India Smartphone Industry Grew 23% in Q1; Xiaomi Leads

India’s smartphone shipments grew by a robust 23 percent in the first quarter of calendar year 2021 at over 38 million units, the latest research report by Counterpoint’s Market Monitor has said. This was the highest ever first quarter shipment in the country which was boosted by new product launches, promotions and financial schemes, as well as pent-up demand from last year.

Counterpoint, however, warned that the second wave of COVID, which is stronger and more intense than the first, may dampen demand in the foreseeable future.

Chinese smartphone brand Xiaomi led from the front retaining its number one position even though it suffered a 5-percentage-point drop in marketshare from 31 percent in Q1 2020 to 26 percent. Still, the company that had lost its pole position in the third quarter of 2020 in the wake of heightened anti-China sentiment in the country, was comfortably ahead of Samsung – its nearest rival. In outright terms, Xiaomi logged a 4 percent volume growth during the quarter.

In Q3 of last year Xiaomi had seen its share shrink by 3 percentage points to 23 percent which enabled Samsung to pull ahead for the first time in 2 years at 24 percent. The lead, however, did not last. As the anti-China sentiment waned, Xiaomi once again pulled ahead in the very next quarter with a market share of 26 percent.

The South Korean consumer electronics giant Samsung nevertheless registered the largest volume growth of 52 percent during the period improving its share from 16 to 20 percent thereby moving ahead of Vivo. Samsung’s growth was driven by its focus on the budget segment with the new M02 series and multiple other launches. It refreshed its A-series with the A32, A52 and A72, and the M-series with the M12.