Home-grown handset maker, Micromax Informatics Ltd was one of the largest domestic companies making handsets in the low-cost feature and smartphone segment in India. As of Q3 2014, Micromax was the 10th largest vendor in the world. But now Micromax is facing challenges as the massive decline has been noticed in company’s sales.
As per the Cybermedia Research (CMR), the shipment of Micromax has dropped down by 17% YOY in 1Q 2018″.
“Micromax has been witnessing decline in their market share from last few years due to acute competition specially from Chinese brands in India. Micromax has failed to build on their brand imagery, leading to lack of recurring business during replacement and upgrade cycles.” Narinder Kumar, Analyst, Cyber Media Research
The decline shows that Micromax is losing the control and lacking behind in mobile segment. On the other hand, Chinese mobile players like Oppo, honor, Xiaomi and Lenovo are grabbing the Indian market.
In a recent interaction with The Hindu, Shubhodip Pal, chief marketing and commercial officer, Micromax Informatics Ltd said, “At that time, we had a combined market share of 25.6% and today, Micromax’s market share stands at sub 10%.”
Though, the company is planning to revive its sub brand YU in 2019. But it seems very difficult to take on Chinese rivals as dragons are taking the extreme pace in mobile segment in Indian Market.