Indian Mobile Device market is
witnessing major dynamic shift. Most of the device manufacturer are focusing on
Smartphone and invest millions of $ in advertisement to promote their device
whereas plays out with very low operating margin.
Post "Make for India"
initiative initiated by Government of India, most of the domestic and
international device manufacturers opened their factories or bought the
assembly line from existing manufacturers
to ensure that they get the benefits announced by the government.
Indian Smartphone sell just
crossed 100 million per annum which is only 10% of the total wireless user
whereas command round 36% of the total device shipped in an year. It is
interesting to note that there are more than 150 known and unknown Smartphone
players operating in India and strongly feel that feature phone user will
eventually move to Smartphone.
In my point of view, Smartphone
players should correlated the earning dynamics of Indian population including
poverty. They should also consider the average balance on normal device user
and one will be surprised that it is even less than $1.
In a rush to capture Smartphone segment,
most of the players are not monetizing feature phone or not investing in new
features attached with Feature phone except some of the VAS player who provides
games and WAP service. The Common comment from all that feature phone is having
space constraint but if they want they can remove that constraint.
In any circumstances if Device
manufacturer wants to make their venture successful then they must focus on
feature phone and should also consider creating virtual VAS center.
How it can be done is simple and
for that one should invest research $.
