The internet giant, Google, may enjoy a captivated market share in Japan, but replicating such success in Indian terrains appears to be a challenging task. Local market experts attribute the seeming inability to make far-reaching inroads into India's smartphone market, despite a trend of local buyers leaning towards more expensive, premium products, to Google's somewhat tepid approach and ill-conceived go-to-market plan.
Interestingly, Google's struggles in India stand in stark contrast to its successes in Japan where its Pixel line of products has performed remarkably. The brand's Q1 2023 performance in Japan saw a five-fold growth in the shipment of its Pixel products, resulting in a record 34% of the market share. Furthermore, Japan appears to have outperformed the US to become the primary source of Pixel shipments.
With a market share of less than 1% in India, Google’s Pixel pales in comparison to pricier iPhones which continue to enjoy a significant surge across various price ranges. CyberMedia Research data reveals a consistent trend where Pixel's market share in India remains below 0.2% over the last half-decade.
Key hindrances to successful penetration of the Indian market include a bad distribution strategy and over-reliance on features like high-quality camera. While Google's offerings in AI and software-related services could be strong selling points, the company fails to communicate these benefits effectively to the consumers.
Google Pixel also suffers from poor servicing in India, taking longer than the industry average which frustrates customers. Furthermore, Google's sales strategy of exclusive online sales through Flipkart contrasts with other premium brands that favour Amazon, where most premium users conduct their purchases.
Despite Google offering unique features, most potential customers are oblivious to these benefits due to poor messaging. In an open and competitive market like India, Google competes fiercely with brands like iQOO, Vivo, OnePlus, and Apple, each bringing something unique to the table.
The US tech giant has not yet started its 'Make in India' journey due to low demand for its products. However, some hope looms with recent talks of collaboration with local manufacturers like Lava, Dixon, and Bharat FIH for assembling Pixel phones in the country. This move mirrors Apple's strategy of shifting a portion of iPhone production out of China in recent years.