Smartphone sales in India rose 6-8% year-on-year (YoY) during the recently concluded festive season (Diwali), driven by the increased demand for 5G connectivity and replacement needs.
General trade market share also experienced a notable boost, rising 35-40% YoY. “Overall, it was a better Diwali than last year. We are anticipating an 8% increase in volume and 25% growth in value during the 30-day festive season beginning from the first online sale,” an ET report said, quoting Tarun Pathak, research director at Counterpoint Research, a technology market research firm.
Meanwhile, according to the report, Cybermedia Research (CMR), a marketing research and consulting agency, has forecasted a 6-8% YoY volume growth. The prediction includes the anticipation that three-fourths of smartphone sales during this period will be contributed by the upgrade to 5G models.
In a statement, Shipra Sinha, an analyst at CMR, said, “During the festive season, the affordability initiatives and EMI offers significantly influenced consumer preferences, steering them towards premium smartphones.”
Amazon India, reported a notable increase in premium smartphone sales, selling 2.5X more compared to the previous year. The company also highlighted that 60% of all smartphones sold were 5G ready, and 70% of smartphone orders originated from Tier II and beyond.
Amazon and Flipkart recently disclosed their festive sales figures. Amazon recorded over 9.5Cr customer visits on the early access day and the initial day of the Great Indian Festival 2023 sale, while Flipkart logged 9.1Cr user visits in the first 48 hours of The Big Billion Days sale.
During the first two days of the sale on Amazon, OnePlus and Samsung emerged as the most popular smartphone brands.
In the first week of Indian festive sales, Apple’s iPhone sales exceeded 1.5 Mn units, a historic achievement according to Counterpoint Research. Overall smartphone sales increased 25% in value during the festival’s initial week, ending on October 15.
Counterpoint noted that 80% of phones sold on Amazon and Flipkart in the first 48 hours were 5G capable. Premium segment sales almost doubled across online channels, as per Counterpoint’s findings.
The smartphone market in India recorded 43.0 Mn shipments in Q3 2023, registering a YoY decline of 3% from 44.32 Mn in Q2 2022.
India currently has 931 Mn+ smartphone users, which are expected to reach 1.1 Bn+ by 2025, growing at a CAGR of 22%.
India’s ecommerce is expected to grow 18-20% to INR 90,000 Cr this festive season, up from last year’s INR 76,000 Cr, driven by a robust economy and increased consumer spending, as per Redseer report.
The post Diwali Fervour: Smartphone Sales See A 6-8% YoY Spike Triggered By 5G & Replacement Needs appeared first on Inc42 Media.
