High Inflation, Economic Slowdown Hits Indian PC Market; Sales Decline by 5.9 Percent

By : Subscribe to IBTimes's | November 29, 2012 1:35 PM IST

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PC market declines in India (Infographic: Gartner)

The overall sale of desktops and laptops in India has gone down in the third quarter of this year as compared to last year, recent data showed.

According to market research firm Gartner Inc, India's mobile PC market, which totalled nearly 2.9 million units in the third quarter of 2012, recorded a fall of 5.9 percent during the corresponding period last year.

"Consumers accounted for 47 percent of total PC sales in the third quarter of 2012 compared to 55 percent in the third quarter of 2011," said Vishal Tripathi, principal research analyst at Gartner.

"This emphasises the fact that despite the festive season and availability of various end user schemes on PCs, the market was impacted by high inflation, global economic uncertainty and limited share of wallet as consumers preferred to spend on other consumer durables," he added.

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In the third quarter this year, parallel imports and white boxes which accounted up to 47 percent of the whole desktop market showed a decline of 35 percent as compared to the same period of the previous year. Mobile PCs helped drive overall market growth with a similar 23 percent growth on a year-on-year basis.  
Lenovo retained the top position in the third quarter of 2012 with help of factors like the execution of the Tamil Nadu government order, and a strong increase in the consumer space. While HP's PC shipment grew around 10 percent, Dell declined 22 percent compared to the third quarter of 2011. 

For local vendor's like HCL PC market share declined to 3.4 percent in the third quarter with a 43 percent year-on-year decline from the third quarter in 2011. Acer, Dell, HP and Lenovo represented around 60.6 percent of the market.

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