Samsung, Xiaomi, Vivo retain top three spots in Indian market while Lenovo moves to number four, says Canalys

According to the latest insights released by Canalys, with over 27 million units shipped, Indian smartphone market grew 12 per cent year-on year in the first quarter of 2017. Canalys is an independent analyst company delivering smart market insights.

Samsung continues to dominate the market at the first position followed by Xiaomi. Vivo has managed to take the third position, pushing Lenovo back to fourth and Oppo moved to the fifth position. Chinese players have been dominating the Indian smartphone market, pushing out their Indian counterparts from the list of top five vendors.

Canalys explains, 'The top three players now have markedly different channel strategies. Samsung maintained its market share, shipping just over 6 million units. Sustained J-series shipments to its established offline distribution partners ensured that it stayed on top. Xiaomi continued to grow in Q1 2017, accounting for 14 per cent of shipments in the quarter, up from 3 per cent a year ago, as it closes in on 4 million units. Third-placed Vivo surpassed the 10 per cent mark this quarter, with an impressive 36% growth in sequential shipments.'

"Xiaomi's success in India is underscored by its online go-to-market strategy. Demonetization seems to have had no impact on it, as its target customer is young, Internet-enabled and primarily buys online," said Canalys Research Analyst Ishan Dutt.

With Goods and Service Tax to roll out in the coming quarters, the Indian smartphone market is set for upheaval. "We will see a change in vendors' channel strategies as new distribution models become more cost-effective," said Dutt. "Pure online players are likely to suffer, and those that react quickly to the new regulations will benefit."