According to a new study revealed by Gartner, mobile device sales in India are forecast to reach 231 million units in 2012, an increase of 8.5 percent over 2011 sales of 213 million units. The mobile handset market is expected to show steady growth through 2015 when end user sales will surpass 322 million units.
The Indian mobile device market is very competitive with more than 150 manufacturers selling devices to consumers. While most of the local and Chinese manufacturers have remained focused on low cost devices, some manufacturers have built capabilities to deliver smartphone devices and even ventured into other global markets.
“The big global brands will continue to face competition from local and Chinese brands as some of these brands are building capabilities to compete at a larger level covering broader consumer segments,” said Anshul Gupta, principal research analyst at Gartner. “G’five, Karbonn Mobile and Micromax occupied third, fourth, and fifth positions after Nokia and Samsung in the third quarter. “
“The entry of Indian mobile handset players focusing on low-end, value conscious consumers has intensified competition in the Indian mobile device market. he average selling price (ASP) of a mobile device is approximately $45, with 75 percent of devices sold costing below $75,” said Mr. Gupta.” Smartphone sales in India made up 6 percent of total device sales in the first three quarters of 2011, and this share is expected to increase to 8 percent in 2012”
India, accounting for approximately 12 percent of worldwide sales, is an important market for device manufacturers. Mobile manufacturers also are competing against many brands in the black markets who are even selling without invoices. The Indian mobile device market is driven by the lowest call rates in the world and dominated by low-cost devices, which account for 75 percent of overall sales in India in 2011.