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‘Smartphone sales to fall 15% in 2020’ | Economic Times

KOLKATA: Market researchers International Data Corporation (IDC) and Counterpoint Research have downward revised their outlook for the Indian smartphone market estimating sales will decline by 13-15% due to Covid-19, making it the first year of decline ever.The trackers said this is going to be due to recent spate of job and salary cuts whereby consumers will postpone purchases, companies unable to ramp up production impacting supply of models, and the recent increase in GST on smartphones from 12-18% making models pricier.IDC has now projected the smartphone market in India could hit as low as 130 million handsets as compared to earlier estimate of 140 million. Counterpoint has just revised its outlook pegging the industry at 137 million from earlier outlook of 142 million.Last year, India sold 154-158 million smartphones and before Covid, high single digit growth was likely this year.In case of feature phones, the decline in sales is estimated to be a steep 42% from 130 million handsets sold last year to around 75 million with income of this set of consumers badly hit, as per IDC.

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