Jio and Xiaomi beats Samsung in Devices market

Alyssa Bailey
January 26, 2018

"Xiaomi disrupted the status quo with an aggressive priced broader portfolio with effective channel expansion strategy", said Tarun Pathak, associate director at Counterpoint Research, adding that the Chinese phone maker upstaged the market leader Samsung for the first time in a quarter, in six years. Even though the annual growth of Samsung is pegged at 17%, the company had crossed 7.3 million smartphones to occupy the second spot. Vivo, Oppo and Lenovo rounded out the top five. "As Xiaomi's market share reaches saturation point in India, and the market continues to shrink in China, it must contend with slower growth for its smartphone business as it begins to expand in other countries".

"Xiaomi's persistence has paid off", said Ishan Dutt, Canalys Research Analyst. Counterpoint Research also reported similar numbers with Xiaomi capturing 25 percent of the market share and Samsung holding on to 23 percent. Samsung India VP Asim Warsi backs up that statement with data from German analytic firm GfK, stating that shipment figures don't tell the whole story, as a percentage of company shipments may not get to end users but end up on store shelfs.

Chinese brands have disrupted the competitive landscape of India's smartphone segment in the a year ago, according to Tarun Pathak, associate director at Counterpoint.

Responding to the report, a Samsung's spokesperson claimed, "the company is still the number 1 smartphone company by a distance". It will be interesting to see what will happen in 2018, as the changes from Q4 2016 to Q4 2017 are staggering, at least in Xiaomi's case.

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Xiaomi has given special focus on localization, channel strategy, marketing and products to win customers over Samsung.

India recently stumped the USA to become the world's second-largest smartphone market, after China, with over 40 million units shipped with 23 percent yearly growth in the Q3,2017.

Experts attributed Xiaomi's growth to its impressive product portfolio in the sub Rs. 15,000 smartphone segment which also forms the bulk of smartphone sales in the country. Hence, both vendors occupy 50% of the overall market share. Overall, Samsung shipped more smartphones than Xiaomi did in India during the entire year of 2017, Counterpoint said.

Samsung, which has assumed the tentpole position among smartphone makers for years in the country, refuted the findings by Canalys and Counterpoint Wednesday evening. For Samsung, the most popular handsets during the period between October and December previous year were Samsung J2 2017 and J7 NXT, the marketing firm said.

Other reports by GlobalViralNews

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