No-Interest EMIs and Refurbished Phones Boosted Smartphone Sales On Diwali

Unprecedentedly the sales of smartphones during the Diwali festival were driven by the demand for pre-used or refurbished units. Additionally, the no-interest financing schemes also boosted the demand for smartphones during the Diwali festival last week,  which was exceptionally better. These two factors combined offer a silver lining for smartphone sellers in India despite the fact that the organic demand for smartphones in India had been tepid. But no-interest finance schemes and refurbished smartphones boosted the sales of smartphones in the second-largest market of smartphones in the world. You are asked to stick with this page and go through this article till the end. Swipe down the page and learn more.

EMI

The managing director of electronic retailer Vijay Sales, Nilesh Gupta said, “Even as other appliances categories remained flat, our Diwali smartphone sales saw a 40% year-on-year growth. The introduction of zero-interest, two-year financing schemes for smartphones was the biggest driver of sales, even as buyers continue to hold on to their phones for more than 20 months,” The president of industry body All India Mobile Retailers’ Association, Kailash Lakhyani said that no-interest (zero interest) with two-year installment plan was the key aspect that drove the sales for small physical retailers. Scroll down the page and read more details.

Ranjit Babu who is the director of smartphones and televisions at Amazon India responded that Amazon India witnessed 2.5 times higher demand for smartphones during the festival season, which is mainly driven by no-cost financing and exchange offers. However, Flipkart did not comment on its Diwali sales for smartphones. Brands like Xiaomi expect the second half of the year to be stronger than the first half. Know more details of smartphone sales during Diwali in the following section. Scroll down.

Also Read:  Classified advertising companies in scrutiny from Competition Commission

Market stagnation among the buyers is a factor that drove the sales of smartphones, said Manish Khatri who is pattern at retailer Mahesh Telecom. Khatri further added, “Customers today regularly tell us that there’s no compelling reason for them to buy new phones, and the quality of existing phones has also become very good. Hence, new purchases are no longer being driven by organic demand, the only segment that is seeing such a demand is the premium smartphones market,” A retailer of multi-brand smartphones in Delhi said over the past year he added a refurbished smartphone outlet in their physical stores, driving sales in a weak year.

Amzad Khan
Amzad Khan

Hey there, guys. I am Amzad Khan. I enjoy writing on topics related to my interests in gaming and technology. My work has attracted a dedicated fan base thanks to the fresh and unexpected angle I bring to each piece.