OnePlus leads in the premium segment
Madhav Chanchani | TNN
Bangalore: Chinese smartphone player Oneplus It has become the leader in the general category of premium smartphones (phones over 30,000 rupees), taking control of the market dominated by major Americans Apple and from Korea Samsung for the last two years. Oneplus had 33% market share in 2019, while Samsung trailed with 26% and Apple with 25%, according to data from Research.
Chinese smartphone marker Xiaomi (28% share), along with three brands owned by BBK Electronics — Vivo, Realme and Oppo (combined share of 35%) — already rule the overall smartphone market as they focus on the budget segment competing with the likes of Samsung (21%). Oneplus is also part of BBK Electronics, which lets its brands operate independently with separate teams.
“Given that a large share of the consumer segment in India still remains heavily offline based, we are working towards extending Oneplus ’ unique premium brand experience to retail customers through Oneplus Experience Centers, which have played a crucial role in the brand’s growth,” Oneplus founder told TOI. The company plans to expand the total number of Oneplus stores from 30 to 100 by end of the year, as it looks at the offline segment to drive further growth. It also has a presence in another 2,000 stores through retail partners.
While India's overall smartphone market has experienced slow growth from 10% in 2018 to 7% in 2019, the premium smartphone segment is growing faster. While the ultra premium segment, smartphones of more than 45,000 rupees, grew at a record rate of 63% in part due to the increase in iPhone shipments, the premium segment also experienced a growth of 29%. This comes at a time when India has become the second largest smartphone market in the world, after China. It surpassed the USA. UU. In 2019. With around 158 million smartphone units shipped in 2019, India exceeded shipments of 153 million US. UU. By a margin of 5 million, even while China experiences a decrease in shipments, according to Counterpoint.
Oneplus said that it shipped over 2 million smartphones in 2019 in India, helped by increasing new launches and entry in the ultra-premium segment. According to its India head Vikas Agarwal, 20% of the demand for its products came from users shifting from iPhones to Android OS. The country accounts for a third of the revenues for the brand, which has also made India an R&D hub, which it plans to scale up from 250 employees to 1000 in the next 2-3 years.
“Apart from being the largest market for Oneplus , India also has the most vocal user-base. India has always exceeded expectations and we have undertaken several India-first initiatives,” added Lau, pointing to Oneplus TV and operating system features.