Once bitten, never shy: India's iPhone craze grows

Once bitten, never shy: India's iPhone craze intensifies

Apple fans in India were eager to purchase the iPhone 18 Pro and Pro Max on their launch day, with some waiting in line for hours, even as early as 4 am, before the stores opened. This pilgrimage-like atmosphere surrounding iPhone launches in India reflects the country's growing fascination with the premium smartphone brand.

India has become a significant market for Apple, with the company achieving $10 billion in annual sales for the first time in fiscal year 2026. Premium smartphones, particularly iPhones, are capturing a larger share of consumer spending, and the average selling price of smartphones in India has climbed to a record $302. While smartphone shipments in India declined 4.1% year-on-year in the first quarter of 2026, the market grew 5.8% in value terms, with a higher average spending per device.

Premium smartphones now account for a record 29% of India's smartphone market in the first half of 2026, led by Apple and Samsung. Apple's share of smartphone shipments is 9%, but it holds a 28% share of the market by value. This demonstrates that Apple's strategy of offering high-value devices generates substantial revenue, even if it doesn't sell the highest number of units.

Retailers witness strong demand for iPhones, driven by consumer upgrade cycles and attractive financing options. Indians are becoming more selective about when they replace their smartphones, but when they do upgrade, they are willing to spend more. This shift in consumer behavior creates an opportunity for Apple, as it doesn't necessarily need Indian consumers to buy a new iPhone every year. Instead, Apple needs to remain the go-to phone for consumers when they eventually decide to replace their devices.

The latest iPhone 18 Pro starts at Rs 1,64,900 in India, while the Pro Max model is priced at Rs 1,79,900. Financing options and exchange value have become important factors in the purchase decision, allowing consumers to spread the cost of upgrading. Despite rising component costs, the premiumization story is not solely about consumers upgrading their phones more frequently. Instead, it's about spending more when they do upgrade.

Apple has also expanded its direct retail footprint in India, with six stores now operational. However, the company's India story extends beyond physical stores. The newest Pro models are now being manufactured in India by Foxconn and Tata Electronics. This shift marks a significant milestone, as India-made Pro and Pro Max models reach global shelves on the same day as their international launch.

The result is a symbiotic relationship between Indian consumers lining up for the latest iPhone and Apple's global manufacturing network.