Handset retailers’ earnings hit as mobile brands erase sales incentive

NEW DELHI: Handset brands such as Samsung, Vivo and Oppo have withdrawn monthly sales targets for their offline retail partners, and also changed the margin structure for the stores in the wake of dwindling demand for mobile phones due to the economic impact of COVID-19 crisis on consumer spending.

While the removal of sales targets would offer some relief to beleaguered retailers who are facing a near washout in sales due to Covid-induced restrictions, this also means the brands have done away with the incentives they used to offer on meeting such sales targets, say industry players.