India had emerged as a rising star in the world of mobile phones. Companies from all over the world are setting up factories to sell mobile phones in India. But the report related to the sale of mobiles has put everyone in trouble. Smartphone sales in India fell 27 percent to 29.6 million units in the fourth quarter (October-December) 2022 from 40.6 million units in the same quarter last year.
Market research firm IDC said in a report on Friday that this drop was mainly due to inflationary pressure. According to the report, weak consumer demand due to high inflation remained a challenge throughout the year despite improvement on the supply side. The report says that in 2022, sales of smartphones in the category around Rs 25,000 ($300) will fall by 15 percent, while sales of smartphones between $300-500 and over $500 ($ 41,000) will decrease by 20 and 55 percent, respectively. The percentage increased.
The share of entry-level smartphones (priced below Rs 12,500) in the overall mobile market is expected to decline from 54 percent in 2021 to 46 percent in 2022. Upasana Joshi, Research Manager, Mobile Devices consumer, IDC India, said the lack of new mobile devices in the $150 (Rs 12,000) category has restricted growth in the category.
According to Navkendar Singh, associate vice president of equipment research at IDC, rising prices and inventories will continue to be an issue in the first half of this year. A total of 201 million mobile phones are expected to be sold in the year 2022, representing an annual decline of 12 percent. Xiaomi remained on top with a market share of 18.6 percent and 38.3 percent, respectively, on a quarterly and year-over-year basis. However, the company’s sales were down 38.3% in the December 2022 quarter and 25% year-over-year.
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