The Indian personal computing market, encompassing desktops, notebooks, and workstations, reached an all-time high in 3Q24 with 4.49 million units shipped, marking a modest growth of 0.1% year-over-year (YoY), according to the latest data from the International Data Corporation (IDC) Worldwide Quarterly Personal Computing Device Tracker. While the overall market grew, individual segments experienced varying levels of performance, with notable growth in certain categories.

Key Points:

All-Time High Shipments: 4.49 million units in 3Q24, reflecting marginal growth.

Strong Performance in Commercial and Enterprise Segments: Commercial PCs grew by 4.4% YoY, and the enterprise segment saw a robust 9.6% growth.

Consumer Segment Challenges: The consumer segment declined by 2.9% YoY, despite aggressive e-tail discounts.

Premium Notebooks in Demand: Online festival sales drove demand for high-end notebooks, with a 7.6% increase in sales of premium models (>US$1,000).

@idc.com

Market Insights and Drivers of Growth

E-tail Sales Surge in 3Q24

The quarter saw significant momentum in PC sales, particularly during the online festival season. With e-tail sales kicking off early, many brands capitalized on this opportunity by offering substantial discounts, cashback offers, and bundled accessories. This led to the second-largest consumer quarter in history for the Indian PC market. According to Bharath Shenoy, Research Manager at IDC India & South Asia, brands also aligned their pricing strategies across both online and offline channels, enabling a diverse range of consumers to benefit from attractive deals.

Demand for Commercial PCs

The commercial PC segment experienced solid growth, up 4.4% YoY, driven by ongoing IT refresh cycles across businesses. The enterprise sector, in particular, showed strong performance, growing 9.6% YoY, indicating a positive trend toward IT investments as enterprises began to refresh their IT infrastructure. Navkendar Singh, Associate Vice President of IDC India, stated that the IT/ITES buying momentum is expected to build throughout 2025.

Top Players and Market Share Highlights

HP Inc. Leads the Pack

HP Inc. maintained its dominant position in the Indian PC market, holding a 29% share in 3Q24. The brand excelled in both commercial and consumer segments, with market shares of 34.3% and 24.8%, respectively. HP shipped 1.05 million notebooks, marking its third-best quarter ever. The company’s growth was driven by strong performance in the enterprise segment (30.2% growth YoY) and festive demand for consumer notebooks.

Lenovo’s Strong Performance in the Commercial Sector

Lenovo ranked second in the market with a 17.3% share. The brand’s focus on enterprise orders and small-to-medium business (SMB) demand paid off, securing a 20.3% share in the commercial market. Lenovo also experienced solid growth in the consumer segment, boosted by the online festival season, with a 3% YoY increase in shipments.

Dell Technologies and Acer Stand Strong

Dell Technologies ranked third, securing 14.6% of the market share. The brand was particularly strong in the SMB segment, growing 14.9% YoY. Despite the absence of aggressive discounting during the e-tail sales, Dell maintained a solid foothold in commercial PC sales, where it placed second after HP with a 20.8% share.

Acer, tied for third place with Dell, saw impressive growth, up 26.2% YoY. Acer capitalized on education projects and key enterprise orders to capture the commercial desktop segment, with a dominant 30.2% share. The brand also saw a surge in its consumer segment, growing 38% YoY, thanks to targeted e-tail sales during the festive season.

Asus Faces Challenges in Consumer Segment

Asus, the fifth-largest player with a 9.7% market share, faced a 22.3% decline YoY. However, it still managed to be a key player in the consumer market, securing a 16.2% share, second only to HP. Asus focused more on the commercial sector, where it saw a 5.5% YoY growth.

Looking Ahead: Positive Outlook for India’s PC Market

Despite some challenges in the consumer segment, IDC forecasts a positive outlook for the Indian PC market in the coming quarters. The commercial market is expected to continue its recovery, with increasing enterprise IT spending driving growth. Furthermore, the rising adoption of PCs for gaming, content creation, and AI integration will fuel demand in the consumer segment, especially as 2024 closes and 2025 begins.

As Navkendar Singh suggests, the growing demand for AI-powered PCs and the surge in gaming and content creation will help boost the consumer market in the second half of 2024, ensuring the market remains in the green heading into 2025.

Conclusion

India’s PC market in 3Q24 saw significant growth, driven by strong performances in the commercial and enterprise sectors, coupled with increased consumer demand spurred by online festival sales. Leading brands like HP, Lenovo, Dell, Acer, and Asus continue to dominate the landscape, each employing strategic tactics to cater to different market segments. With a positive outlook for both consumer and commercial markets, the future of India’s PC market looks promising as it moves into 2025.

Source @ www.idc.com