India, where more people have access to mobile phones than toilets, going by a UN report, seems to be a dream market for handset makers.
In 2014 alone, the country saw the launch of 1,137 mobile handset models, around 19 per cent more than the 957 models launched in 2013.
Of these, 691 launches were of smartphones and the rest of feature phones, says a report prepared by 91mobiles, a research and comparison website for mobile phones and gadgets in India.
The trend is expected to continue, with new launches in the range of 1,400-1,500 devices this year and a split of 70:30 between smartphones and feature phones.
Overall, 95 companies launched handset models last year, of which 64 were Indian and 31 international brands, the report said. Karbonn had the highest number of launches with 51 models, followed by Intex with 49 and Micromax with 48.
The report, ‘Mobile Phone Landscape: India 2014, Launch and Search Trends’, says Nokia was the second most searched brand (11.22 per cent) after Samsung (16.53 per cent), which was searched the most.
“Nokia was the second-most popular brand in 2014, mainly due to the high level of curiosity surrounding the X series, Nokia’s first Android range of devices. Many saw these as combining the reliability of Nokia with the flexibility of Android,” Nitin Mathur, Co-Founder, 91mobiles.com, told BusinessLine .
However, that curiosity has now worn off, and Nokia, now in Microsoft’s fold, will only be launching Windows-based devices, he said.
Popular brands“This year, therefore, Samsung and Micromax may top the charts both in terms of popularity and numbers. These brands will be under pressure from the new-age/resurgent ones, such as Xiaomi, Motorola and Asus, which are attempting to redefine the market with their powerful offerings priced attractively,” Mathur said.
Another interesting highlight of the report is that most (59 per cent) of the new handsets were priced between ₹5,000 and ₹15,000 (budget segment), compared with 46 per cent in 2013. New brands such as Motorola, Xiaomi, Asus and OnePlus have made the market more competitive. Also, 60 per cent of all smartphones launched in 2014 were powered by quad-core and above processors, the report added.
“Offerings from brands such as Xiaomi, Motorola, Lenovo and Asus started providing the reliability of higher-end devices within this price range. Such devices also allow consumers to opt for faster upgrade cycles instead of buying ₹40,000 plus phones and using them for a couple of years to get the full value,” Mathur said. Asked about the projected trend in 2015, Mathur said online shopping is set to boom.
In addition to shopping, more and more people are researching online for their gadget purchases, even if they plan to buy them offline.
Online shopping“A large part of the growth in online consumption is likely to come from rural areas, and is interestingly driven by the growth of quality budget smartphones that can empower anyone in a rural area to come online with relative ease, and at an affordable price,” Mathur added.