Smartphone maker OnePlus will focus exclusively on the premium smartphone segment despite the segment having a marginal market share in the country.
Following the failure of the OnePlus X, which was launched at Rs 16,999, the company has decided to remain a flagship only brand catering to the premium segment of the smartphone market. However, the premium smartphone segment in India currently contributes only 4% to the overall smartphone market, according to Counterpoint, which restricts the company to a tiny target audience and having a fraction of the total smartphone market share.
OnePlus India general manager Vikas Agarwal expressed optimism about the premium smartphone market. “The segment is growing considerably and we will see more increase in the sales of premium smartphones in the near future. Customers are preferring premium smartphones because of the attractive features and quality that they offer.”
OnePlus, however, became the market leader in the Rs 30,000+ smartphone segment in the April-June quarter of 2018, capturing over 40% of market share, pushing down rival Samsung to 35%, according to Hong Kong-based tracker Counterpoint Research. Apple fell far behind both companies, coming in at third, for the first time, with 9% market share.
OnePlus is also following a strategy that is being adopted by smartphone makers, to manufacture locally in order to avoid being exposed to the increase in import duty and thus navigate a suitable pricing strategy in India. The company said it will be opening its R&D centre in India, but didn’t disclose the location. Samsung, earlier this month, opened the world’s largest mobile factory in Noida.
Source: financialexpress.com