China plans to Conquer India, with Bollywood?
China’s smartphone makers are drafting in cricket teams and Bollywood stars to conquer India, their largest overseas market and a key testing ground for their international expansion, as they try to rebrand as more than just sellers of cheap handsets.
Xiaomi Technology – the fast-growing No. 3 global smartphone maker valued at $45 billion after a December funding round – hosted its first global launch outside of China in New Delhi on Thursday, unveiling its feature-heavy Mi 4i model that supports six Indian languages at Rs 12,999.
“It speaks volumes to our focus on India, our intentions, and (is about) really putting our investment where we believe the future of the company is,” – said Hugo Barra, Xiaomi’s vice president of international operations.
Manufacturers including Gionee, Huawei Technologies and Lenovo are trying out new retail strategies, marketing plans and research for devices in India, as they look to push into new markets.
Huawei and Gionee, for instance, are sponsoring franchises in the Indian Premier League, while Lenovo and Oppo have adverts featuring Bollywood heartthrobs Ranbir Kapoor and Hrithik Roshan as they try to build brand appeal among ordinary Indians.
India is the world’s third-largest smartphone market, but with just one in 10 people using such handsets still has huge growth potential.
Chinese smartphone makers are in many cases unknown outside India’s larger cities, but they are beginning to win market share from better known rivals such as Samsung Electronics and even homegrown Micromax, which in the fourth quarter became the country’s leading handset supplier.
With growth saturating at home, companies from China and Taiwan have either entered or ramped up India operations over the past year. Six were among the top 20 smartphone vendors in the December quarter.
Based on shipments data tracked by research firm Canalys, the top five Chinese smartphone companies and Taiwan’s Asustek Computer together accounted for 13 per cent of shipments in the period.
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