169 mn smartphones shipped in India in 2021: Counterpoint Research

India’s smartphone shipments grew 11 per cent YoY to reach 169 million units in 2021. According to the latest research from Counterpoint’s Market Monitor service, India’s smartphone market revenue crossed $38 billion in 2021 with 27 per cent YoY growth. However, the shipments declined 8 per cent YoY in the December quarter due to supply issues plaguing the smartphone manufacturing ecosystem.

“The Indian smartphone market witnessed high consumer demand in 2021, making it the best-performing year. This feat came in a year that witnessed supply constraints due to a multitude of reasons – a second and more virulent COVID-19 wave, global component shortages and price hikes due to these shortages," said Prachir Singh, Senior Research Analyst, Counterpoint Research.

Xiaomi maintained the top position in India’s smartphone market in 2021 with 2 per cent YoY growth. Component shortage in the second half of the year, which affected volumes in the mass market segment, led to slower growth. Xiaomi grew 258 per cent in the premium segment (>Rs 30,000, ~$400) in 2021 with the Mi 11x series. Going forward, it will keep focusing on the premium segment and offline expansion.

Samsung remained at the second position in 2021 with an 8 per cent YoY decline in shipments. Supply chain disruptions, absence of new Note series, reduced focus on the entry-level segment and fewer launches in the mid segment compared to the previous year led to an overall decline. 

However, Samsung was the top brand in 5G smartphone shipments in Q4 2021. Its campaign on providing maximum bands in 5G smartphones facilitated this growth. It also led the Rs 20,000-Rs 45,000 (~$267-$600) segment with a 28 per cent share. Samsung’s foldable device (Fold and Flip series) shipments grew 388 per cent YoY in 2021.

Among the top five brands, realme was the fastest growing in 2021 with 20 per cent YoY growth. It also captured the second spot in Q4 2021 for the first time ever. Vivo emerged as the top 5G smartphone brand in 2021 with a 19 per cent share. It grew 2 per cent YoY in 2021 driven by a strong performance of its Y series and V series. It remains the leading player in the offline segment while simultaneously strengthening its hold in the online segment through its sub-brand iQOO. 

And OPPO held the fifth position in 2021 with 6 per cent YoY growth. It now has a leaner portfolio in the budget segment as it is focusing on the upper, mid and premium segments.

Apple was one of the fastest growing brands in 2021 with 108 per cent YoY growth in shipments. It maintained its lead in the premium segment (>Rs 30,000, ~$400) with a 44 per cent share. Aggressive offers during the festive season, strong demand for the iPhone 12 and iPhone 13 and increased ‘Make in India’ capabilities drove high growth. We expect strong momentum for Apple in 2022 as well with increased manufacturing and retail footprint.

 

“India’s smartphone market retail ASP (average selling price) grew 14 per cent YoY in 2021 to reach its highest ever at $227. The price hikes in the budget segment due to component price rise, increasing focus of OEMs on the premium segment and increased demand for mid-range and premium smartphones due to increasing uses and availability of financing options contributed to the increasing ASP. This resulted in the Indian smartphone market revenue crossing $38 billion in 2021, registering a growth of 27 per cent YoY,” said Research Analyst Shilpi Jain of Counterpoint Research.

 

India’s overall mobile handset market grew 7 per cent YoY in 2021. Feature phone shipments reached 86 million units to show flat growth in 2021.

Also Read: BPCL Q3 results: Net profit up 47% at Rs 2,805 cr, interim dividend declared

Also Read: ‘Any room for me to join in’: Anand Mahindra asks 3D printing startup Tvasta