Lenovo to Augment Offline Presence to Boost Share in the Smartphone Market

Posted on: Nov-2017 | By: 9 Dimen | Electronics

Lenovo Group claimed that it will aim on driving its offline attendance in India to recover share in the market, which had dropped chasing hostile campaigns by its Chinese contenders.

Lenovo, which trades Motorola handsets it purchased in 2014 from Google, has witnessed its place drop to 5th in April–June 2017, from the 2nd place last year, with share in the market also decreasing from 9.6% to 7%, as per data from a research company. In the meantime, Xiaomi is behind the South Korean tech major for the top position in the mushrooming market in India.

"That is a clash we require to win. Online is merely 27% of the entire market. We have a healthy place there, but have development left in offline that is why you might witness us attack it more," president & chairman at Motorola and executive vice president at Lenovo, Aymar de Lencquesaing, claimed to the media in an interview.

While handset makers have associated with e-commerce companies to roll out their items in late times, it still has a small faction. Almost 73% of handsets are purchased from brick & mortar shops. "The next development will arrive from there so we are setting up Moto Hub exclusive retail shops and elevating our distribution," country head of Lenovo Mobile and MD of Motorola Mobility India, Sudhin Mathur, claimed to the media in an interview. Contenders such as OnePlus and Xiaomi already have such shops in the nation.

The shares are elevated in India for Motorola, where it trades under both the Lenovo and Moto brands, unlike in Europe and the U.S., where only the Lenovo brand is traded. India, where it trades 12 Million handsets yearly, ranks No 2 in terms of volume, lagging behind only Brazil. In value, it is behind Brazil and the U.S.

"We are not looking for a slowdown in the industry. Users are shifting up in performance needs and there is huge requirement for handsets priced almost $150 to $350 (almost Rs 9,750 to Rs 22,750) as compared to the $100 to $150 segment (almost Rs 6,500 to Rs 9,750).