India PC market dropped 15.2 percent to 8.58 million units in 2016, said IDC.
India PC shipment in Q4 2016 dropped 23.4 percent over Q3 2016 and fell 23.6 percent year on year to 1.92 million units.
The overall market declined initially owing to reduced consumer demand and high inventory in H1 2016. However, PC sales recovered starting June owing to strong consumer sentiment backed by seasonality and increase festive demand.
The consumer PC market fell 12.9 percent to 4.22 million units in 2016.
“With high inflation and ongoing fiscal consolidation, consumer sentiment remained frail until H1 2016. Subsiding inflation and benefit from the Pay Commission award, low commodity prices and measures announced in the Union Budget will be the right buzz for PC purchase in 2016,” said Manish Yadav, associate research manager, Client Devices, IDC India.
The commercial PC market dropped 17.4 percent to 4.35 million units in 2016.
Top 3 PC makers in India
HP achieved a market share of 28.4 percent in the India PC market in 2016 with 3 percentage point growth. HP dominates in the consumer PC business with 26.8 percent share for the third year in a row.
HP Inc. has recreated its brand in India PC market with strong product placement and aggressive marketing campaigns supported by new innovative products like Spectre. HP led the commercial PC category with the execution of special projects and strong hold in enterprise vertical.
Dell has 23.3 percent share in India PC market in 2016. Dell continues its investment in expanding channel strength and focused on addressing new opportunities in segments like government and education. Dell gained around 4.9 percentage point growth to record 24.5 percent share in the commercial PC category last year.
Lenovo has 17.6 percent share in the India PC market dropping 5.8 percentage point in 2016. IDC said Lenovo’s consumer business dropped 2.5 percentage points due to lack of special project execution. However, Lenovo will bounce back in 2017 by leveraging its marketing strategies and channel strength backed by innovative PC products.
IDC said the commercial PC market is anticipated to observe execution of state owned education projects across different states in 2017. The incremental spending from BFSI and government verticals will strengthen the growth in overall PC market.