Micromax jumps back to the top five brands for the first in two years: Counterpoint

According to a new report by research firm Counterpoint, domestic handset maker Micromax has made a comeback to the top five brands for the first in two years.

Micromax, along with Reliance Jio, has won an order from the Chhattisgarh government under which it will be the sole supplier of five million smartphones to be distributed to the women and students in the state, Counterpoint noted.

However, shipments are likely to decline following completion of the order, it said.

While India smartphone shipments during the July-September period of this year grew 24 percent sequentially and five percent year-over-year and the top five brands captured 77 percent share of the total smartphone market during the quarter.

Karn Chauhan, Research Analyst stated, "India is already the second largest smartphone market in the world after China; it exceeded 400 million smartphone users in June. Nevertheless, the market is underpenetrated relative to many other markets. As a result, top brands are expanding their reach in the country in a bid to acquire more customers and sustain growth. The success of new brands, like Realme, highlights the fact that the market still offers growth opportunities to new players if they have the right mix of market-entry strategies."

Chauhan noted that "Four of the top five brands recorded their highest ever shipments in a single quarter. The volume growth happened in the mid-tier due to the consumers steadily migrating toward higher price points. The $150-$250 segments contributed to almost one-third of the volume during the quarter as many new products are launching at this level."

The research firm also pointed out that Chinese smartphone maker Xiaomi dominated India smartphone shipments in the third quarter of this year.

Xiaomi recorded its highest ever shipments in India in a single quarter driven by the new Redmi 6 series and expansion in offline channels, was followed by Samsung, Vivo Micromax, and OPPO, Counterpoint said.

Meanwhile, OPPO shipments also increased during the quarter driven by refreshed product lines, notably the F9 series.