Xiaomi, which is just a little over three years old in the Indian smartphone market, has achieved an amazing feat of squaring level with long-reigning leader Samsung.
According to IDC (International Data Corporation), Xiaomi and Samsung are joint leaders of the Indian smartphone market with 23.7% share. Thanks to pre-Diwali sales on brick-and-mortar stores and online shopping festivals hosted on e-commerce sites such as Amazon, Flipkart and others, both the brands registered record shipments.
Despite Xiaomi's strong fight, Samsung broke a personal record in the third quarter (July-September), as it registered 39% sequential growth Quarter-over-Quarter (QoQ) and 23% year-on-year (YOY). Galaxy J2, Galaxy J7 Nxt, and GalaxyJ7 Max were the key models that contributed to almost 60% of Samsung's volume.
On the other hand, Xiaomi recorded overwhelming shipments compared any other brand by a long mile. Xiami tripled its shipments YOY and doubled QoQ in 2017Q3 as it shifted to focus on improving the traditional channel for marketing its products. Redmi Note 4, which made its official debut in January, continues to be the best-selling smartphone in India as Xiaomi shipped approximately four million units in this quarter.
Even the budget Redmi 4 and entry-level Redmi 4A series too contributed to the Xiaomi's triumph. International Business Times India reviewed all the aforementioned three devices and they were best in their respective classes; they had best configurations and cost-effective price-tags making them the go-to phones for price-conscious salary class consumers and college goers, who form the biggest chunk of the Indian population.
Also read: Xiaomi Redmi 4A review: Best entry-level smartphone for those migrating from feature phone
"Within three years of our entry into the Indian market, we have been able to achieve a never-seen-before feat of market dominance. As far as we are aware, we are the first brand across all sectors to have become a market leader within such a short span of time. Xiaomi's focus on providing innovation to everyone and our commitment to the Indian market have propelled us to success on this incredible journey. We have truly innovated across our products, business model, infrastructure, marketing methods and, combined with our efficient team of 350+ employees, we have been able to achieve this immensely significant milestone," Manu Jain, Vice President, Xiaomi and Managing Director, Xiaomi India, said.
The third quarter also brought Lenovo (and Motorola) back to reckoning, which had fallen off the top 5 leaders board for last two quarters. Its shipments to grew 83 percent over the previous quarter and now enjoys market share of 9%.
Vivo and Oppo, which have made huge presence in the brick-and-mortar retail chains in India, were worst hit by the entry of Xiaomi in the offline channel. They had a healthy growth of 153% and 81% YoY growth, but are placed fourth and fifth position with 8.5% and 7.9% market share, respectively.
"In the coming few quarters, both Samsung and Xiaomi would need to further strengthen their channel play and significantly differentiate their products on technology and quality to sustain and fight for leadership in this hyper competitive smartphone market," Upasana Joshi, Senior Analyst, IDC India, said in a statement.