Slowdown hits Indian PC Market

Slowdown hits Indian PC Market
Sales of PCs in India slumped last quarter as retail consumers cut back on spending amid elevated inflation, a deepening economic slowdown and an uncertain global economic outlook, said information technology research and advisory company Gartner Inc. in a report on Wednesday.

The Indian desk-based and mobile PC market fell by 5.9 per cent to nearly 2.9 million units in Q3, 2012 from the same quarter of last year, the company said.

The share of consumer purchases in the total PC sales in Q3 2012 fell to 47 per cent from 55 per cent in the same period last year.

Indian consumers are cutting back on spending on big-ticket items as high inflation hit pockets while growth in salaries and wages eases.

"This emphasises the fact that despite the festive season and availability of various end user schemes on PCs, the market was impacted by high inflation, global economic uncertainty and limited share of wallet as consumers preferred to spend on other consumer durables," Gartner said.

The desktop market slumped by 35 per cent in Q3 2012, year on year while the market for mobile PCs witnessed a 23 per cent increase.

Lenovo remained the leader in the Indian PC market with a market share of 17 per cent last quarter.

Dion Global Solutions Ltd

Read more about: inflation, economy
Story first published: Thursday, November 29, 2012, 9:30 [IST]
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