Premium smartphone sales in India grow by 112%: Counterpoint Research

In line with the global slowdown in smartphone shipments, Counterpoint Research's latest report reveals a 3% contraction in India's smartphone market in the first quarter of this year. However, this decline was less severe than analysts had predicted, a trend attributed to improving market conditions and falling inflation in the country.

Intriguingly, the premium segment of the market bucked this trend, surging by a staggering 112% year-on-year. This growth is believed to be a factor in Xiaomi's rapid decline in India, as market dynamics shift towards more premium devices, a shift further corroborated by this report.

Samsung led the pack in India, capturing 18% of the market share in Q2 2023, followed by Vivo, Xiaomi, Realme, and Oppo. This trend partly explains why emerging brands like Nothing are zeroing in on the premium segment, and why Apple is increasingly bullish about its prospects in India.

Interestingly, Samsung managed to outpace Apple in the premium segment, largely due to its foldable phones. However, this trend may reverse in the next quarter when Apple responds with the iPhone 15 series. Samsung has also introduced attractive price cuts for the older Galaxy S22 series and S21 FE, sweetened by the Finance+ program.

In the ultra-premium segment — devices priced above Rs 45,000 — Apple continues to reign supreme, commanding over 59% of the market. Consequently, India has now entered Apple's top five markets, a significant milestone. Earlier this year, Tim Cook visited India to inaugurate the first Apple stores in Mumbai and New Delhi. Furthermore, Tata Sons will soon begin manufacturing iPhones in India, further solidifying Apple's presence in the country.