Correct market positioning is that the key point.
India is that the world’s second largest smartphone market. By Q3 2016 the market size in India finally exceeded the US. China brands dominate 46% of the market share while the remainder is shared 34% and 20% by global brands and native made respectively.
Despite having a second largest population, the bulk of Indians are still using cell phones or no phone in the least . Smartphone users is simply 17% of phone users. Global brands like Apple iPhone and Samsung designed for global markets are too advance for them. The local networks are mostly 2G/3G. 4G networks aren’t well developed and without 4G networks, many smartphone functions are quite useless.
However, China brands are more flexible on designs and may offer reasonable qualities at affordable prices. As for local brands, they’re mostly assembling plants but not manufacturers and therefore the smartphones produced by local brands are in lower quality. So in terms of quality, China brands position correctly at the market. Although India also features a huge population like China, but the GDP per capita is far lower. they can’t afford expensive global brands.
The 2017 forecast GDP per capita for India, China and USA are $1849, $6890 and $52500 respectively. Taking the asking price of iPhone 7 Plus 256GB in each country as example, per annum a mean Indian can afford to shop for 1.1 unit but a mean Chinese can purchase 5.9 units while the Americans can purchase 54 units.
iPhones are consumer electronic products for Americans but they’re luxury goods for the Indians. On the opposite hand, China brands are cheaper . Although local Indian brands also are cheap enough, they’re not preferred by the Indian consumers as China brands have better qualities and functionality. So in terms of pricing, China brands position correctly again within the market.
See Firstly Huawei made its whole market not only in India but world by its features and hardware and camera for its decent price this is often the sole reason that huawei is that the 3rd top smartphone manufacturer within the world.
Secondly companies like xiaomi redmi pas cher and Leeco are popular in India due to their great features and an excellent durable hardware with a really low tag .
OPPO and VIVO are only popular in India due to their advertisements and great offline market where salesman trick people into buying it by making an enormous hype about its features. If i actually myself tell about them all of them phones in India are not any quite e-waste. Mean who buys a phone for a selfie and not comparing other thing like mtk processors.
smartphone oneplus pas cher are popular due to its great features for an honest tag . Although one plus is additionally a subsidiary of bbk electronic(VIVO , OPPO, OnePlus are its subsidiary) . Its still better than oppo and vivo because it concentrates on overall performance of phone.