Smartphone brands brace for 9-10% festive sales drop as higher prices dampen demand

New Delhi | Kolkata: Smartphone brands are expecting a tepid festive season, with sales expected to decline 9-10% compared to last year, as sustained handset price hikes are weighing on demand, said industry executives and market trackers.

Executives said brands are still finalising their festive season strategies. Their plans are getting hampered by persistent smartphone price increases and uncertainty over component spot prices next quarter. The expectation is that handset makers will still offer festive discounts, which has emerged as a crucial lever of driving sales in the Indian market.