Entry level, refurbished smartphones to be in focus, once sales resume

New Delhi: The COVID-19 impact may rekindle the cheaper smartphone segment, which had been shrinking for the past four years, as consumers cut back on discretionary spending and buy phones only for immediate needs.

The share of smartphones priced below Rs 5000, categorized as entry-level, has trailed from 12% in 2017 to 4% in 2019, whereas, for those priced between Rs 5000-Rs 10,000, categorized as basic, it has fallen from 45% to 42%. The downward trend in both categories is likely to stabilize as both price bands will continue to hold their current market shares, experts say. This might also drag down average selling price (ASP) for smartphones by 10%-15% from $180 currently, according to estimate by Counterpoint Research.