Smartphones, ACs, and Refrigerators to Drive Growth as Market Expected to Hit $100 Billion by December
NEW DELHI (Economy India): India is on the verge of becoming the third-largest market globally for consumer electronics, including smartphones, air conditioners (ACs), and refrigerators. By December 2024, the country’s consumer electronics market is expected to reach a staggering $100 billion (approximately ₹8.40 lakh crore), placing it just behind China and the United States.
Rapid Growth in Indian Market
Currently, Japan holds the third spot, but India’s rapidly expanding economy and growing consumer demand are set to outpace it. Products like smartphones, laptops, ACs, and refrigerators are leading this market surge. The festive season, starting from September 6, 2024, is expected to further boost sales in these categories.
India’s Market Growth Outpaces Global Competitors
China’s consumer electronics market is currently valued at ₹22.50 lakh crore, and the U.S. market stands at ₹13 lakh crore. However, India’s market is growing at the fastest rate. According to market research firm Counterpoint, the Indian consumer electronics market is expanding at a rate of 10%, significantly outpacing China’s 3.92% and the U.S.’s 3.3%.
“Affordable alternatives to expensive electronics are available in the market, catering to various consumer segments. Additionally, easy access to consumer loans has made it easier for people to purchase these products, fueling the rapid growth of India’s consumer electronics market,” said Tarun Pathak, Research Director at Counterpoint India.
Surge in Premium Smartphone Demand
The demand for high-end smartphones priced above ₹1 lakh is also witnessing a significant increase. In the first quarter of 2024, sales of these premium smartphones grew by 20%, followed by a 10% increase in the second quarter. According to Counterpoint’s report, during the festive season, sales of smartphones priced above ₹1 lakh could rise by 30-40%.
Apple and Samsung Dominate Premium Segment
In the premium smartphone segment, Apple holds a commanding 83% market share, while Samsung accounts for 16%. In the fiscal year 2022-23, Samsung India reported revenue of ₹98,924 crore, while China’s BBK Group earned ₹81,870 crore, and Apple India generated ₹49,321 crore.
BBK Group, which owns brands like Oppo, Vivo, OnePlus, and Realme, continues to maintain a strong presence in both the premium and budget segments in India.
The rapidly growing demand for consumer electronics in India and the increasing preference for premium products are set to make India one of the top three markets globally. With the festive season around the corner, the market is expected to strengthen further, solidifying India’s position as a key player in the global consumer electronics industry.
Economy India
