The mobile handset replacement market is booming in India and as per ICA (Indian Cellular Association), the estimated market size is approximately around 2.5 million handsets.
Handset Market Stats
- The total cellular phone market in India is pegged at Rs. 70,000 crore a year
- 50% of Indians are on ULCH (ultra low cost handsets)
- Sales of replaced handsets is expected to increase nearly by 15 per cent.
- Currently, the replacement market stands at ~55% and is expected to reach 70% by 2010 (as per BCG research)
Organized Retail chains are eyeing the replacement market and recently, UniverCell announced 100 crore investment from Peepul Capital to accelerate it’s expansion plans.
What’s your take on handset replacement market? How frequently do you replace your handset?
Interestingly, mobile handset sales growth has declined – does that mean, we are reaching the ‘saturation’ zone?
Recommended Read: Mobile VAS in India – Numbers to Know
Image by Steve Wilhelm via Flickr