June 13, 2024

India Mobile Phone Accessories Market is Estimated to Witness High Growth Owing to Technological Advancements in Connectivity

Mobile phone accessories such as protective cases, screen protectors, headphones, power banks, memory cards and cables have become a necessity along with smartphones. The increasing popularity of mobile phones has augmented the demand for accessories that improve the functionality and experience of using smartphones. Protective cases shield mobile phones from damages and extend their life, screen protectors prevent screens from scratches and cracks, headphones provide convenience of private listening and charging cables along with power banks ensure uninterrupted power supply. The growing consumption of mobile data and introduction of technologies such as 5G and IoT are expected to further fuel the demand for high quality and efficient mobile phone accessories.

The India Mobile Phone Accessories Market is estimated to be valued at US$ 2829.28 Bn in 2024 and is expected to exhibit a CAGR of 4.9% over the forecast period 2024 to 2030.

Key Takeaways

Key players operating in the India Mobile Phone Accessories are The Sherwin-Williams Company, PPG Industries, BASF SE, Akzo Nobel N.V., RPM International Inc. Key opportunities in the market include rising demand for wireless headphones, power banks with high battery capacity and USB Type-C cables owing to their convenience. Technological advancements such as fast charging, liquid damage protection and wireless charging are enhancing user experience and driving the demand for premium mobile phone accessories.

Market drivers

The key drivers for India Mobile Phone Accessories Market include rising smartphone penetration, increasing mobile data consumption and growing disposable income. According to IAMAI, the number of smartphone users in India has reached 650 million in 2022 marking a growth of 40% over 2017. This large consumer base requires protective cases, batteries and headphones. Secondly, average monthly mobile data usage per smartphone has grown to 11.2GB driving the need for high capacity power banks and faster charging solutions. Finally, rapid economic growth has augmented disposable incomes enabling purchase of premium mobile accessories. The growing needs of connectivity, convenience and protection will continue fueling the Indian mobile phone accessories industry over the forecast period.

Current challenges in India Mobile Phone Accessories Market:

The India mobile phone accessories market is facing several challenges currently. Counterfeit products are easily available at lower prices, which is reducing sales of genuine accessories from branded players. Many local players are producing low quality incompatible accessories, which is damaging the reputation of the overall market. High GST rates on certain accessories like power banks is dampening demand. Fierce price competition among players is also squeezing margins. Upgrading technology at a fast pace leads to faster obsolete of certain products, putting inventory risk on manufacturers.

SWOT Analysis

Strength: Wide range of products catering to all price points. Established supply chain and distribution channels across the country.

Weakness: High dependency on Chinese imports for certain components increases supply risk. Low spending on R&D limits development of proprietary technology.

Opportunity: Growth in use of IoT devices offers scope to diversify into other connected products. Increasing consumer preference for premium accessories can boost average selling prices.

Threats: Fast changing technology specs can render inventory obsolete rapidly. Intense competition squeezes margins in the price sensitive Indian market.

Geographically, the western and southern regions of India account for over 60% share of the India mobile phone accessories market in terms of value, led by states like Maharashtra, Tamil Nadu, and Karnataka having high disposable incomes and consumption.

The northern region, comprising states like Uttar Pradesh, Delhi and Punjab, has been fastest growing for the mobile phone accessories market over past few years on back of rapid urbanization and increasing smartphone penetration even in rural areas.

*Note:
1.      Source: Coherent Market Insights, Public sources, Desk research
2.      We have leveraged AI tools to mine information and compile it