Chinese Smartphone Oppo & Vivo Cut 40% Retailers Margin in India
Smartphone makers Oppo and Vivo have cut down retail margins by over 40% in India. Both Chinese smartphone companies cut the margin offered to large chains to 14-15% from 23-25%, the executives said. They reduced it to 5-6% for standalone stores from 15-16%.
As per the report published in economic times, both Oppo and Vivo have lost about 10,000 sales outlets each. Both had about 70,000 outlets each in the country before the margin cuts and the number of stores selling their phones may fall further, they said.
Founded by Chinese billionaire Duan Yongping, Oppo and Vivo together have a 17% share of the market in India. As per the sources, the reason for this cut down is to make the companies profitable. One of the retail chain in Tamil Nadu, Sangeetha Mobiles has stopped selling Oppo ...