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New Delhi: The sale of
mobile devices in India is likely to increase by 8.5 percent to
reach 231 million units in 2012 as against 213 million units in
2011 owing to multiple players offering low-cost options, a study
said Tuesday.
"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," said a study by research and advisory firm Gartner
Inc.
"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," it
added.
According to the research firm, the Indian mobile device market is
very competitive with more than 150 manufacturers selling devices
to consumers.
While most 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," he
added.
India, accounting for approximately 12 percent of worldwide sales,
is an important market for device manufacturers, with aspirations
to grow their global market share.
Due to its sheer size and open market which allows the mobile
devices to be sold independently of cellular connection, it has
attracted many global mobile device manufacturers. Manufacturers
also are competing against many brands in the black markets who
are selling without invoices.
"The entry of Indian mobile handset players focusing on low-end,
value conscious consumers has intensified competition in the
Indian mobile device market. The average selling price of a mobile
device is approximately $45, with 75 percent of devices sold
costing below $75," Gupta said.
"Smartphone sales in India made up six percent of total device
sales in the first three quarters of 2011, and this share is
expected to increase to eight percent in 2012," he added.
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