Apple iPhone (Representative Image)
The demand for high-end smartphones in tier-2 and 3 cities is reportedly 50 percent higher than it was in 2019 due to increasing brand awareness, more payment options and pent-up demand.
Mobile retailers in these smaller cities and towns are seeing record demand for phones priced above Rs 40,000 like the newly launched Samsung flip phone and Apple’s iPhone 13 series, an Economic Times report has said.
“I am getting consumers from Valsad, Mehsana, Vapi, Anand and Kalol asking for Apple iPhone 13, Samsung’s flip phone. Inquiries have also come in for Vivo’s upcoming launches in the higher ranges,” said Nikunj P Patel, who owns 45 stores under his retail chain Fonebook in Gujarat.
According to analytics firm PredictiVu, the demand for premium phones between metros and non-metros is 80:20 and the ratio will be narrowed down to 65:35 by the year-end.
The gap would have closed even further if the industry had not faced the chip shortage that derailed the supply of smartphones, the report said.
Growth has been seen in smaller cities in Haryana, Punjab, Rajasthan, Karnataka, Tamil Nadu and Kerala as well, the report said.
Navkendar Singh, research director at IDC, said that there was an unprecedented 50 percent increase in demand (in smaller towns and cities) for the premium and mid-premium segments compared to 2019.
“The launches are fewer now and there is disposable income, which in turn, is pushing the demand,” Singh was quoted as saying in the report.Internet Explorer Channel Network