‘Mobile and audio are synergistic…Indian consumers have evolved’: Sony MD Sunil Nayyar

The Japanese electronics major touts audio as its next big growth area in India. (Image: Anuj Bhatia/Indian Express)

Even though Sony has been absent from the smartphone market in India, the Japanese electronics major touts audio as its next big growth area here. In fact, the audio category now contributes over 20 per cent to Sony India’s sales. That figure shows why Sony is bullish on the audio market, especially on the premium side where the company positions its products.

“There has been a very distinct change in consumer behaviour over five years,” said Nayyar. “Everybody says premium is growing and we are also part of the same ecosystem,” he said, adding that consumers buying premium audio products is a “natural progression” and is a reflection of the larger consumer trend across industries.

Sony has about 78 per cent market share in the overall ANC (active noise cancellation) headphones segment. (Image: Anuj Bhatia/Indian Express)

A key aspect of Sony’s strategy to dominate the high-end audio market is to stay away from the budget market and keep its products priced on the higher side. “It’s not that we don’t sell entry-level headphones and TWS but largely our growth and investment strategies are towards growing the premium sector,” he explained. Nayyar added that while he understands that launching truly wireless earbuds under Rs 2000 will bring more volumes it also means compromised quality and Sony doesn’t want to take that path. “We want to make sure that the products are good and when that philosophy is guiding us, price points never become a core philosophy.”

Sony has about 78 per cent market share in the overall ANC (active noise cancellation) headphones segment, according to the company’s own estimates. Similarly, it holds nearly 56 per cent share in the soundbar category in the above Rs 15,000 segment. Meanwhile, Sony has about 21 per cent market share in the TWS segment above Rs 5,000 in India, a high-growth segment where the Japanese company competes with Apple.

Costing Rs 64,990, its latest SRS-XV800 is a gigantic party speaker that gets really loud. (Image: Anuj Bhatia/Indian Express)

At a time when Sony is facing intense competition from homegrown players like BoAt and Noise who play on price, the company is doubling down on premium headphones and soundbars while also adding speakers designed for house parties. Costing Rs 64,990, its latest SRS-XV800 is a gigantic party speaker that gets really loud, has wheels that make it easy to move it around, can be seamlessly paired with your smartphone, and offers a 25-hour battery.

For Nayyar, Sony’s focus is on drawing consumers into buying and staying with their audio products. “We want our consumers to upgrade…if they buy an entry-level or a mid-level audio product then we want them to scale up to the next premium level. So definitely that effort is always on.”