Indian Telecom Market Sees 36 Percent Value Growth in Offline Retail

India is one of the largest telecom markets in the world, with a rapidly growing population and increasing internet penetration. The telecom market of India witnessed a 36% value growth in offline retail last year, according to a report by marketing intelligence firm, GfK. This growth is expected to continue in 2023, with value-driven growth for the domestic telecom market compared to 2022.

As per a GfK expert, India registered double-digit growth in revenue in 2022. over the previous year, which was driven by smartphones, core wearables, and TWS mobile headsets. The growth in revenue is a result of a combination of factors, including increased adoption of smart devices in Tier 3 and lower towns, shifting consumer requirements, and altering lifestyles. These factors contributed to 50% of smartphone sales in 2022, while wearables contributed 21%.

The report also revealed that the smartphone category, including tablets, saw a 15% demand increase from January-December 2022, compared to the previous year. This growth can be attributed to the increased adoption of smart devices in Tier 3 and lower towns, which are driving the growth of the smartphone category. Furthermore, the demand for premium devices also increased, where the revenue contribution of 5G models moved to 44% in 2022. At the same time, devices with a larger storage capacity of more than 256GB grew 122% in revenue.

In India, the telecom market is largely dominated by the wireless segment, which includes mobile phones, smartphones, and other wireless devices. The report highlights the increasing trend of smart device adoption in Tier 3 and lower towns, which is driving the growth of the telecom market in India. According to the report, offline retail channels continue to play a significant role in the growth of the telecom market in India.

The growth in offline retail channels can be attributed to the increasing number of retail stores in Tier 3 and lower towns, which cater to the increasing demand for smart devices in these regions.

The report also highlights the growth in the wearables segment, which includes smartwatches and fitness bands. The wearables segment grew by 21% in 2022, and this growth is expected to continue in 2023. The increasing adoption of wearables can be attributed to the growing awareness of health and fitness among Indian consumers, as well as the availability of affordable smartwatches and fitness bands.

The telecom market in India is highly competitive, with several players competing for market share. The major players in the telecom market include Reliance Jio, Bharti Airtel, and Vodafone Idea. These players are continuously investing in the development of new technologies and services to stay ahead of the competition.

To conclude, the Indian telecom market witnessed a 36% value growth in offline retail in 2022, which is expected to continue in 2023 with value-driven growth for the domestic telecom market compared to 2022. The growth can be attributed to several factors, including increased adoption of smart devices in Tier 3 and lower towns, shifting consumer requirements, and altering lifestyles.
The growth of the wearables segment is also contributing to the overall growth of the telecom market in India. The telecom market in India is highly competitive, with several players competing for market share. As the market continues to grow and evolve, we can expect to see more investment in the development of new technologies and services to cater to the changing needs of Indian consumers.