Rising smartphone prices are increasingly influencing buying decisions, with 66% of Indian consumers planning to purchase a smartphone in the next six months saying they have noticed an increase in device prices, according to Counterpoint Research’s annual global smartphone consumer survey.
India has one of the highest levels of smartphone price awareness among the five markets surveyed, behind China at 81% and Germany at 70%. The US and the UK recorded 50% each.
Smartphones also rank among the top two everyday product categories where consumers are noticing significant price increases, alongside fuel and gas, and groceries and daily essentials.
Consumers delay upgrades as smartphone prices rise
The survey, which covered more than 5,000 consumers across India, China, the US, the UK and Germany who plan to buy a smartphone within the next six months, found that rising prices are making consumers more careful about when and how they buy their next device.
“Rising memory costs are pushing smartphone prices higher, leaving OEMs with limited room to absorb the impact. Consequently, by the end of 2026, prices of existing smartphone models are likely to go up by 20% on average worldwide and new launches up to 30% YoY,” said Tarun Pathak, research director at Counterpoint Research.
He said consumers are responding by delaying upgrades and timing purchases around major sales events, while financing and trade-ins are helping support demand in premium markets.
Across the five markets, 50% of consumers planning to buy a smartphone said they would time their purchase around an upcoming festive or holiday sale. Younger consumers are more likely to wait for such events, with 56% of Gen Z and 50% of Millennials planning their purchases around festive or holiday periods.
Diwali emerges as key buying window in India
The festive season is particularly important in India. As many as 69% of Indian respondents said they plan to time their smartphone purchase around festive or holiday sales, the highest among the markets surveyed. Germany followed at 57%, while the US stood at 48%.
In India, Diwali is emerging as the key smartphone shopping period, with e-commerce sales, deals and offers influencing 53% of consumers planning their purchase around the festive season.
The survey also shows that consumers may not necessarily wait for the biggest discount. Instead, they are looking for offers that provide the right value.
“For consumers planning to buy a new smartphone, the upcoming festive/holiday seasons offer a key opportunity to lock in a deal before prices rise further,” said Claudia Krehl, associate director at Counterpoint Research.
According to the survey, 44% of consumers globally said they would stretch their budget to buy their preferred smartphone if available offers fall short. Another 35% would look for alternatives within their budget, while 37% would delay the purchase.
The type of offer consumers prefer also varies across markets. Price discounts are the most preferred deal in India, cited by 37% of respondents, while 20% preferred them in China. German consumers showed a stronger preference for free storage upgrades, while free-phone offers were most preferred in the US. In the UK, free gifts or accessories topped consumer preferences.
With smartphone prices rising and memory costs putting pressure on manufacturers, the festive season is becoming less about simply finding the cheapest phone and more about finding the right combination of price, offers and features.
For smartphone brands, this means the ability to offer the right financing, exchange benefits and locally relevant festive deals could become as important as headline discounts in converting consumers this festive season.