Are smartphone sales soaring this Diwali due to GST cuts and new launches?
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Synopsis
This Diwali, India's smartphone sales have witnessed an extraordinary surge, thanks to reduced GST rates and exciting new product launches. Retailers report an unexpected boost in sales, particularly in mid-range and premium segments, as consumer enthusiasm continues to grow. Discover how this festive season has transformed the smartphone market landscape!
Key Takeaways
- Smartphone sales surged this Diwali.
- Lower GST rates boosted consumer spending.
- New product launches drove excitement.
- Mid-range and premium segments saw the most growth.
- Retailers expect continued sales momentum through year-end.
Chandigarh/Ahmedabad, Nov 12 (NationPress) The Diwali season has sparked a remarkable increase in smartphone sales across India, as retailers attribute this surge to heightened consumer enthusiasm, a decrease in GST affecting overall expenditures, and several new product releases, according to shopkeepers on Wednesday.
This year’s festive period has seen sales exceed expectations, particularly in the mid-range and premium smartphone categories.
Anil Dhingra, a mobile retailer in Chandigarh, noted that while the GST rate on mobile devices remained unchanged, lowered taxes on other goods have significantly improved consumers' buying power.
“Sales this Diwali have surpassed our expectations. The introduction of the iPhone 17 series has generated substantial excitement, resulting in a 40 percent increase in iPhone sales. Smartphones priced between Rs 25,000 and Rs 40,000 have also shown strong performance,” Dhingra informed IANS.
Another merchant, Amandeep Singh, shared similar observations, indicating that reduced GST and appealing promotions from manufacturers have motivated customers to upgrade their devices.
“Demand for Android phones priced from Rs 9,000 to Rs 36,000 has been robust. Likewise, iPhone sales have remained strong due to the recent launch, with estimates suggesting over five million iPhone units sold in India this season,” he remarked.
In Ahmedabad, shopkeeper Yashwant reported an impressive demand for Android smartphones. “Devices priced above Rs 15,000 have performed well this Diwali. While iPhone sales have increased compared to last year, Android continues to be the preferred choice for budget-conscious shoppers,” he noted.
With festive discounts, convenient financing options, and increased consumer excitement, retailers anticipate that the upward trend in smartphone sales will persist into the year-end.
The smartphone market in India reached a five-year peak during the festive third quarter of 2025 (Q3), marking a 4.3 percent year-over-year (YoY) growth to 48 million units, as indicated by the latest data from the International Data Corporation (IDC). Apple achieved its highest quarterly shipments in India during Q3 2025, reaching 5 million units and securing fourth place in the market for the first time.
Point of View
I reflect on how this year's Diwali season has not only uplifted consumer sentiment but has also significantly impacted the smartphone market dynamics in India. The combination of reduced GST and innovative product launches has created an environment ripe for growth. It's encouraging to see how retailers are adapting and thriving amid these changes.
NationPress
12/11/2025
Frequently Asked Questions
What factors contributed to the increase in smartphone sales this Diwali?
Improved consumer sentiment, lower GST rates, and exciting new product launches have significantly boosted smartphone sales during the Diwali season.
Which smartphone segments saw the most growth?
The mid-range and premium smartphone segments experienced the most growth, with substantial sales recorded for devices priced between Rs 25,000 and Rs 40,000.
How did the iPhone 17 launch affect sales?
The launch of the iPhone 17 series generated considerable excitement, resulting in a 40 percent increase in iPhone sales during the festive season.
What are the expectations for smartphone sales moving forward?
Retailers anticipate that the positive momentum in smartphone sales will continue through the year-end season due to festive discounts and consumer enthusiasm.
How did the smartphone market perform in the third quarter of 2025?
The smartphone market in India reached a five-year high in the festive third quarter of 2025, growing 4.3 percent year-over-year to 48 million units.
