Feature Phone Segment Dominated By Reliance Jio Infocomm, Surpassed Samsung
Reliance Jio Infocomm reached number one in the feature phone shipment in the December quarter. In this segment, Jio has left market leader Samsung. According to Counterpoint Research, the Jio phone sales increased in the last month of last year.
According to Exclusive information available, LYF is the first feature phone to support 4G (VoLTE). The company is giving this phone at a very low price, which it will refund after returning the phone after three years. Market shares of 27% usually include handsets with less than Rs 2,000. Research firm of Hong Kong said that Samsung is second with 17% market share and Micromax is at the third position. The other following companies are of Intel and Nokia.
Due to the huge sale of Jio Phone in last year’s, the feature phone market has increased by 43% to 5 Million units in the December quarter. There was an increase of 51% in feature phone sales in the quarter. Then there was an increase of 32% on quarterly basis. In comparison, industry shipment increased by 10–12% and quarterly basis by 5–7%.
Tarun Pathak, associate director of Counterpoint, said, “Customers interested in buying Jio’s handsets in the December quarter had increased a lot as their phone segment was superior in many ways than the leading companies.” They said that the users could only call from feature phones, but with Jio the user can call and use the data as well. This was the biggest reason for attracting customers to the Jio phones.
The company had recently said that it wants to increase sales by re-launching Jiophone next month. The company also wants to remove the delay in of battery supply and chipset in the re-launch, which initially affected its sales. Jio started selling it phones in late August of last year. In the first phase, it sold 60 Million handsets. Due to the demand being too high, the company had stopped booking immediately. After that it was again initiated in November.
People familiar with the matter told that Reliance Retail sold 15 Million phones during October–December. Reliance Retail and Reliance Jio did not provide any information about future shipments, sales and tariff plans. Samsung also did not comment on the shifting of rankings. Anjuman Thakur, the Strategy Head of Reliance Jio, said that we were facing some problems related to supply, which have been eradicated.