The under Rs 10,000-smartphone segment is expected to grow 44 per cent this year, constituting 70 per cent of the market, a CMR report said.
According to the research firm, smartphone shipment in the country is expected to grow to about 130 million handsets this year from 97 million last year by 163 brands.
“The entry-level or sub-Rs 10,000 accounted for 75 per cent of the market in calendar year 2015 with 153 brands shipping in the price bracket,” it said.
For 2016, the segment is forecast to constitute about 70 per cent of the estimated 130 million shipment (91 million), it added.
“The sub-Rs 10,000 segment is expected to grow at 44 per cent, driven by consumers upgrading from feature phones to smartphones,” the report said.
The mid-tier segment (Rs 10,000-20,000 bracket) is expected to remain flat compared to the de-growth in previous year and account for 13 per cent of the market.
The report said the mid-segment accounted for 18 per cent of the Indian market last year with 46 brands shipping in the price bracket.
The high-end category (devices priced Rs 20,000 onwards) occupied 7 per cent of the market in 2015 with products from 19 brands.
“The above Rs 20,000 segment is expected to grow at 19 per cent in 2016 compared to 15 per cent in previous year. This segment is expected to gain significance as smartphone upgrade becomes main driver of growth for overall market,” it said.
The premium devices are forecast to account for 6 per cent of the market or about 7.8 million units in 2016.
Source: financialexpress.com