Round Table: Has Micromax fallen from trendsetter to follower?

The Canvas Turbo wasn’t much of surprise given the fate their previous flagship suffered. The Canvas 4 received a lot of flak overall since everyone expected a lot more out of a flagship handset, especially since there were other Chinese handsets in the market that offered better specifications for less. Full HD handsets have been available from companies like Oppo and iBerry for the past couple of months now so why is Micromax so late to the party? Rather than setting a trend like they did with the original Canvas, they seem to be playing catch up to new up and comers in the Indian market. Has success made them complacent? Is the signing of Hugh Jackman as their brand ambassador an effort to increase their footprint in global markets or just a desperate cry to get people’s attention away from rapidly growing brands like Gionee and XOLO? 

Can Hugh Jackman be the lucky charm Micromax needs?

Anujeet Majumdar: 

In my opinion, it looks like Micromax got complacent. The fact that they are now the second largest smartphone manufacturer in the country (according to sales figures), second only to global smartphone giant Samsung, and the positive response that it has been getting for many of its budget handsets culminated in giving the company a false sense of security. The Canvas 4 and the lukewarm response that it got, was a wake up call for the company. But it may be a bit too late.

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Despite signing Hugh Jackman as the brand ambassador for the Canvas series, what matters to me is the phone. And the company has a lot of local competition from the likes of Xolo, iBerry and even Wickedleak. The fact that Micromax took this long to come up with a Full HD smartphone i.e. the Canvas Turbo, suggests that the company is not a trend setter anymore. Instead it is playing a desperate game of catch up.

That being said, there is still a good chance that the company can bounce back. But it will really need to get ahead of the game if it hopes to stand out in the budget Android market in India. One point that the company needs to address is the after sales services provided to its users. As a potential trend setter, it will definitely help if Micromax stands out, not just for its products, but for the efficiency and service given to customers. Global brands like Apple have an excellent after-sales service overseas, and Micromax can definitely take a few pages out of the the iPhone maker’s book. 

Nimish Sawant:
Well, if you look at the global picture, most local mobile phone players are aping what is already being done by major players such as Samsung, Sony, etc. As far as the Indian market is concerned, yes Micromax is a huge name and is the only local brand that has quick brand recall value. Sure, it let a lot of us down with the not-so-impressive Canvas 4, but I wouldn’t agree with the statement that it has become a trend follower in the local smartphones scenario. Brands such as Wickedleak and iBerry may have come out with better offerings, but unless people are really clued into the local smartphone market, these brands may not necessarily be on the same page in terms of popularity as say a Micromax. It’s a cut-throat market out there, so it is not just about coming out with better phone, but there needs to be awareness about the same. The phone needs to be available across the country. Micromax being an old player has the distribution networks which other local brands still need to develop. People need to be buying phones in huge numbers to really make a dent in Micromax’s sales numbers. I don’t think that is really happening. Even some Chinese brands such as Huawei, Gionee and Lenovo have good phones, but it will take some time for them to become as mainstream as say a Micromax.

Let us not forget that Micromax has a 22 percent market share which is growing and it’s second only to Samsung’s 26 percent according to a 2Q13 IDC report. Karbonn is at no.3, with a 13 per cent market share. Surely, Micromax is doing something right. Another advantage Micromax has over the other local competitors is its wide range of phones. So even if it comes late to the market with a phone whose specs are identical to other local brands, Micromax can afford to adjust the pricing in a way that it becomes difficult for the other brands to make a profit. 

After having signed on a Hollywood A-list star - Hugh Jackman, Micromax has made its intent clear. It doesn’t just want to remain a local brand anymore. And if it is looking at international markets, it surely will have some good products in the pipeline.

Sure, it has competition from other local brands such as Karbonn and Lava/Xolo, it may have been slow coming out with its first Full HD phone and so on. But that can be considered as a one-off. Maybe they did get complacent, now that they are no.2. But, I don’t think being a trend follower or trend setter really matters in the local phone market. It all boils down to the price proposition and how much value you can derive out of the phone. 

Roydon Cerejo:
I strongly feel the success of their Canvas 2 and Canvas HD has made Micromax very complacent as their aggressive streak seems to have vanished. Instead of getting a beast of a flagship, which they could have easily pulled off, we get something like the Canvas 4 followed by other irrelevant fillers like the Doodle and Doodle 2. Another area where they really need to improve upon is the build quality. Just look at the build and finish of handsets from XOLO and Gionee and you’ll know what I’m on about. I don’t think there’s a single Micromax handset that comes close to the aesthetics of the Elife E6 or the older A800 from XOLO. Rather than signing a Hollywood star like Hugh Jackman, I feel Micromax should focus their budgets on getting a better ODM for their phones instead of hunting down stars on Beverly Hills.

Want to know more about the Canvas Turbo? Do check out our specs comparison between the A250 and the Gionee Elife E6, its arch nemesis.