Printer Shipments Down in Major India Cities, but Inkjet Leads with 52.2 Percent Share

According to market-research firm International Data Corporation (IDC), the printer market declined in India’s major 50 cities by 17.5 percent in fourth-quarter 2017 after a “momentous” third-quarter 2017.

According to IDC’s latest India Monthly City-Level A4 printer Tracker, the printer market in 50 major cities in India witnessed a decline of 17.5 percent in fourth-quarter 2017, following a strong third-quarter 2017.

Inkjet printers led the overall market with 52.2-percent market share. India’s Mumbai, Delhi, and Chennai were the top three cities in terms of sales, while Pune, Vadodara and Bangalore were the major growth markets in fourth-quarter 2017, with an average growth of 19.1 percent.

Although fourth-quarter 2017 witnessed a decline due to mitigation of India’s GST (Goods and Services Tax) impact for accounting, IDC says both vendor and channel partners pushed sales through channel schemes and end-user promotions across major markets, along with their regular channel-expansion programs.

According to Abhishek Mukherjee, senior market analyst for IDC India: “Low cost of ownership and printing compared to laser printers account for the increasing uptake of Inkjet printer category.”

Within the inkjet category, Continuous Ink Supply System(CISS)/ink-tank inkjet printers dominated the market in the fourth-quarter. Tier 3 and 4 cities generated 50 percent of the CISS sales volume. Requirements from SOHOs (small offices and home offices) and SMEs (small and mid-size enterprises), the co-operative banking segment, and printer-service vendors were the major drivers behind increased demand for ink-tank inkjet printers in these markets.

“Wide reach and depth of the distribution network are the key to catering to the demand coming from Tier 3 and 4 cities. Almost all the brands have increased channel presence in smaller cities to fulfil the demand,” added Mukherjee.

Vendor Highlights for Fourth-Quarter 2017 in India

• HP Inc. maintained its overall leadership in the A4 printer market in India with 45.9 percent market share in 50 cities across India. HP’s significant channel push in the latter half of the quarter ensured the brand’s leadership in India. HP focused on sales of entry-level laser printers, with demand originating mainly from SMEs and state-government customers in Tier 3 and 4 cities.
• As per the IDC India Monthly City-Level Printer Tracker, India’s West and North zones saw the major growth for HP. Mumbai, Pune, and Bangalore were the major growth-driving cities for HP. The West zone outpaced other zones in laser-printer contributions to HP, while the East zone had the highest contribution for inkjet printers.
• Epson took the first spot in the inkjet-printer market with 46.3 percent market share (24.2 percent overall). Epson’s reach through its distribution channel through its creation of reseller networks in smaller towns and rural market strengthened the leadership of Epson in the CISS inkjet-printer market. Pune, Chennai, and Siliguri were major growth markets for the brand. The East zone has been the highest contributor to Epson’s sales. While the Epson L380 inkjet printer has been the best-selling model overall for Epson, as well as in the inkjet category, Epson’s  M-series (monochrome CISS inkjet printer) enjoyed significant growth in Tier 2 and 3 cities as channel partners effectively developed newer markets such as cooperative banks, state government, etc., for the series.
• Canon secured the third spot in the overall A4 printer market with 22.5 percent market share in fourth-quarter 2017. Bangalore, Ahmedabad, and Trivandrum were the key growth markets for Canon. Canon’s CISS PIXMA G inkjet-printer series was the biggest contributor to Canon’s inkjet sales, accounting for 52 percent of Canon’s overall inkjet-printer sales. Canon’s strong channel push for its G-series printers with attractive channel schemes was the main reason behind its strong sales.

IDC’s India Outlook

“With Canon expanding its CISS portfolio, and Epson also launching new printer models in January, CISS share in inkjet printers will continue to grow, with major contribution coming from Tier 3 and 4 cities. In the A4 laser category, 21-30 ppm printers are gaining traction over 1-20 ppm printers, which have dominated the market historically. Strong demand of the higher-speed printers is likely to continue with major contribution coming from West Zone,” said, Nishant Bansal, research manager at IDC India.

About IDC Trackers

IDC Trackers provide accurate and timely market size, company share, and forecasts for hundreds of technology markets for more than 100 countries around the globe. Using proprietary tools and research processes, IDC’s Trackers are updated on a semiannual, quarterly, and monthly basis. Tracker results are delivered to clients in Microsoft Excel format and via on-line query tools. For more information, visit IDC here.

More Resources

• February 2018: Copier and Printer Sales Post Strong Growth for Fourth Quarter in India
• January 2018: HP Brings Multi Jet 3D-Printing Solutions to India
• January 2018: Canon India Expecting Printing Business to Fuel Double-Digit Growth in 2018
• November 2017: India’s Printer/MFP Market Records Record Shipments; Epson Inkjet Overtakes HP
• August 2017: HP Regains Inkjet Leadership Position in India’s Printer and Copier/MFP Market
• May 2017: IDC: Epson Inkjet Overtakes HP in India’s Printer/MFP Market
• May 2017: HP Bringing its New A3 Portfolio to India, Signs on 30 Resellers
• March 2017: IDC: Lower Inkjet and Laser Printer, Copier/MFP Sales in India Due to Demonetization
• July 2016: IDC: India Printer-MFP Market Down 2.2 Percent in First-Quarter 2016; HP Remains Leader