Indian Smartphone sell through
mechanism is again taking a U turn towards the retail segment. It is a known
fact about Indian consumer that they love to get attracted towards the discount
and never loses that opportunity. The sudden growth in online segment fueled by
investor money and subsequent rush by those online players to attract userbase landed
many International as well as domestic Smartphone companies to mint out the
sell. The Online industry also understood it well that Mobile Smartphone and
accessories is one of the area which will bring user onto their portal and it
happened.
The international players more
specifically tapped Online companies to enter into Indian market as well as to
grab the market share without losing anything. On a contrary, Online companies
lost millions of $ to gain as well as retain the userbase.
The slide in online companies
funding forced them to reduce the discounting which is now reflecting in their
market share going down to 31% from 37 % as per 91mobile.com published report. Companies like One plus,
LeEco, Cool pad, lenovo, In Focus and host of other companies heavily relies on
Online companies like Flipkart, Amazon, Snap Deal as well as smaller player for
the major chunk of their sale through exclusive launch of their Smartphone
through mentioned E-Commerce portal. The
reduction is discounting will neutralize the E-Commerce portal based pricingwith retail pricing.
It is evident that in coming
months, Smartphone player's relying heavily on E-Commerce portal will see
drastic fall in their sell and it may lead to recalibration of market leaders
to laggards