This isn’t a new thing in the industry that offline retailers are angry at products being sold online but this time all leading offline retailers are preparing a boycott against Android One devices particularly. While they are already looking to figure out somehow stopping online e-commerce websites like Flipkart to eat up remaining parts in the market share pie further, they are all seems to be united against selling any Android One devices through their stores in the country. There are two prime reasons behind this boycott and retailers like BiC, Sangeetha Mobiles, Reliance Retail, Planet M Retail, Croma and many other are there in the list.
Most of the offline retailers have already joined hands together under We Will Act which is operating mainly to bring out fraud policies (may be) popular online e-commerce are following to provide products at such exceptionally low pricing.
And Google’s Android One is the victim!
During the month of September this year, Google announced three Android OS powered smartphones in the country which were manufactured by Micromax, Spice and Karbonn, individually.
These three smartphones were beginning of Android One program which is purely sketched to bring pure Android experience at much affordable price and India was the first country to start.
While two brands Spice and Karbonn are already complaining about plodding sale of their individual devices under Android One program, they made the devices available through offline retailers.
Results were too bad for both these manufacturers as Managing Director of Karbonn Mobiles, Pradeep Jain stated that he isn’t happy with online sales till now and nearly 3k device units are being sold offline while online number is still lower than 500 units.
Google’s earlier policy for these three devices was that all three will be available only through online e-commerce websites but after watching the sales graph not picking up the heat, these three devices are heading towards the offline retails. And none of them had expected such boycott for sure.
TheMobileStore earlier started selling Karbonn’s unit of Android One device but they are in no mood to bring other two devices in the chain.
Here Google’s plan to sell these phones through online stores only seems to be the prime reason but it isn’t the only one.
The dealer margin on all these three devices is also poor (3-4% only) which is the second reason for this big step. Google kept the price tag extremely competitive to attract consumers but this strategy isn’t going to help these devices to find any place on offline retail shops.
So the result is that you won’t be able to buy any of those pretty good Android One devices from retail market and the only option you got is to look at their individual online e-commerce websites.
Two things which came out clearly in the case are that devices which are available only on e-commerce have great offline market and secondly Android One program seems to be working poorly even when its initiated and handled by Google.