Mobile Phone Retailers Warns Smartphone Players To Stop Online Discounts: Report

Smartphone makers are offering many discounts through online platforms, which are actually affecting the business of offline retailers. As a result, retailers are demanding all leading smartphone players to stop offering huge discounts through e-commerce players.

In fact, retailers' body All India Mobile Retailers Association (AIMRA) has informed Samsung, Xiaomi, and OnePlus that they will reduce the margins and likely to boycott all the three brands. "We feel the time has come for brands to take our issues seriously, else retailers/associations will not fear to boycott the brands. We are not in favor of force but if the current scenario demands it, we shall not withdraw," AIMRA president Arvinder Khurana said in a letter to smartphone players.

On the other hand, both Oppo and Vivo have assured retailers that they will launch the same products for both online and offline platforms at the same price. Realme has also joined the wagon and said that they will do the same. However, leading players has not given any assurance to the retailers.

"The existing e-commerce policy prohibits exclusivity, but the brands have worked around it by continuing to roll out exclusive models. We are pressing the government to plug these loopholes, stop online predatory pricing, and set up a regulatory body to ensure the policy has complied," Arvinder Khurana was quoted by Economic Times.

The retailers' firm also held a national convention in Delhi to raise their voices against this discrimination. "This only goes to show the abysmal state of business across the country...November and December 2019 registered the worst business seen in 15 years," Khanna added.

Despite the fact, that retailers are raising their voice against this action by the device makers. Amazon has announced offers on Xiaomi, Apple, Vivo, OnePlus, Oppo, and Samsung products during its Great Indian Sale. Amazon said that there 10 percent discount with SBI credit cards.