46% of Indian consumers ready to stretch budgets for smartphones

Indian consumers’ smartphone purchase plans are evolving as rising manufacturing and component costs continue to drive up smartphone prices. According to Counterpoint’s latest consumer survey, 46% of consumers in India planning a purchase within the next six months are willing to stretch their budgets to purchase their preferred smartphones despite a price increase. This behavior is primarily driven by consumers aged 25-30 (52%) and is slightly more pronounced among Tier 1 consumers. This group includes consumers who are willing to stretch their budgets, opt for affordability-driven payment options, or even switch ecosystems to purchase their preferred smartphones.

29% of consumers will continue with their purchase by either staying within their planned budget or choosing a refurbished device. This behavior is most prominent among respondents aged above 50 (34%).

In contrast, 25% of consumers planning to buy a smartphone in the next six months will delay their purchase in case of a price increase in their preferred device. Most of these consumers intend to either continue using their current device for longer or get it repaired to extend its life. This behavior is more prevalent among homemakers and students.

Commenting on the impact of rising smartphone prices, Senior Analyst Arushi Chawla said, “Consumers’ dependence on smartphones has grown significantly, leading to a clearer understanding of the features and experiences they value. Against this backdrop, price increases are driving shifts in consumer purchase plans, creating opportunities for brands with strong pull, especially in the mid-to-premium segment. Brands offering a balanced portfolio across adjacent price bands are likely to benefit from this movement. At the same time, growing awareness of rising smartphone prices is shaping expectations for the 2026 festive season. Consumers are increasingly looking for stronger value through discounts, exchange offers, financing options and other affordability-driven promotions before making their purchase.”

The uncertainty created by rising smartphone prices elevates the role of retailers as the final influence on purchase decisions. At the same time, longer replacement cycles highlight the need for stronger after-sales support to build long-term value, while flexible financing and affordability-led payment options can help mitigate the impact of price increases and drive conversions.

Counterpoint Research conducted this consumer survey among 2,095 prospective smartphone buyers planning a purchase within the next six months. These respondents represent diverse demographics across genders, city tiers, age groups and occupations. The research explores the impact of higher prices on purchase intentions, spending patterns, upgrade behavior and brand preferences, offering a comprehensive view of how Indian consumers are responding to the evolving smartphone market. Counterpoint Research