Smartphone financing in India is nearly at par with one-time payments, with financing expected to account for 42% of total smartphone sales in 2026, according to Counterpoint Research. This marks an increase from 35% in 2025, driven by rising memory prices, attractive no-cost EMI schemes, and increasing consumer preference for affordable monthly payments.
Key Findings from Counterpoint Research
According to Tarun Pathak, Research Director at Counterpoint Research, "India's smartphone market has remained under pressure in the first half of the year due to rising memory prices, and this trend is expected to intensify further. Against this backdrop, smartphone financing is gaining ground as a primary purchase mechanism."
Among financed smartphone sales, around 67% of units are being financed by NBFCs. In Tier 2 and Tier 3 cities, NBFCs help many new-to-credit customers looking for financing options.
| Year | Smartphone Financing Share |
|---|---|
| 2025 | 35% |
| 2026 | 42% |
Affordability Offers and NBFCs
The research firm expects the coming festive season to be driven by aggressive affordability offers, long-term EMIs, and exchange schemes, said Pathak. Faisal Kawoosa, Chief Analyst at Techarc, noted that financing is primarily in premium smartphones sold above ₹30,000, but with rising prices, it could trickle down to lower tiers, especially during festive windows.
"The financing is primarily in premium, smartphones sold above ₹30,000. We don't see it yet substantial in the lower tiers, but the way prices are changing, this could happen especially during festive window," said Kawoosa. On the NBFC side, Bajaj Finance is the leading brand, followed by TVS Credit.
Samsung Leads Smartphone Financing
Within the smartphone financing vertical, Samsung leads the market in terms of units sold through financing. "The company's strategy to use Samsung Finance+ as well as other financing options is working in its favor. Besides, it provides the best tenures across price bands," said Prachir Singh, Senior Analyst at Counterpoint Research. Mainline retail-heavy brands such as Samsung, vivo, and OPPO enjoy higher financing penetration due to person-to-person interaction, as consumers often find it difficult to understand schemes on their own.
Currently, Samsung and Apple are the top brands in financing, but the consideration has moved beyond limited premium devices to entire brand portfolios. Samsung now offers financing for its flagship S series as well as the affordable A, M, and F series, making EMIs accessible across all major price segments.
Trend Toward Premiumisation
According to Shubham Singh, Tech Analyst at Counterpoint Research, "smartphone financing has emerged as one of the key purchase enablers in India and continues to gain traction, although one-time full payments (cash and full card payments combined) still account for a slightly larger share of smartphone purchases." With premium and mid-premium brands leaning heavily on long-tenure EMIs to drive sales, the trend toward premiumisation is likely to gather further pace, supported by financing structures that make higher-value devices more accessible to a broader base of buyers. This development has implications for smartphone sellers, as financing options affect consumer demand across price tiers and brand portfolios.
Sources:
