iPhone-maker Apple marked 2023 as the primary yr when it topped the smartphone market income chart in India, stated a report by market researcher Counterpoint India on Wednesday. Two trade officers who seek the advice of a number of smartphone manufacturers stated that Apple’s India income from iPhones fell simply wanting the $10 billion mark, however was sufficient to topple Korean electronics model Samsung’s long-duration stronghold on being the chief when it comes to income from smartphone gross sales in India.
Apple’s document smartphone income is available in a yr of continued lack of enthusiasm amongst customers in direction of smartphones. Counterpoint’s report stated that shipments of smartphones in India remained flat by 2023 at 152 million items. Apple, compared, shipped greater than 10 million iPhones for the primary time, rising at over 50% year-on-year (YoY).
Mint had reported on 30 October that Apple had led India’s smartphone market by income within the first half of 2023, and after sturdy festive interval gross sales, was on observe to prime the smartphone market income by approaching the $10 billion mark in 2023.
“Apple continues to see sturdy shopper demand, and is prone to preserve a powerful double-digit cargo progress in CY24 as properly. As compared, the general smartphone market may see a small 5% YoY progress by this calendar yr—though a lot of this may depend upon how international macroeconomic situations play out by the remainder of this yr,” stated Tarun Pathak, analysis director at Counterpoint.
This market share for Apple comes off the again of a number of consecutive quarterly income information from its iPhone gross sales in India. On 4 November, Mint reported that Apple, in its September quarter earnings, disclosed its sixth consecutive quarterly income document—with its volume-wise market share crossing 6% for the very first time. Pathak stated that Apple is prone to be the sixth hottest model in India, with a 6.6% market share when it comes to shipments on the finish of 2023.
Apparently, Apple is projected to have pipped Samsung for the highest spot when it comes to income with virtually one-third of Samsung’s whole cargo quantity—whereas Apple is alleged to have shipped simply over 10 million iPhones final yr, Samsung shipped over 27.3 million to seize 18% of the market. Nevertheless, Apple’s common promoting value (ASP) is 3x that of market chief Samsung—compared to a $950 ( ₹78,000) per-device value for Apple, Samsung’s ASP is round $350 ( ₹29,000).
Samsung, on its half, can be pushing for extra premium units available in the market. Nevertheless, Pathak stated that Samsung’s bulk market share within the sub- ₹20,000 finances value ranges has significantly declined, which has contributed to Apple overtaking it when it comes to annual income.
The rise of demand for iPhones in India is prone to proceed within the short-term, as a number of financing choices, bank-linked reductions and robust resale programmes supplied by organized refurbished smartphone sellers are boosting gross sales of premium smartphones in India. Trade consultants count on this progress to maintain for 3 calendar years, earlier than Apple’s double-digit progress tapers off.
Navkendar Singh, affiliate vice-president at market researcher IDC India, informed Mint in October final yr that as a result of its excessive ASP, Apple is prone to hit a glass ceiling—past which it could battle to proceed promoting incrementally larger iPhones yearly in a value-conscious market.
The iPhone, nonetheless, has been extra important for India than simply consumer-end gross sales. A 21 January report by trade physique, India Mobile and Electronics Affiliation (ICEA) stated exports of Apple’s made-in-India iPhones crossed $7 billion in worth on the finish of December 2023—contributing practically 70% of all cell phone exports, and round 35% of all electronics exports from India on the finish of final yr.
On Tuesday, the Centre additional slashed import obligation on cell phone spare elements from 15% to 10%—a transfer that consultants stated may additional increase the native smartphone part ecosystem. Such strikes could additional generate elevated worth addition for India’s meeting ecosystem, which might acquire from extra localized machine assembling going ahead.
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Revealed: 31 Jan 2024, 07:15 PM IST
