As Chinese Players Increase Their Dominance Over the Indian Smartphone Market, Micromax Hopes to Regain Some of Its Lost Glory
A silent revamp has been in the works at Micromax over the past few months. Its market share had eroded significantly from 19.1% in 2014 to 5.3% in March 2017, pulling down the company from its erstwhile number two spot and out of the top five selling smartphones brands in the country. On the other hand, Chinese players who were nowhere in the picture in 2014-15, today make up for around 43% of the smartphone market according to research by Counterpoint Technology Market Research. A strategy overhaul was definitely overdue.
Micromax, currently in sixth position in list of smartphone manufacturers by market share, is now looking to reclaim some of its lost glory through new product launches and a dual brand strategy that helps them address all segments in the smartphone category.
BRAND MAKEOVER
During its initial years, Micromax had been on a dream ride. Kicking off in 2000 as distributors of leading mobile phone brands, the company reinvented itself as a mobile phone manufacturer in 2010. In just a matter of four years, it saw itself taking on giants such as Samsung. In Q2 2014, the homegrown brand overtook Samsung in becoming India’s leading mobile phone maker with a market share of 16.6% as against Samsung’s 14.4%. In the smartphone segment, the company was in the second position, right after Samsung.
However, the infiltration of multiple Chinese players like Vivo, Xiaomi, Lenovo and Oppo in the market has tipped the balance against Micromax. This has been largely enabled by the data overhaul spearheaded by Reliance Jio and the exponential adoption of 4G across the country. While the Chinese had their 4G handsets ready, Micromax still had its 3G and 2G stocks to be sold. And by the time Micromax emerged with its 4G range of phones, its competitors had already race ahead capturing a large chunk of the market.
This story is from the July 07, 2017 edition of Outlook Business.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 8,500+ magazines and newspapers.
Already a subscriber ? Sign In
This story is from the July 07, 2017 edition of Outlook Business.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 8,500+ magazines and newspapers.
Already a subscriber? Sign In
THE JOY OF ADJUSTING A LITTLE
Partha DeSarkar, executive director and CEO of Hinduja Global Solutions, not only advocates making small adjustments but also taking oneself less seriously to remain happy
MONEY PLANT
Firms are popping up to help people and companies plant saplings. Reasons for this green consciousness range from earning carbon credits to a desire to fight deforestation
AI'S NEW PORN POSITION
Deepfakes and artificial intelligence-generated images have breathed new life into the porn industry. Celebrities have become the latest victims and revenge porn is on the rise
HOUSE OF CARDS
At 8.4%, India’s GDP surpassed the expectations of analysts of almost all dispositions. But are GDP numbers hiding a bleaker story? It is not just the missing private money, there are more devils in the story
'Markets Can See More Price Correction in the Coming Quarters'
Sunil Koul, executive director Asia Pacific portfolio strategy, global macro research) at Goldman Sachs, in an exclusive interview with Ayaan Kartik and Neeraj Thakur, talks about the valuation situation in India and how foreign investors are looking at increasing their bets in the equity markets
MARKETS, RETAIL INVESTORS TANGO TO NEW HIGHS
As more investors enter the markets, the palette of investing style becomes more colourful. Each investor brings in their own biases, impulsive actions and assumptions to the markets.
GREED OVER FUNDAMENTALS: THE INVESTOR'S FOLLY
In her address at the fifth SEBI-NISM research conference on March 12, 2024, Securities and Exchange Board of India (SEBI) chief Madhabi Puri Buch expressed her concerns about the valuation froth in the mid- and small-cap space.
WINNING THE GAME OF BULLS AND BEARS
While retail investors rushed to make hay as smalland mid-cap stocks shone at the bourses, institutional investors stayed away, guided by traditional wisdom that warned them against the exuberance in the stock market. The mid-March crash, dominated by the smaller segments, proved their point
DELIRIUM IN THE MARKETS
Market regulator SEBI says there is froth” in the mid-and small-cap stocks; banker Uday Kotak says there is no bubble. Caught in this cross-current are traders in small towns who are betting heavily in risky derivatives. What is next for the turbocharged Indian markets and what of the retail investors rallying behind it?
Dynamic Women Achievers
Discover the vibrant narratives of dynamic women achievers breaking barriers and reshaping the landscape across diverse fields. From trailblazing entrepreneurs to influential thought leaders, this article celebrates the resilience, innovation, and impactful contributions of women who defy norms, inspiring a new era of empowerment and progress.