Value surge to propel India smartphone market to $45bn this year
Mint, project a robust growth trajectory for the full year. Forecasts indicate a potential 15% revenue surge, breaching the $45 billion mark in FY25, compared to $39 billion in the previous fiscal year. Interestingly, this bullish outlook is despite the market volumes, which is expected to remain flat compared to 2023 levels, with projections hovering at 151-155 million units.
On Thursday, Counterpoint India said in a report that smartphone sales recorded an 8% growth from a year earlier, with shipments likely surpassing 33.5 million units. While this marks an improvement over last year, it falls short of the market's post-pandemic highs. The driving force behind this revival is the rise in average selling prices (ASPs) of smartphones.
According to Mint's analyst consensus, the ASP stands at $295, or around ₹24,600—up 20% in the past two years. This trend, hints at a premiumization of India's smartphone market, after enduring eight consecutive quarters of stagnation. Samsung, for instance, achieved its highest-ever ASP in India in Q4 FY24, reaching $425 ( ₹35,500).
Despite ranking third in terms of volumes, the Korean firm claimed the top spot in overall market value, capturing 25% of the $9.5 billion revenue generated during this period. Meanwhile, Apple, which does not rank in the top five in sales volumes, secured the second spot in revenue share, with a 19% share. Email queries to Apple, Samsung and Xiaomi did not elicit any response till press time.
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