Once a smartphone giant Micromax had made its comeback in the smartphone market after a long break. Micromax jumped into the Indian market with its new brand called ‘In Mobiles’.
Benefited from the PLI scheme launched by the Indian Government, they were successful in launching three smartphones under IN division by June 2021 with a competitive but effective price tag. They introduced IN Note 1 and IN 1B in November 2020 and IN 1 in March 2021 priced between 7K-13K range i.e. from budget to mid-range segment.
Indian smartphone market can be divided into 5 major categories based on the pricing of smartphones, namely Super Budget Range( 4K-7K); Budget Range( 8K-12K ), Mid-Range( 13K-20K ), Premium Mid-Range/Flagship Killer( 21K-30K ) and Flagship/Premium Range( 30K+ ). Most OEMs like Redmi, Realme, Infinix and Poco play in the mid-range segment, which is also the most competitive segment in the Indian smartphone market and most of the smartphone selling happens in this segment.
So, if Micromax wants to kill the dominance of Chinese OEMs in the smartphone market then they have to enter the Mid-Range Segment. Micromax CEO Mr. Rahul Sharma said in an interview that, “Micromax is eyeing the ‘millennial’ target group for its new range of smartphones and an online-first strategy for retailing. The company initially launches its products online on Flipkart and its e-commerce platform Micromaxinfo.com, followed by offline retail, where it has a presence in 10,000 outlets. The company is also boosting its manufacturing capabilities.” Having the capacity of producing 20million phones annually Micromax can take over the Chinese OEMs if they keep the pricing and specs of their upcoming products competitive.
WHERE MICROMAX STANDS IN INDIAN MARKET?
Once Micromax holds 16-17% market share in the Indian smartphone market, but with the introduction of smartphones from Chinese companies at aggressive pricing the market share of Micromax was deprived to less than 1% by the end of Q4 2020. Micromax had sold more than 300K smartphones till now under IN series. But is it enough for reinventing the old status of Micromax? Well, No it’s not enough in a competitive market like this where companies like Redmi and Realme sells more than 2million smartphones in a month.
WHAT ARE THE WAYS TO REGAIN THE OLD STATUS?
It is quite evident by now that the Indian smartphone market is dominated by China-based vendors. It’s almost impossible to trump Chinese smartphones in terms of specifications and performance. We believe Indian smartphone manufacturers will have to come up with a strong product portfolio to regain the lost market share. Let’s try to understand how Micromax can regain the lost share in its motherland.
1. By launching low cost 5g Enabled smartphones.
The main reason for Micromax’s lost dominance over the Indian market was the delay in switching over the 4g enabled smartphones. Now with 5G being a talking topic, Micromax has the chance to turn the game around.
2. By bringing cost-effective data plans.
Micromax may collaborate with ISPs to offer cheap 5g plans to Indian Consumers so that new customers can be added and the reach of the company be increased.
3. Heavily investing in R&D.
They need to invest in research and development so that they will cope-up with the Chinese manufacturers in terms of technology.
4. Improving After Sale Services.
They have to ensure a robust after-sales service network. Reports mention that consumers are not much happy with the service support offered by Indian brands. In addition to the company-owned service centers with good reach in tier II and tier III cities, brands can also offer some additional benefits to consumers like device ‘Pick and drop’ service, standby device support, one-day issue resolution, etc. Dedicated consumer request apps can be integrated into mobile devices with 24×7 service support benefits.
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