The overall India traditional PC shipments for the third quarter of 2017 stood at 3.03 million units, with a strong growth of 72.3% quarter-on-quarter and 20.5% over the same period last year according to IDC’s latest Quarterly Personal Computing Devices Tracker. Even after excluding large education projects of over 10,000 units, the market still grew 10.9% year-on-year.
Segment Highlights
The consumer PC market was 1.51 million units in the third quarter of 2017, which is 9.5% higher compared to the same period last year and a growth of 85.4% quarter-on-quarter. Manish Yadav, Associate Research Manager of Client Devices with IDC India, said:
“Seasonality and online festive sales drove positive consumer spending throughout the quarter despite declining consumer sentiment on the back of low employment opportunities, income and price levels”.
The commercial PC market registered 1.52 million units in the third quarter. Large education projects improved the commercial PC market share from 45.2% a year ago to 50.2% in the third quarter. Yadav adds:
“Special education projects in states like Tamil Nadu, Assam, etc. along with pumped-up demand from SMBs after the implementation of the new Goods and Services Tax (GST) has led to growth in the third quarter”.
Top 3 Company Highlights
HP maintained its leadership position in the overall India traditional PC market with 31.1% share in the third quarter. HP recorded a healthy 30.2% growth year-on-year due to a state-owned education project along with strong consumer demand. HP Inc. offered partner-focused, consultative training to address SMBs with new GST-ready solutions which was coupled with invoicing software by KPMG.
Lenovo took the second spot, with a 24.1% market share in the overall India traditional PC market in the third quarter. The consumer PC business grew at an encouraging 30.9% year-on-year, with a focus on expanding online and modern retail channels. Excluding special projects, the company grew by 5.4% year on year, aided by GST-ready machines along with increased and spill over spending from enterprises across verticals.
Dell slipped to third position with 20.0% market share in the overall India traditional PC market in the third quarter. The company saw a growth of 226.3% quarter-on-quarter in overall consumer segment as it rebounded from stock unavailability during the latter half of the second quarter, but this was still a year-on-year decline of 2.6% in the third quarter of 2017. Commercial volumes declined year-on-year by 3.5% despite spending from its key enterprise accounts along with a large number of back-to-back orders spilled over from the previous quarter.
India PC market forecast
“IDC expects the overall India PC market in the fourth quarter of 2017 to decline due to seasonality and reduced consumer demand after the high consumer spending in the third quarter. However, going forward, the excitement around gaming PCs and price drops after GST will remain important factors for the consumer segment.
Additionally, a few major deals in the commercial segment, backed by education projects across different states and spending from BFSI and IT/ITeS verticals, will aid the increasing contribution of the commercial segment”. — Navkendar Singh, Associate Research Director with IDC India.
Analyst Comment
While compiling this data, our calculations found the total quarter-on-quarter growth to be slightly lower than is stated in IDC’s report. (AF)
