The Connected Indian Consumer - Moving beyond Smartphones September 2020

 
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The Connected Indian Consumer - Moving beyond Smartphones September 2020
The Connected
            Indian Consumer
                 Moving beyond Smartphones

September 2020
Welcome to World’s First Voice
                      Enabled Survey capturing the
                        Connected Indian’s Insights

This survey is based on a sample size of 2,500 respondents out of which 350 responses were collected through
Alexa and Google voice platforms. Voice survey was developed by PharynxAI
The journey beyond Smartphones has
 already begun!
                                                                      Smartphone is undoubtedly the first ‘smart’
                      TVs- 66%
                                                                      device that any individual empowers with.
                                 Speakers - 35%                       However, it does not stop there.

     Watch- 35%
                                         Gaming Consoles- 26%         People are buying other personal Smart devices
                                                                      like Smart Watches, Wearables, etc., as well as

Tablets- 33%                                                          Home level Smart gadgets including Smart TVs,
                                      Streaming- 23%
                                                                      Smart Speakers, Streaming Sticks, Smart Lights
                                                                      and Smart STBs.
                                                  Surveillance- 15%
    Buds- 8%              Home Appliances - 14%

          STBs - 3%          Smart Lights - 12%
And the future is equally promising

            TV                                               52%

Watch / Speaker                                        36%

Home Appliances                                  31%           Smartphone users are wanting to own other
                                                               categories of Smart devices and gadgets to
    Smart Lights                             28%               derive advantages on a wider spectrum serving
                                                               lot many use cases.
    Surveillance                           24%
                                                               There is a high intent of moving in to a Smart
Streaming Sticks                     21%                       Home experience. Though, people want to
                                                               gradually get into that by adding various
     Buds / TWS                     18%                        devices as they move forward.

        Gaming                17%

        Tablets         13%

    Set Top Box    8%
Before Getting into details, lets
    first have a look at the
      Smartphone Story
Smartphone Ownership & Satisfaction
                                                                          Satisfaction Meter   Owning latest
                                                                   100%

                                                                                               technology and
                                             18,000                90%
                                                                                               leveraging from new
                                                                   80%                         features and

                        1st           Average price of a           70%
                                                                                Extremely      capabilities of a
                                                                                 Satisfied
                     Smartphone
                        33%
                                      Smartphone purchased by a                                Smartphone are
                                      user in INR.                 60%
                                                                                               propelling users to
                                                                   50%                         replace their existing
                                                                                               Smartphones.

                                               3
                                                                   40%

                                                                                Somewhat
                                                                   30%
                                                                                 Satisfied
                                                                                               Despite being repeated
                                                                   20%                         users, the satisfaction
                                                                                 Neutral
2 out of 3 users are not first time   On an average users have
                                                                   10%                         rate is very high.
users of a Smartphone. This is        used 3 Smartphones before.               Somewhat
                                                                               Dissatisfied
driving replacement and upgrade       The present one in use is
                                                                    0%         Not Satisfied
market trend in Smartphones.          their 4th Smartphone.
Where did users buy Smartphone from?
45.0%
                                                                                                                                                Increasingly users are
40.0%                                                                                                                                           buying their
                                                                                                                                                Smartphones online.
35.0%

30.0%                                                                                                                                           In the offline space,
                                                                                                                                                Brand’s own store is
25.0%
                                                                                                                                                the preferred medium.

20.0%                                                                                                                                           This indicates offline
                                                                                                                                                buyers aren’t looking
15.0%
                                                                                                                                                for casual buying and

10.0%
                                                                                                                                                prefer experience and
                                                                                                                                                credibility of the
 5.0%
                                                                                                                                                medium of purchase.

 0.0%
                                                                             1
        Amazon   Flipkart   Brand Store   Large Format Retail (LFR)   Company Website   Paytm   Mom & Pop Store   Tata Cliq   Other (Specify)
Factors Determining Smartphone Decision
45%
                                                                                                              Camera still is the eye
40%                                                                                                           candy of a Smartphone
                                                                                                              when it comes to users
35%
                                                                                                              deciding about it.
30%

                                                                                                              The Smartphone
25%
                                                                                                              ecosystem including

20%
                                                                                                              chipset makers has
                                                                                                              responded to this trend
15%                                                                                                           positively and there
                                                                                                              have been a lot of
10%
                                                                                                              innovations at the
5%                                                                                                            chipset level to support
                                                                                                              this preference pattern.
0%
      Camera   Brand   Processor   Battery   RAM   Fast Charging   Internal   Durability   Design   Display
                                                                   Memory
Smartphone Photography
   60%                                                                                Level of Photography Skills
                                                                                                                   Professional
                                                                                                                       24%
   50%

                                                                                           Casual
   40%                                                                                      57%             Avid
                                                                                                            19%

   30%

                                                                                        Objects of Photography
   20%

                                                                                                    Scenery &
   10%                                                                                     Both       Others
                                                                                          Equally      35%
                                                                                           52%
                                                                                                     Self
    0%                                                                                               13%
         Depth Sensor   Wide Angle        AI          Zoom   Macro   Others
                                     Beautification

Every department of Photography needs to be optimal to cater to the extremely demanding users who are trying every feature
and function of a camera.
The Connected Indian Era is now
Who is a Connected Indian?
                                                                                                                   Housewife Ritered
         Gender                Education                    Above 50     Income                    Residence                            Activity   Student
                                           Undergrad                                                                  3%       1%
                                                              Lakh                                                                                   12%
                                               s              12%
                                             12%                                                                                                   Aspirant
                                                        20-50 Lakh                                                                                   3%
                                                           10%
Female                      Post-                                                 5-10 Lakh                Metro
 45%                                                   15-20 Lakh                    46%                   48%
                  Male    Graduates   Graduates                                               Non-Metro
                                                          10%
                  55%        53%         35%                                                    52%                                    Employed
                                                                     10-15 Lakh                                                          81%
                                                                        22%

         Indians all around are loving connectivity and using Smart devices. There isn’t a single segment or demographic
         cohort which is not using multiple Smart devices.
Since when are Indians Connected?
100%
                                                                                                                                       While people in India
90%
                                                                                                                                       have been using one or
80%                                                                                                                                    the other Smart Device
                                                                                                                                       over over 2 years,
70%
                                                                                                                                       majority of the Indians
60%
                                                                                                                                       have started owing

50%                                                                                                                                    such devices over the
                                                                                                                                       past 1 year or so.
40%

30%                                                                                                                                    Buds/TWS, Smart STB

20%                                                                                                                                    and Smart Lighting
                                                                                                                                       solutions have picked
10%
                                                                                                                                       up of recently.
 0%
       TV   Speakers   Buds / TWS Smart Light     Smart      Smart Home Streaming        STB         Gaming   Surveillance   Tablets
                                                  Watch       Appliances  Sticks
                           Less than 3 Months   3-6 Months    6-12 Months   1-2 Years   More than 2 Years
Where are people buying from?
100%
                                                                                                                                                      Almost 75% (3 out of 4)
90%
                                                                                                                                                      Connected Devices
80%
                                                                                                                                                      were purchased from
70%
                                                                                                                                                      online portals like
60%                                                                                                                                                   Amazon, Flipkart, Tata
50%                                                                                                                                                   Cliq as well as the
40%                                                                                                                                                   Company’s own

30%                                                                                                                                                   website.

20%
                                                                                                                                                      In offline, Brand Store
10%
                                                                                                                                                      and LFR (Large Format
 0%
       TV         Speakers      Buds / TWS Smart Light           Smart     Smart Home Streaming   STB               Gaming   Surveillance   Tablets   Retail) outlets are
                                                                 Watch      Appliances  Sticks
                                                                                                                                                      preferred for buying
            Flipkart                                             Amazon                                 Tata Cliq                                     such devices.
            Paytm                                                Company Website                        Brand Store

            Large Format Retail(Croma, Reliance Digital, etc.)   Mom & Pop Store                        Other (Specify)
Why do users buy Smart Devices?
100%
                                                                                                                                                                  For majority of the
90%
                                                                                                                                                                  users the reason of
80%                                                                                                                                                               buying a Smart Device
                                                                                                                                                                  is to enhance their
70%
                                                                                                                                                                  experience.
60%

50%                                                                                                                                                               Fortunately, these
                                                                                                                                                                  devices are able to
40%
                                                                                                                                                                  deliver that as per
30%                                                                                                                                                               expectations.

20%

10%

 0%
       TV          Speakers      Buds / TWS Smart Light          Smart       Smart Home Streaming             STB         Gaming     Surveillance       Tablets
                                                                 Watch        Appliances  Sticks
            Status Symbol / Fashion / Social Influence   Investment in Latest Technology   Utility   Discounts & Offers   Enhance Experience   Others
How different is the user experience?
100%
                                                                                                                                           Near about 90% of the
90%
                                                                                                                                           users feel that the
80%                                                                                                                                        experience is better
                                                                                                                                           than previously used
70%
                                                                                                                                           alternatives. 1 out of
60%
                                                                                                                                           every 2 people finds it

50%                                                                                                                                        extremely different
                                                                                                                                           experience than the
40%
                                                                                                                                           existing alternative.
30%

20%

10%

 0%
       TV   Speakers   Buds / TWS Smart Light       Smart     Smart Home Streaming         STB       Gaming       Surveillance   Tablets
                                                    Watch      Appliances  Sticks
                   Worse than Before   Barely Noticeable    No difference   Somewhat improved    Extremely different
What enhances the experience?
100%
                                                                                                                                 Brand matters the most
90%
                                                                                                                                 to users while buying a
80%                                                                                                                              Smart Device and has a
                                                                                                                                 critical role in defining
70%
                                                                                                                                 the overall experience.
60%

50%                                                                                                                              Among technical
                                                                                                                                 features, users find
40%
                                                                                                                                 processor playing a
30%                                                                                                                              vital role in defining the

20%                                                                                                                              experience.

10%

 0%
       TV   Speakers   Buds / TWS Smart Light    Smart      Smart Home Streaming         STB   Gaming   Surveillance   Tablets
                                                 Watch       Appliances  Sticks
                                        Brand   Processor   OS / Apps   UI and UX   Others
When do users learn about processors?
100%
                                                                                                                                     Because of the
90%
                                                                                                                                     importance attached to
80%                                                                                                                                  the processors, more
                                                                                                                                     than half of the users
70%
                                                                                                                                     across devices attempt
60%
                                                                                                                                     to learn about

50%                                                                                                                                  processors before
                                                                                                                                     making the purchase
40%
                                                                                                                                     decision.
30%

20%

10%

 0%
       TV   Speakers   Buds / TWS Smart Light     Smart      Smart Home Streaming            STB   Gaming   Surveillance   Tablets
                                                  Watch       Appliances  Sticks
                                           Before Purchase    During Sale   After Purchase
Chipset / Processor of Smart Devices
                                                                                               Experience                                 Brand Strength - MediaTek
                            Awareness
80%                                                                50%

70%                                                                45%
                                                                                                                                                               Helio
                                                                   40%                                                                                         37%
60%
                                                                   35%                                                                             MediaTek
50%                                                                30%                                                                               63%

40%                                                                25%

30%                                                                20%
                                                                   15%
20%                                                                                                                                      Brand Strength - Qualcomm
                                                                   10%
10%                                                                5%
0%                                                        Others   0%

                                                                                                                             Others
                                                 UniSOC

                                                                                                                    UniSOC
                              Samsung

                                                                                                 Samsung
                 Qualcomm

                                                                                    Qualcomm
      MediaTek

                                                                         MediaTek
                                        Huawei

                                                                                                           Huawei
                                                                                                                                                              Qualcomm
                                                                                                                                                                50%

                                                                                                                                      Snapdragon
                                                                                                                                         50%

MediaTek through its early successes in product roll-outs across the spectrum of Smart Devices has garnered leader’s position
in awareness as well as performance perceived by users.
Factors Determining Chipset Experience
100%
                                                                                                           In individual elements
90%
                                                                                                           of measuring quality of

80%                                                                                                        processors, Qualcomm
                                                                                                           does have a slight
70%
                                                                                                           edge in the eyes of
60%                                                                                                        users. However, when
                                                                                                           it comes to overall
50%
                                                                                                           experience, which
40%
                                                                                                           includes value for

30%                                                                                                        money as well,
                                                                                                           MediaTek emerges as
20%
                                                                                                           the leading Smart
10%                                                                                                        Devices chip provider.

 0%
 MediaTek   Qualcomm                 Samsung                    Huawei                   UniSOC   Others
                       Performance    Power Efficiency   Graphics   Overall Experience
Antutu and the Processor Decision
            Antutu Score Check for Processor Performance                           Influence of Antutu Scores
                                                                          Completely Ignore
                                                                                4%

                       Not Aware
                         26%

                                                                               Only Consider
                                         Yes                                       32%
                                         48%                                                       Definitely by Antutu
                                                                                                           64%
                           No
                          26%

Users consider Antutu benchmarking scores extensively to decide about processors. 2 of 3 users who consult Antutu,
definitely go by its advice.
User Challenges in Smart Devices?
100%
                                                                                                                                          Repairs and Services is
90%
                                                                                                                                          on the top of mind of
80%                                                                                                                                       users as the critical
                                                                                                                                          challenge in using
70%
                                                                                                                                          Smart Devices. Nearly
60%
                                                                                                                                          half of the Connected

50%                                                                                                                                       Indians feel so.

40%
                                                                                                                                          The good news is that
30%                                                                                                                                       users don’t feel there is

20%                                                                                                                                       a need for ecosystem
                                                                                                                                          to evolve and these
10%
                                                                                                                                          devices are pluggable
 0%                                                                                                                                       in the existing
       TV   Speakers   Buds / TWS Smart Light        Smart    Smart Home Streaming         STB          Gaming   Surveillance   Tablets
                                                     Watch     Appliances  Sticks                                                         environments.
                  Repairs & Service   Maturity of Ecosystem   Pricing   Use Cases   Complexity of Operation   Others
When Exploring Buying Smart Device?
100%
                                                                                                                                           Diwali is anyways the
90%
                                                                                                                                           most preferred
80%                                                                                                                                        shopping period even
                                                                                                                                           for Smart Devices and
70%
                                                                                                                                           other electronics.
60%

50%                                                                                                                                        Due to 1st half of the
                                                                                                                                           year almost wiping off,
40%
                                                                                                                                           the pent up demand is
30%                                                                                                                                        likely to be fulfilled

20%                                                                                                                                        during the festive
                                                                                                                                           season.
10%

 0%
       TV   Speakers   Buds / TWS Smart Light       Smart       Smart Home Streaming         STB         Gaming   Surveillance   Tablets
                                                    Watch        Appliances  Sticks
                                Immediately     Diwali Period    Year end 2020   Next Year   Undecided
Smart Device Sweet Spots
100%
                                                                                                                                                There is an opportunity
90%
                                                                                                                                                for Smart TV in almost

80%                                                                                                                                             all major price
                                                                                                                                                segments. People are
70%
                                                                                                                                                looking for this device
60%                                                                                                                                             to enhance their family
                                                                                                                                                entertainment
50%
                                                                                                                                                experience and
40%
                                                                                                                                                leverage from OTT and

30%                                                                                                                                             other content available.

20%

10%

 0%
       TV                        Smart Watch                  Smart Home Appliances                Gaming                             Tablets
            Under 10,000   10,000- 20,000   20,000 - 40,000    40,000-60,000   60,000-80,000   80,000-1,00,000   More than 1,00,000
What is changing / What needs to change?
§ There is a high intent among users to become Connected and Smart Users to benefit from tangible benefits that are accruing
  by investing in these devices.
§ The Smart Device ecosystem, which essentially emanates from the Smartphone ecosystem also needs to evolve to new form
  factors and use cases. While from OS point of view, Google has already enabled optimized versions of Android for particular
  device categories, the chipset ecosystem is gearing up and different players are at different stages of this evolution. The
  display component suppliers also see this as a multi-facet opportunity.
§ The content (not only entertainment), also needs to adopt to various form factors. This not only means repurposing but in
  certain cases re-visualising the entire thing.
§ Smartphones will continue to be the first Smart enablement where from the user journey will get on to other devices.
The Connected
Indian Consumer
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