Sales of smartphones over ₹1 lakh surge, buck mkt trend

Despite the hefty price tags, demand among consumers for smartphones priced at ₹1 lakh or above is on the rise, bolstered by rising average selling prices (ASPs), better financing options and a wider portfolio of products.

- ARYAMAN GUPTA SHARLEEN D'SOUZA

Although this segment currently makes up just one per cent of the overall market, it is growing faster than other categories. This comes when growth in the overall market remains muted.

Shipment of handsets priced higher than ₹1 lakh surged by 20 per cent and 10 per cent year-on-year (Y-o-Y) in the first and second quarters (Q1 and Q2) of 2024, respectively, according to data from research firm Counterpoint. "We are expecting between 30 and 40 per cent growth in this segment during the festival season. We may see a lot of consumers upgrading as refresh cycles kick in," said Tarun Pathak, research director at Counterpoint Research.

While Apple and Samsung dominate this market with their iPhone and Galaxy S series offerings, over the last year, brands like Xiaomi, Vivo, OnePlus and Google have also entered the fray. They have introduced their own 'super-premium' smartphones, signalling an impending shake-up in the market.