The Indian smartphone market recorded its highest shipments ever with 169 million units in 2021, according to a report by Counterpoint Research.
Preliminary data from Counterpoint Research’s Market Monitor service indicates that smartphone shipments in India topped 169 million units in 2021 to record 11% year-on-year growth from around 152 million units in 2020.
The market has shown great resilience in a year that has seen a more virulent second wave of COVID-19 as well as supply disruptions and price increases due to ongoing component shortages, a he added.
The report said increased adoption and demand for 5G smartphones was one of the key drivers for high shipments in 2021.
5G smartphones contributed about 17% of global shipments in 2021, registering 6x growth compared to 2020, he added.
“Intense competition among OEMs, the availability of cheaper 5G chipsets, and falling prices for 5G devices will allow brands to push more 5G devices to market. The price of entry-level 5G devices has fallen by 40% in the past six months. The increase in accessibility of 5G devices has been one of the main reasons for the high adoption of 5G smartphones,” he noted.
Consumer demand has remained high in the upper price brackets (above Rs 30,000) in 2021, with shipments in these price brackets increasing by 98% YoY.
The under Rs 10,000 category – which accounted for 30% market share – fell by 5%, while the Rs 10,000-20,000 segment (47% share) increased by 8%. The Rs 20,000-30,000 (13%) level has increased by 95%.
Retail ASP (average selling price) also showed strong growth, rising more than 13% year-on-year, Counterpoint said.
“A high installed base as well as high replacement demand coupled with the increasing affordability of high-end devices has led to the strong growth of the high-end segment.
“Going forward, we expect the market to continue to grow by double digits with a healthy contribution from mid- to high-end 5G smartphones. The Indian smartphone market continues to offer great opportunities for multiple players to grow and co-exist,” he added.
(Only the title and image of this report may have been edited by Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)