Smartphone sales clock record growth in Q4
The fourth quarter of year 2020 saw record sales of smartphones in India at 45 million units. However, for the year as a whole, the smartphone market de-grew 1.7 per cent—the first decline after several years of runaway growth. But the online channel continued to grow even during the pandemic-hit year.
According to global market intelligence firm IDC, the October-December quarter posted record fourth-quarter smartphone shipments of 45 million devices, growing 21 per cent over the same quarter in 2019.
A total of 150 million smartphone units were sold in 2020, which was 1.7 per cent less than what was sold in 2019. Stay-athome mandates, remote work, remote education, travel restrictions and manufacturing shutdowns led to a sluggish H1'20, which saw a 26 per cent decline over the same period in 2019.
However, H2'20 recovered with 19 per cent growth as markets reopened gradually. Lockdowns and restrictions rendered an urgent need for devices supporting activities such as entertainment, work from home, and remote learning, resulting in more devices per household, and leading to a resurgence in demand for consumer devices including smartphones, consumer notebooks, and tablets in 2020.
The online channel outpaced the overall market, growing by 12 per cent annually, with a 48 per cent market share in 2020. The segment clocked a record 51 per cent share in 4Q20.
Further, the market saw 5G smartphone shipments crossing 3 million in 2020, with Chinese OEMs rolling out aggressivelypriced devices. But adoption was limited due to higher prices and the lack of a 5G network.
Xiaomi continued to lead the smartphone market in volume terms with a market share of 27 per cent. But the brand registered a 6 per cent drop in sales .
Samsung held 20 per cent market, but sales declined by 4 per cent. Online channel registered strong 65 per cent growth, while the offline channel shipments declined by 28 per cent.
Vivo in the third slot with 18 per cent market share, recorded growth of 12 per cent. Realme too grew by 19 per cent and held a market share of 13 per cent.