The high-end smartphone market in India is expected to grow by 19 percent in 2016 compared to 15 percent in 2015, said the latest report from CyberMedia Research (CMR).
Among the 163 smartphone brands available for the Indian market, only 19 brands are shipping smartphones in the high-end price range, i.e from Rs 20,000 and above in 2015, representing the high entry barriers faced by other brands and the brand loyalty enjoyed by incumbent brands in this segment, the report said.
Contrary to the above, below the 20K band, 46 brands are shipping smartphones and 153 brands are shipping handsets below the 10K band.
In 2015, Samsung and Apple increased their market share in the high end range to 44 percent and 27.3 percent, respectively while Sony, HTC and LG market shares came down.
OnePlus stood out as the only emerging brand to make it to the list of top five in the same price band in 2015.
“Post 2013, we saw smartphones booming in India and a fair installed base is now ready for replacement and our observation is that approximately 70% of the users would go for an upgrade to a higher end Smartphone rather than replacement in the same price segment. The upgrade is in terms of functionality, feature set and of course the price,” said Faisal Kawoosa, Lead Analyst, Telecoms, CMR.
The report further enlists that the high-end smartphone market will also be facing variations after the launch of many emerging brands.
While Samsung and Apple are expected to continue their hold over this segment, CMR conveys expectations from young brands such as Gionee, Huawei, Vivo and Lenovo to create commendable inroads.
Also, OnePlus will be prominent in the crowd of these emerging brands and can even enter in to the top 3 brands in this price segment, with its price tag being the key plus. In addition, OnePlus 3 has gathered rave reviews, online only business model presence and strong presence in highly active tech community that helps it grow organically through word of mouth.
The report adds that from the upcoming feature trend, Virtual Reality is expected to be high on the agenda of several high-end Smartphone brands.