiaomi and Vivo’s larger market share were the Redmi Note 13 Pro series, and the Xiaomi 14 Civi, alongside Vivo’s V-series and the Vivo Y200 Pro, the report added.
The small yearly growth in the quarter is attributed to the national general elections, extreme weather, fluctuating demand and slow migration from feature phones to smartphones. The report also claimed that another element is the growing trend of adopting second-hand smartphones
Indian Smartphone Market H2 2024 Outlook
The report also suggested that most brands will look forward to clearing their inventory with monsoon e-commerce sales to prepare for upcoming newer launches. It also claimed that buyers are expected to upgrade to higher-end phones with better features and innovations in the coming months. Most customers are expected to focus on 5G connectivity and generative AI support on their smartphones, according to the report.
The firm expects “mid-single-digit growth in both the upcoming festive season and overall shipments” in the rest of 2024.
Xiaomi’s resurgence as the top smartphone manufacturer in India during Q2 2024, as reported by Canalys, highlights the brand’s effective strategies and strong market presence. Here are some key points that might explain this development:
Factors Contributing to Xiaomi’s Success:
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Diverse Product Range: Xiaomi offers a wide range of smartphones catering to various price segments, from budget to premium devices, which appeals to a broad audience.
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Aggressive Pricing: The brand is known for its competitive pricing strategy, providing high-quality features at lower price points compared to competitors.
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Strong Marketing and Promotions: Effective marketing campaigns and promotional offers can attract consumers, especially during festive seasons or major sales events.
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Local Manufacturing: Xiaomi has invested in local manufacturing in India, which not only helps in reducing costs but also aligns with the government’s “Make in India” initiative.
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Focus on Features: The company often emphasizes features that resonate with Indian consumers, such as large batteries, good camera systems, and fast charging capabilities.
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Ecosystem Development: Xiaomi’s strategy includes building an ecosystem of products, including wearables and smart home devices, which encourages brand loyalty.
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Customer Engagement: Active engagement with customers through social media and community forums helps in building a loyal customer base.
Market Implications:
- Increased Competition: Xiaomi’s return to the top spot may intensify competition among smartphone manufacturers in India, prompting others to innovate and adjust their pricing strategies.
- Consumer Choice: With multiple brands vying for market share, consumers may benefit from better choices and improved features across devices.
- Focus on Technology: As brands compete, there may be a greater emphasis on technological advancements, such as 5G capabilities, camera innovations, and software enhancements.
If you have any specific questions about Xiaomi’s strategies, product offerings, or the Indian smartphone market, feel free to ask!
