Google introduced Pixel as its own lineup of smartphones in 2016. It replaced the company’s Nexus series of handsets, which was the result of partnerships with leading Android OEMs.

Since its inception, these phones are being sold in India. However, despite being in the market for nearly seven years, the search giant has made no significant progress.

On the other hand, several other newcomers like Realme, Poco, and iQOO that entered India after 2016 have been quite successful in the region. If you were to argue that these are budget brands, it is worth adding that Google’s premium competitors like Apple, Samsung, and OnePlus have also done fairly well in the country.

So why Google is struggling in India? I try my best to answer this question in this opinion piece.

Google Pixel 7
Google Pixel 7

India is a budget-conscious market

India is a developing nation. Though the phone penetration rate is nearing the 80% mark, not all handsets used by people are smartphones.

India is one of the largest feature phone markets in the world.  As per IDC, in 2022 alone, companies shipped around 57 million units of feature phones in the country. That’s about 28% of the total mobile shipments (201 million) last year.

Thus, to garner market share, OEMs have to release handsets in the budget segment, especially the entry-level. This helps them to target low-income consumers as well as first-time smartphone buyers who are switching from feature phones.

For the last few quarters, this segment is struggling as brands are unable to produce this type of phones due to the current global economic scene. But it won’t be like this forever. However, Google does not sell budget and entry-level smartphones.

On the other hand, with the growing number of middle-class families with surplus income, consumers are gradually moving towards mid-range and more expensive smartphones. Thus, India is seeing a rise in sales of mid-range handsets.

Google’s ‘Pixel a’ series falls under this category. However, the new models are usually more expensive than competitors at launch.

Also, in terms of hardware specs, the ‘Pixel a’ series falls short in comparison with competitors. The only strong suite for Google is exclusive useful software features. But unfortunately, most of them are not available in India, such as ‘Call Screen’ and ‘Car Crash Detection’ to name a couple.

Brand perception among consumers

Google is a household name in India but we cannot say the same for its Pixel lineup of smartphones. When you think of premium smartphones, Apple, Samsung, and OnePlus are the three names that come to mind for Indian consumers.

With attractive deals, iPhones are being sold more in India than ever before. Apple sees great potential in India that it has started rolling out its first-party Apple retail stores in the country.

Then, there’s Samsung, which is generally considered the best alternative to Apple, especially in the ultra-premium segment. Further, OnePlus once ruled the premium segment in the region but it has fallen slightly with the availability of iPhones at a cheaper price.

Pixels in general do not stand out as a premium offering in India. They neither have the raw specs like OnePlus nor the familiarity factors associated with Samsung. While Apple has always been a luxury brand. 

Also, Google does not have a wide after-sales network like the competition. And it is not consistent with its product lineup since it skipped the launch of Pixel 4, Pixel 5, and Pixel 6 in India.

Distribution and production

Google has the potential of improving the Pixel brand perception in India through solid distribution. But unfortunately, it is still lacking in this regard.

Currently, Pixels are sold exclusively online via Flipkart in India, and that too in limited quantity. Thus, they get sold out very quickly at times. For the unaware, previously, Pixels were available at select offline stores like Reliance Digital.

Google sells mid-rangers and premium devices, which are expensive for most Indians. Hence, these products need to be experienced by consumers to understand what they are getting in return for their investment.

Despite being in India for years, Google is yet to initiate local manufacturing (assembling) of its Pixel smartphones in India. This has now become crucial for any brand to break into the country.

India imposes heavy import duty on finished products to boost its local manufacturing under Make in India program. This is one of the several reasons why Pixels are more expensive in India than other markets.

Closing thoughts

Google is in no position to release entry-level and budget smartphones. So that’s out of the equation.

However, the company can work on the remaining factors discussed above. The Pixel brand perception can be improved with appropriate marketing tactics. Most importantly, the handsets must hit the offline markets.

Google cannot bring certain software features to India due to complexity and regulatory concerns. But the search giant has enough resources to develop new features for Indian consumers. Finally, as for local production, Google is already working on it. If it succeeds, this could bring down the price and enhance availability.

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