Three New Chinese Smartphone Vendors Look at Indian Market


Published Date : May 25, 2015

The slow growth story of the smart phone brands- ZTE, Huawei, and LG in India has not deterred Meizu, Phi-Comm, and Coolpad, the three popular players in the Chinese smartphone market to check the Indian waters. Indian smartphone market is growing at a rapid rate and is fiercely competitive. However, ZTE, Huawei, and LG, the top ranked global smartphone brands have not been very successful in establishing their presence in India which is dominated by Micromax and Samsung. 

According to Cybex Exim Solutions, in the third quarter of 2014-15, Huawei, the fourth largest smartphone vendor, brought 163,000 mobile phone units to the Indian market. LG, the fifth largest smartphone player, introduced 79,000 units in the country during the same period, which reduced to just 27,000 units in the last quarter of 2014-15, owing to the slow demand for the brand. However, a company spokesperson mentioned that LG is planning to launch 20-22 handset models this year and will strengthen its mobile business in India.

Industry analysts mention that brands such as ZTE, Huawei, and LG made half-hearted efforts while entering into the Indian market, which has led to the low demand for the brands. 

However, a different approach has been taken by Meizu and Xiaomi while reaching out to the Indian consumers. According to the experts, Indian companies spend a significant portion of their budget on marketing campaigns and this was emulated by Xiaomi, which announced its India launch to a limited audience. This resulted to curiosity building around the brand even before it entered India. Since its entry into India in July last year, Xiaomi has become the fifth largest smartphone vendor in the country. Also, online driven approach of Xiaomi and Meizu has led to their so far success in the Indian market.