Samsung, Xiaomi in trouble as retailers threaten to boycott smartphone brands

Smartphone retailers have demanded that smartphone makers stop offering deep discounts on e-commerce platforms.

Over 20,000 smartphone retailers have threated to boycott Samsung and Xiaomi in India. (REUTERS)

E-commerce platforms like Amazon and Flipkart, drive a major chunk of smartphone sales in India. Online exclusive smartphone launches coupled with festive offers often motive buyers to ditch brick-and-mortar stores. The practice has long been criticized by the offline retailers in the country. And now, they are considering boycotting such smartphone brands including Samsung, Xiaomi, and OnePlus.

All India Mobile Retailers Association (AIMRA) has written to these smartphone brands to control the online discounts otherwise they will start deducting the difference and sell products at the online-equivalent prices, reported Economic Times.

"We feel the time has come for brands to take our issues seriously, else retailers and associations will not fear to boycott the brands. We are not in favour of force, but if the current scenario demands it, we shall not withdraw," the retailers body said in its letter.

The body had written a similar letter to the brands last month asking the smartphone companies to stop offering deep discounts on e-retail platforms. Following the letter, companies including Oppo, Vivo and Realme had acceded to the retailers' demands. However, Samsung and Xiaomi haven't responded to AIMRA's letter yet, added the body.