The Future of Feature Phones: Bright and Brilliant

Smartphones are so much embedded in the mobile market that it seems tough to recall the time when they were not around. But we all know that before smartphones, there were feature phones, which introduced us to the mobile communication. These phones were very basic in nature and had limited capabilities. With time, companies tried to introduce new features like colored screens and music to these phones and were considered a very good alternative, as they were good in providing basic connectivity at much lower costs.

Due to high cost, smartphones were ignored at one time. Gradually, mobile manufacturing companies started bridging gaps between a feature phone and a smartphone by introducing cheaper versions of smartphones. These versions had Android interface and more and more attractive features. Soon, features phones starting fading away from the market as we see.

Unlike what we think, there are still a number of users who use feature phones and when this number is in million, we cannot ignore. While the countries like Singapore, Taiwan ands Australia has completely shelved their 2G networks, Indians are still holding onto their 2G handsets. Feature phone manufacturing companies in India and other countries have further added some advanced versions such as basic access to the Internet and allow people to store and play music to these basic phones. What else they need and thus, feature phones are still their favorites.

According to a recent report Mobile Marketing Association and market research firm Kantar IMRB, out of 979 features phone users surveyed in India, only 15% intend to switch to smartphones in their next purchase.

What are the reasons for this?

·     The very first deterrent is the cost of the smartphones. Forget about 4G, nine out of ten people in India are still stuck to 2G networks because 3G phones are expensive for them. Rural and lower-income groups are not able to afford state-of-the-handsets.

·       Another reason is battery life. Due to frequent power cuts in Indian villages till date, people cannot afford to keep power-hungry smartphones. Feature phones with longer battery life is much preferred over them.

     Another hurdle is to convince people to use the complicated touchscreen instead of the simple keypads of feature phones.

The reasons for not picking smartphones are clear but one should also know the reasons that why people still run for basic feature phones when there are low-cost smartphones available in the market. Let us see-

·   Simplicity: The basic function of a phone is to make and receive calls and enable text messages and this is exactly what a feature phone does. In India, there are millions of users who do not use their phones for anything else except making calls. So, if this simple feature is available in a simple device, why would people opt for higher versions.

·        Durability: Low-income group people such as farmers and laborers, who are living in harsh conditions, use most of the feature phones. It is very important for them to have a durable phone so that they can take it anywhere and use it in any conditions.

·         Inexpensive: No matter how much low cost a smartphone is, it can never beat the price of a feature phone. In fact, advanced feature phones can do majority of things that an entry-level smartphone does. This price restriction will stay there for some time and this will prolong the future of feature phones.

·         Longer battery life: If a fully charged feature phone is used moderately, it can be used for a week without charging. On the other hand, smartphones need to be charged on daily basis. Longer battery life of feature phones is advantageous for people living in rural areas where electricity is a luxury.

·       Size: For smartphones, “bigger is better” is in trend but that makes keeping and maintaining phones cumbersome. You cannot keep phones in your pocket or small purses. On the other hand, feature phones are small enough to slide easily in pockets.

Mobile marketers believed that once the user starts using his phone in a certain manner, he does not want to change. Based on this assumption, it was important for companies to revive features phones and incorporate new and better features in them. Feature phone manufacturers in India started modifying codes that fit into a feature phone without a touchscreen. This gave new and enhanced features to feature phones such as GPS tracking, photo gallery, and emails.

Recently, in February, the iconic Nokia 3310 made a comeback. This clearly states that feature phones have a bright future especially in emerging markets of Asia and Africa. The introduction of the low-cost 4G feature phones is another evidence that shows that feature phones are taking a rebirth.

According to Counterpoint research, it is estimated that 60 million 4G-enabled feature phones will be shipped globally in 2017. Surprisingly, half of these sales are expected to come from India. Around 200 million 4G-feature phones are projected to sell over in next five years in the country. 4G feature phones are a middle ground between smartphone-averse users and telecommunication companies that want their customers to switch to 4G networks. These phones are low-cost devices and come pre-loaded with an array of apps and services including music, social networking and much more.

Many key companies have already stepped into this nascent market. Earlier this year, chipmaker Qualcomm introduced its Qualcomm 205 Mobile Platform that can bring 4G LTE connectivity and 4G services to entry-level feature phones. It will also facilitate faster and more secure access to financial transactions.

Another major announcement was made by one of the biggest players in telecom, Reliance Jio. The company started retailing India’s first ever 4G VoLTE (Voice over LTE) phone by domestic smartphone manufacturer Lava in February 2017. The company has also launched its own 4G-enabled feature phone at under Rs 999- Rs 1499. Micromax, another local brand, is also working on introducing its own VoLTE phone after the resounding success of Reliance.

Judging all these facts, it is quite clear that there is a future of feature phones and it is just the start of their comeback.