More Indians splurge on luxury phones priced above Rs 1 lakh; Apple, Samsung continue to dominate

India is seeing a growing appetite for high-end smartphones, with more people purchasing phones priced over Rs 1,00,000. In the first half of 2024, the number of shipments of these premium smartphones increased significantly compared to last year, reflecting a trend towards luxury devices.

According to Counterpoint, in the first quarter (Q1) of 2024, smartphone shipments in this price range rose by 20 per cent year-over-year (YoY). The trend continued into the second quarter (Q2), where shipments saw a 10 per cent YoY increase. These expensive smartphones accounted for just over 1 per cent of the total market in the first half (H1) of 2024. Analysts expect this share to rise slightly in the second half of the year, boosted by the launch of new models like the Samsung Galaxy Foldables and the latest iPhone series.

Looking at the broader picture, the growth in the Rs 1,00,000+ smartphone segment has been impressive over the past few years. In 2021, shipments in this category grew by 14 per cent compared to the previous year. The growth rate surged to 96 per cent in 2022, before settling at a still-strong 53 per cent in 2023. This indicates a consistent rise in consumer demand for premium smartphones.

Brand performance in 2024

When it comes to brand preference, Samsung and Apple dominate the market for high-end smartphones in India. In the first quarter of 2024, Samsung held a commanding 73 per cent share of the market, while Apple accounted for 26 per cent. However, in the second quarter, Apple’s share increased to 39 per cent, while Samsung’s share dropped to 59 per cent. Other brands remain almost non-existent in this segment, capturing just 1-2 per cent of the market.

Yearly market share shifts

Samsung and Apple have consistently been the top players in the Rs 1,00,000+ smartphone segment over the past few years, though their market shares have fluctuated. In 2021, Apple led with a 57 per cent share, while Samsung held 43 per cent. By 2022, Samsung had overtaken Apple with a 65 per cent share, leaving Apple with 35 per cent. In 2023, Samsung remained on top with 52 per cent, though Apple closed the gap slightly, securing a 46 per cent share.

As we move further into 2024, it will be interesting to see how the competition between these tech giants evolves, especially with new product launches on the horizon. The demand for premium smartphones in India shows no signs of slowing down, signalling a shift in consumer preferences towards more expensive, feature-rich devices.