Zee Media Bureau
Bangalore: Smartphone adoption in the country in India is at the cusp of digitization, mainly driven by mobility, a report by released by management consulting firm Zinnov, said on Thursday.
Zinnov, in a study titled “India Smartphone Market: Witnessing Exponential Growth”, brought to light the various factors that are propelling the smartphone adoption at an exponential pace in India.
The study said that approximately 81 million smartphones were shipped in the year 2014, making it a 51 percent quarter-on-quarter growth.
Smartphones are already outpacing the growth of feature phones and are expected to show a massive 36 percent CAGR over the next 5 years making it to the 651 million mark by 2019.
The unstoppable surge of smartphones in India continues with 29 percent of urban population with a base of 409 million users adding to its adoption. Smartphone users in Mini Metros and Tier-I / II cities show an evolved usage of smartphone, similar to that of Large Metros.
The study highlighted that smartphone users in Mini Metros and Tier-I/II cities match their Large Metro counterparts’ w.r.t. usage of Online Apps and Browsing.
The study said that home grown vendors though commanding a major share, are facing a stiff competition from chinese vendors. It read that while Chinese brands are gaining prominence, with Xiaomi recently surpassing all other brands in sale of 4G LTE smartphones; Micromax is also threatening the dominance of Samsung in the domain.
"With consumers spoilt for choice, domestic smartphone vendors will have to increasingly focus on
streamlining operational processes and investing in R&D for differentiation", said Arvind Rawat, Engagement Manager-Market Expansion Advisory, Zinnov.