India’s Smartphone Market Bounces Back with 7-8% Growth After Two-Quarter Slump
After two consecutive quarters of decline, India’s smartphone market has finally shown signs of revival. Market research firms report that smartphone shipments grew 7-8% year-on-year in the June 2025 quarter, with around 37-38 million units shipped.
The rebound was fuelled by a wave of new smartphone launches across budget, mid-range, and premium segments. Retailers also benefited from higher channel margins and aggressive marketing campaigns, which helped boost visibility and sales.
However, analysts caution that consumer demand remained somewhat muted, and the record-high average selling price (ASP) of $275 in Q2 — a 10.8% YoY increase — could limit overall annual recovery.
Apple Continues to Shine
Apple maintained its momentum in India, posting a 21.5% YoY shipment growth in the first half of 2025, with 5.9 million iPhones sold. The iPhone 16 emerged as the highest-shipped smartphone model across the country in H1 2025, accounting for 4% of all smartphone shipments.
Offline Retail Gains Ground
While online sales stagnated in Q2 2025, offline channel shipments grew an impressive 14.3% YoY, increasing their market share to 53.6%. Experts attribute this to exclusive in-store promotions, hands-on demos, and the growing preference for personalised buying experiences.
Shipments by Price Segment – Q2 2025
|
Price Segment |
Share of
Shipments |
YoY Growth |
|
Budget (<₹15,000) |
38% |
-2% |
|
Mid-Range (₹15,000–₹30,000) |
35% |
+6% |
|
Premium (₹30,000–₹50,000) |
17% |
+12% |
|
Ultra-Premium (>₹50,000) |
10% |
+20% |
Insight: The premium and ultra-premium segments saw the highest growth, mainly driven by iPhone and flagship Android sales, while the budget segment declined slightly due to rising ASPs.
Top 5 Best-Selling Smartphones in India (H1 2025)
- Apple iPhone 16 – Dominated the charts with unmatched demand in both online and offline markets.
- Samsung Galaxy S25 Ultra – Strong flagship performance with cutting-edge camera tech and premium design.
- OnePlus 13R – Excellent balance of power, 5G capabilities, and competitive pricing.
- iQOO Neo 10R 5G – A favourite among gamers for its high refresh rate and performance-driven hardware.
- Redmi Note 14 Pro+ 5G – Affordable 5G option with strong sales in the budget-conscious segment.
What’s Next for 2025?
Analysts predict that festive season launches, combined with 5G adoption and exchange offers, could sustain growth in the second half of the year. However, the high ASP trend might continue to challenge budget-conscious buyers.
The next few quarters will determine whether this rebound turns into long-term market momentum or remains a short-lived spike.
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