According to a Counterpoint Research survey of over 5,000 consumers across China, India, the US, the UK, and Germany, 63% of those planning to buy a smartphone in the next six months have noted rising prices. Smartphones are now ranked among the top two categories for price increases, alongside fuel and groceries.
China leads in consumer awareness of price hikes at 81%, followed by Germany at 70% and India at 66%. Analysts attribute these trends to rising storage costs, which OEMs struggle to absorb. Projections suggest that by the end of 2026, average smartphone prices will rise by 20%, with new models potentially seeing increases of up to 30%.
To cope with rising costs, 50% of respondents plan to wait for holiday sales to make their purchases. This behavior is particularly prevalent among younger demographics, with 56% of Gen Z and 50% of millennials opting for promotional periods. India shows the highest propensity for this strategy, with 69% of consumers waiting for sales.
Consumer reactions to insufficient discounts vary. While 44% of buyers are willing to increase their budgets for preferred models, 35% choose to look for alternative brands within their original price range. Additionally, 37% of consumers prefer to delay their purchase entirely. Installment plans and trade-in programs remain key drivers for demand in the premium segment.
