India PC market slides in Q1

Weak consumer demand, high inventory from previous quarters, and supply issues for Intel chips are among the reasons why the India PC market slipped in Q1. According to IDC, the segment dropped 8.3 percent to 2.15 million units that quarter.Another factor was the announcement of central elections on March 10, 2019, which resulted in a delay in execution of government projects which also impacted the commercial sector.

While the notebook category contributed 61.4 percent of the overall shipment, it experienced a 9.8 percent year-on-year decline. The exception is the ultraslim category which grew by 86.5 percent to account for 25.3 percent of the market share.

The gaming PC segment also gained traction through both online and retail as vendors decreased GPU prices resulting in a spike in demand.

“Spending towards ultraslim notebooks is increasing as owing to factors such as improved mobility due to the thinness of the product and enhanced aesthetics,” said Bharath Shenoy, Market Analyst (PCs) of IDC India.

HP retained its pole position in the overall PC market with 28.1 percent share, while Dell was second and Lenovo, third.

“The consumer market is expected to pick up largely driven by back to school campaign by vendors and online sales creating a pull to attract consumers through various schemes and financial incentives such as EMIs/Cashbacks,” was the Q2 prediction of Nishant Bansal, Senior Research Manager, IPDS & PCD of IDC India.

“Commercial spending due to refresh and fresh demand by large and medium enterprises is expected to continue led by education, BFSI, and IT/ITeS sector. The public sector is expected to pick up post elections, once the new Government comes into power,” he added.

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