In continuation with our promise to address some of the challenges of modern marketers, PredictiVu has released the final part of its MBO Smartphone India Overview Report for 2021. While the first part of the report focused on the pandemic lockdown and the onslaught of online retailers not adversely affecting Indian MBOs. The final part of the report examines the future of the 5G smartphone market in India and opportunities that await ahead for the MBOs (Multi Brand Outlet).
According to market reports, 5G smartphones are on the rise. Shipments reached more than three million in 2020, and sales are expected to reach 144 million by 2025. Even without 5G infrastructure, growth is expected to be tenfold in 2021.
Ahead of the festive season, PredictiVu’s latest report provides a window into the customer’s mind regarding their preferred channel for smartphone purchases, providing immense value to MBO retailers, analysts, and investors.
In a survey conducted among 1,208 retail customers, PredictiVu found that 94.3% had bought their smartphone from a local store, while about 4.7% purchased it from multi-brand retail chains and out of that 86% of the buyers were male. This leaves tremendous opportunity for MBOs to chalk out a strategy to attract female buyers looking for mobile phones.
Per the PredictiVu report, customers associate the offline channel with several advantages, including:
- Faster download speeds and better network coverage in crowded areas.
- Enhanced work-from-home experience.
- Increased capacity for self-driving cars and similar devices.
5G will play a key role in driving smartphone sales, according to PredictiVu’s latest report. MBO players should therefore understand consumer sentiment to design meaningful offers. Another finding of the survey is that a large percentage of consumers shop at offline retailers without seeing smartphone ads. MBOs should take advantage of this opportunity to educate the public about 5G-enabled smartphones.
The pandemic has affected disposable incomes, impacting consumer behavior significantly. Good exchange offers and affordable finance options are important to consumers, and MBOs should work with brands to take advantage of this opportunity. They should also offer better exchange schemes during festive seasons and keep an eye on similar offers from other e-commerce players.
Although the pandemic has had an adverse effect on offline retail businesses, PredictiVu’s survey showed that brick-and-mortar retail is doing well. The smaller retail stores, however, must do a better job at using technology for administration and marketing.
In general, smaller retailers must become more responsive to the changing times. Some of the lessons they could learn from the big MBOs include hyperlocal marketing, gender balance in the sales force, and using social media for customer engagement.
To understand the dynamics of the offline channel and to derive maximum value from it, click here to dive into PredictiVu’s latest report for insights into the MBO smartphone market in India.