Redmi and Realme are two of the most prominent smartphone brands in India with a combined market share of around 33%. The exponential growth of both companies has come from their deep penetration in the budget segment, as they offer a slew of affordable devices for the masses.
However, as the smartphone market in India continues to evolve, the youth of the country has started to explore new brands in search in search of premium features and newer designs. The latest report from Techarc shows that Redmi and Realme could lose a significant market share to players like Lava and OnePlus with their Agni and Nord series, respectively.
Indian Youth More Likely To Switch To OnePlus
Techarc conducted research to study the mindset of Indian youth (up to 25 years of age) in making purchase decisions for their upcoming smartphones. Data shows that OnePlus is one of the most preferred brands among youth in the Android segment, and also enjoys the highest retention rate where existing users are looking to stick to OnePlus for their next purchase.
Over the years, OnePlus has established itself as a premium smartphone brand in not just India, but global markets. While the company’s main lineup is now placed in the flagship category and is priced at Rs 50,000 and upwards, it has also started to focus on its Nord Series in the premium mid-range segment of Rs 25,000 to 30,000.
After OnePlus, Techarch reports that Lava has one of the highest customer satisfaction ratings among young buyers. Over 82% of existing Lava smartphone users said that they will upgrade to a new from from Lava itself. Study shows that recent launches by Lava in its Blaze, Agni, and Yuva Series offer youth-centric designs and specifications, helping the company to appeal to young users.
Samsung and Vivo owners also appear to be quite satisfied with their purchases. However, a small set of users also said that they would look for other brands, preferably OnePlus.
Without any surprise, all Apple users among the youth and students said that they would stick to an iPhone for their upcoming device. It is clear that Apple has a high brand loyalty across all sets of users, including those aged below 25.
Other companies in the Indian market such as Nokia, iTel, Tecno, Micromax, and others also seem to be struggling to attract young audiences. Over 70% of existing users of these brands said that they would switch to a new brand for their next purchase.
Youth Preferences Affect Entire Smartphone Market
Another interesting point in Techarc’s report is that the buying decisions of the youth not only affect the purchases among students but also influence device sales among family members. Hence, if a youth prefers to buy a OnePlus or Lava for themself, they are more likely to suggest the same brand to the elders in their family.
It looks like smartphone companies have started to realise that winning the trust and confidence of the Indian youth will help them to significantly increase sales across all categories.
Numbers from the Techarc report show that the increasing popularity of Lava and OnePlus devices among young audiences will directly take away a big chunk of market share from Redmi and Realme, as the latter has built a reputation to be a first-choice for students.
Furthermore, the Indian smartphone market is expected to grow at a nominal 3 to 4% within the next year. Over 40% of smartphone sales in the next 12-15 months is expected to happen by the youth. If young buyers in the country switch to a new brand, it will significantly affect the market share of the current top Android players in the Indian market. Apple on the other hand is expected to retain its position, regardless of the evolving user sentiments.
