NEW DELHI: The share of 5G phones (by shipments) in the India smartphone market reached 31-43% in Q1 2023 riding on the upgradation of devices, according to the data released by market trackers.IDC said that the share of 5G smartphones increased from 31% in 1Q22 to 45% in 1Q23, led by Samsung. Counterpoint separately said that 5G smartphones’ contribution grew 23% year-over-year to reach 43% in the January-March quarter of 2023 as consumers kept upgrading to 5G devices.
“5G smartphones continue to increase penetration in the low-end price segment and we should expect a strong 5G play in the $150<$300 segment in 2H23 as high-end 4G models vacate the space,” said Upasana Joshi, Research Manager, Client Devices, IDC India.
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As per both IDC and Counterpoint, Samsung led the 5G smartphone shipments. According to Canalys, Samsung has been efficient with its fast-moving model placement in the offline space, and in Q1 2023, it was the new 5G-capable A-series.
The average selling price (ASP) reached an all-time high of $265 (~Rs 21,600) and the share of higher-priced smartphones ($600+) increased to 11% compared to 4% a year ago, as per IDC.
Shipments in the India smartphone market fell an unprecedented 16-20% in Q1 2023 to around 30-31 million units due to sluggish consumer demand, high inventory pile-up from the second half of 2022, growing consumer preference for refurbished phones, and pessimistic channel view of the market.
According to IDC, Samsung climbed to the No.1 rank after more than five years supported by the launch of affordable 5G smartphones and the Galaxy S23 series, followed by Vivo and Oppo (including OnePlus), whereas Xiaomi slipped to the fourth slot in the January-march quarter of 2023.
India Smartphone Market, Top 5 Companies, Shipments in Millions, Market Share, Year-over-Year Growth, 1Q23 – Preliminary Estimates |
|||||
Company |
1Q23 Shipments |
1Q23 Market Share |
1Q22 Shipments |
1Q22 Market Share |
Year-over-Year Unit Change |
1. Samsung |
6.2 | 20.1% | 7.0 | 19.0% | -11.4% |
2. vivo |
5.4 | 17.7% | 5.5 | 15.0% | -1.1% |
3. OPPO |
5.4 | 17.6% | 4.5 | 12.3% | 19.6% |
4. Xiaomi |
5.0 | 16.4% | 8.5 | 23.4% | -41.1% |
5. realme |
2.9 | 9.4% | 6.0 | 16.4% | -52.2% |
Others |
5.8 | 18.8% | 5.1 | 13.9% | 13.9% |
Total |
30.7 | 100.0% | 36.6 | 100.0% | -16.2% |
Source: IDC Worldwide Quarterly Mobile Phone Tracker, May 2023, Preliminary Data |
India smartphone market shipments in Q1 2023, according to Counterpoint Research and Canalys, respectively:
However, Samsung’s shipments declined 11.4% year-over-year, Xiaomi suffered a decline of 41.1%, and Realme’s shipments fell the highest at 52.2% pushing it to the fifth rank in 1Q23, IDC’s data shows. Oppo was the only brand to grow at 19.6%.
IDC has projected flat growth for the India smartphone market in 2023. By contrast, Canalys expects a modest growth. Counterpoint expects a return in growth in the second half of the year owing to faster 5G upgrades, easing macroeconomic pressure and festive season.
“The second half of the year can bring some growth if brands bring attractive festive offerings across the channels to drive affordability. This can be facilitated by consumer optimism on the back of Cricket World Cup (hosted by India), a few key state elections, followed by Union elections in 2024,” said Navkendar Singh, Associate Vice President – Devices Research, IDC.
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