As 2025 draws to a close, India’s consumer electronics market is showing clear signs of evolution, one driven not just by volume, but by premiumisation, wider geographic adoption, and more informed buying behaviour. Insights shared by Zeba Khan, Director, Consumer Electronics, Amazon India, highlight how customers across the country are upgrading to higher-end devices, with tier 2 and tier 3 cities emerging as key growth engines for categories ranging from smartphones and laptops to large appliances and home entertainment.
Consumer electronics delivered strong growth in 2025, with premiumisation emerging as one of the most defining trends of the year. As Khan notes, “Consumer electronics delivered strong growth in 2025, with momentum expanding beyond metros into tier 2 and tier 3 cities.”
Customers increasingly upgraded across categories, with ultra-premium laptops above ₹1 lakh growing over 30% YoY, premium tablets above ₹30,000 seeing 60% YoY growth, 75% of which came from first-time buyers, and premium smartwatches above ₹10,000 recording 40% YoY growth. Smartphones also saw a sharp shift upward, with devices priced above ₹50,000 growing over 70% YoY by volume, aided by affordable financing options such as no-cost EMI.
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Large appliances emerged as another strong growth driver in 2025, supported by policy tailwinds and improved service infrastructure. “Premium air conditioners and refrigerators grew 2X YoY, driven by tier 2 and tier 3 demand and supported by installation services across 300 cities,” Khan explains. The GST 2.0 impact further accelerated upgrades in categories such as air conditioners and dishwashers. Home entertainment also saw momentum build, with 55-inch-and-above televisions posting double-digit growth, while premium TV segments witnessed rising adoption beyond metros.
Premium products across multiple categories were key contributors to category performance. In large appliances, demand was led by 2-ton air conditioners, high-capacity front-load washing machines, washer-dryers, and premium refrigerators. Tablets and premium smartphones continued their strong run, while home entertainment saw increased traction for 75-inch-and-above televisions and QLED and Mini-LED models. In computing, AI-enabled laptops outperformed, reflecting a growing appetite among Indian consumers for higher-performance, future-ready devices.
One of the most significant shifts in 2025 was the broad-based nature of growth across regions. According to Khan, television sales grew 25% in tier 2 cities and 30% in tier 3 cities, while premium smartphones above ₹50,000 recorded 70% volume growth alongside double-digit overall growth in these markets. Large appliances posted 25% growth in the premium segment and 20% overall growth in non-metro regions. With pan-India deliveries across 100% of serviceable pin codes, same-day delivery on over 10 lakh products, and installation services rated 4.85 stars, Amazon has played a key role in accelerating the democratization of premium electronics beyond metros.
Customer behaviour in 2025 reflected a growing emphasis on research, value, and long-term usage. “Two trends defined 2025 – premiumization and growth beyond the metros,” Khan says, noting that customers are spending more time researching premium products compared to entry-level options. To support this shift, Amazon introduced AI-powered discovery tools, expanded creator-led content, and strengthened installation and post-purchase services across 300 cities. Smartphones continued to deliver strong double-digit growth, driven by demand for flagship features such as advanced cameras, AI capabilities, and superior displays, signalling that Indian consumers are increasingly confident in investing in higher-end technology.
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