With the new Pixel 9 series launch on August 13, Google has finally realised that it needs to have a retail presence to gain a loyal user base in India. To execute this momentous feat, the U.S.-based search giant has partnered with Tata’s Croma and Reliance Digital to offer the Pixel ecosystem of devices to a larger audience in the world’s most populous country.

With the new retail expansion, Google said that the Pixel products will now be available in over 150 Croma and Reliance Digital outlets across 15 cities in India.

Counterpoint Research points out that offline retail captures around 60% of sales in the non-festive quarter and around 40% in the festive quarter due to ease of financing, trade-in and better bundling offers in premium devices.

“It makes sense for Google to scale offline as they have a good mind share in features like camera and AI and both of them can be explained better in offline channels,” said Tarun Pathak, Research Director at Counterpoint. But, it also need financing to scale things faster, he added.

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Before this retail expansion, Google used to sell Pixel devices only through Flipkart in India.

“Discoverability of Pixel devices has always been an issue. Though people, potential buyers do get intrigued by Pixel around launches they don’t then get enough touch points to experience it. These centres will help in that,” said Faisal Kawoosa, Founder of an industry research firm Techarc.

The Alphabet-owned company, for the first time ever, also announced the opening of three company-owned after-sales services centres in collaboration with Flipkart’s service arm, F1 Info Solutions and Services Private Limited. Earlier, it used to happen on call.

Google new service centers in India | Photo Credit: Haider Ali Khan

During the product briefing, a Google spokesperson said that not only Pixel users but Nest owners can also walk-in and get their products repaired.

These new initiatives by Google are viewed as an important step towards expanding its market share in India, which is just 0.1%, as per CyberMedia Research (CMR).

“Google’s aims at ramping up its offline retail presence in India marks a first in a series of strategic moves to build the brand presence in a very hyper-competitive market,” said Prabhu Ram, VP, Industry Research Group (IRG), CMR.

Pixel market share in India was 0.25% in 2023 and in a premium segment, it was 1%. In Q2, the market share was 0.4%, said Counterpoint.

Counterpoint believes that Google can be a dark horse in the Indian premium smartphone segment. “With new updates and focus on the India market, we expect sales of Pixel devices in India to become 3X within a year.” Most of the growth is expected in 2H of 2024.

To have an Apple-like ecosystem in India, Google, last year, had announced to making Pixel phones here with local partners like Dixon. On August 12, it announced the rollout of the first batch of Pixel 8 phones in India. While speaking to The Hindu, Google said to start producing Pixel 8a next in India.

However, its spokesperson said that Google is not looking to export as of now from India.

“For any brand to survive in India, omnichannel presence is essential as the proportion is 50:50 online-offline. This expansion to retail channels will give an edge on wider presence, especially in large format retails where the brand recall will be higher and relatable. With rising ASPs of devices the share of modern trade has gone up in the past two years,” said Upasana Joshi, Senior Research Manager, IDC India.

Google on Tuesday launched Pixel 9, Pixel 9 Pro, Pixel 9 Pro XL and its first-ever foldable to come to India, Pixel 9 Pro Fold. It also introduced the Pixel Buds Pro 2 and Pixel Watch 3 here.

“To gain traction, Google must address the current pricing challenges faced by its Pixel devices, making both new and older models more accessible to a wider consumer base which is crucial for the company to establish a strong foothold in India,” added Prabhu.

The channel expansion and local manufacturing mean better pricing of new products, Counterpoint argues. However, the new Pixel 9 series is not made in India currently.

Google has a good chance to gain a share in the enterprise segment as well, added Tarun.

Interesting...

India's economic rise has been nothing short of impressive. Boasting the world's fifth-largest GDP, the country is a powerhouse. But here's the paradox: despite this growth, India's GDP per capita, a more telling measure of national well-being, remains low. So, what's holding India back?

The Population Powerhouse Problem

India's large population, a strength in terms of workforce size, also dilutes its economic gains. Imagine a giant pizza. The bigger the population (more slices), the smaller the portion (income) each person gets. Rapid population growth makes spreading resources thin and improving living standards for all a constant challenge.

Uneven Distribution of Wealth

India's economic growth hasn't always translated to equal prosperity. While the rich are getting richer, a significant portion of the population struggles. This income inequality creates a skewed picture – the overall GDP might be high, but it doesn't reflect the reality of many Indians.

The Informal Economy

India's massive informal sector, encompassing millions of street vendors and small businesses, often goes unaccounted for in official GDP calculations. This thriving yet under-represented sector contributes significantly to the economy but doesn't reflect in the official per capita income.

The Education and Infrastructure Gap

A skilled workforce is crucial for economic progress. However, limited access to quality education hinders India's ability to create a competitive workforce. Additionally, inadequate infrastructure – from roads to power – creates bottlenecks that impede business growth and job creation.

Looking Ahead

India's economic story is far from over. By addressing these challenges – population control, inclusive growth strategies, and investments in education and infrastructure – the country can bridge the gap between its headline-grabbing GDP and the lived experience of its people.

What can you do?

This blog is just a starting point. If you're interested in learning more, you can search for terms like "income inequality in India" or "challenges of India's informal sector". Understanding these issues is the first step towards a more prosperous future for all Indians.

Sir Alex Ferguson's retirement in 2013 marked the end of an era for Manchester United. The legendary manager left behind a legacy of dominance, with 13 Premier League titles and two Champions League trophies to his name. But since then, the Red Devils have struggled to recapture that magic.

What are the reasons behind United's post-Ferguson slump? Let's delve into some of the key issues:

• Managerial Uncertainty: Replacing a figure like Ferguson was always going to be a daunting task. United has gone through six managers since 2013, each with their own style and philosophy. This constant change in leadership has created instability and made it difficult for the team to develop a cohesive identity.

• Transfer Market Missteps: United has spent a significant amount of money on players in recent years, but many of these transfers haven't lived up to expectations. Expensive signings haven't necessarily translated into success on the pitch, leaving fans questioning the club's transfer strategy.

• Loss of Identity: United were known for their attacking flair, strong work ethic, and a never-say-die attitude under Ferguson. Some argue the club has strayed from these core values, leading to inconsistency and a lack of direction on the pitch.

• Player Power: Whispers of a divided dressing room and player power issues have swirled around Old Trafford in recent years. This perceived lack of control and leadership within the squad could be hindering team spirit and performance.

There have been glimpses of hope, with a Europa League win in 2017 and a recent EFL Cup triumph. The arrival of new manager Erik ten Hag brings a chance for a fresh start. But the road to reclaiming their former glory will be long and arduous.

Can United overcome these problems and return to the top? Only time will tell. But one thing's for sure, the Red Devils need to find a way to recapture the spirit and philosophy that made them a force to be reckoned with under Sir Alex Ferguson.

Where does it come from?

Contrary to popular belief, Lorem Ipsum is not simply random text. It has roots in a piece of classical Latin literature from 45 BC, making it over 2000 years old. Richard McClintock, a Latin professor at Hampden-Sydney College in Virginia, looked up one of the more obscure Latin words, consectetur, from a Lorem Ipsum passage, and going through the cites of the word in classical literature, discovered the undoubtable source. Lorem Ipsum comes from sections 1.10.32 and 1.10.33 of "de Finibus Bonorum et Malorum" (The Extremes of Good and Evil) by Cicero, written in 45 BC. This book is a treatise on the theory of ethics, very popular during the Renaissance. The first line of Lorem Ipsum, "Lorem ipsum dolor sit amet..", comes from a line in section 1.10.32.

The standard chunk of Lorem Ipsum used since the 1500s is reproduced below for those interested. Sections 1.10.32 and 1.10.33 from "de Finibus Bonorum et Malorum" by Cicero are also reproduced in their exact original form, accompanied by English versions from the 1914 translation by H. Rackham.