Business

Online sales of electronic items cool off

By Sohail Khan 17 September 2026, 1:11 am

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Business News›Industry›Cons. Products›Electronics›Online sales of mobiles & laptops hit a rough patch on weaker entry-level demand, fewer online discounts

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Online sales of mobiles & laptops hit a rough patch on weaker entry-level demand, fewer online discounts
Synopsis

Counterpoint Research data showed an almost identical drop in online contribution to smartphone sales. Researchers and industry executives attributed the reversal to weaker demand for entry-level products, fewer online discounts and wider availability of EMI financing at physical stores.

Online vs. In-Store Tech Shopping — In TVs, data showed online contribution in total TV sales rising to 39% from 36% in the June quarter

KOLKATA: Ecommerce is ceding ground to physical stores in India's consumer electronics market, with online sales of smartphones and laptops losing up to five percentage points market share in the first half of 2026, showed latest data from market researchers.

A Shift

The share of ecommerce in total smartphone sales slipped to 41.9% in the six-month period through June from 46.5% a year earlier. In laptops, the share declined to 30% from 32%, showed IDC India data.

Counterpoint Research data too showed an almost identical drop in online contribution to smartphone sales. Researchers and industry executives attributed the reversal to weaker demand for entry-level products, fewer online discounts and wider availability of EMI financing at physical stores.

The shift comes in the backdrop of a contraction in the overall market for memory-intensive devices such as smartphones and laptops amid price increases of up to 35-40% this year.

Also Read: Foxconn, Tata Electronics in overdrive for making iPhone 18 Pro and Pro Max models for exports

"This year because of the price increases, pure online businesses (in categories like smartphones) have had some headwinds," said Shibashish Roy, chief executive at Infiniti Retail, which runs Croma electronic stores.

Analysts said ecommerce has been hit by poor sales of entry-level models in both laptops and smartphones, as price increases and reduced discounting by brands and sellers squeezed online demand.

IDC India analyst Navkendar Singh said online discounts and offers have become far scarcer than a year ago, impacting the business particularly hard amid erosion in sales of entry-level models eroded while flagship devices only saw marginal upfront discounting, insufficient to sharply drive volumes.

"Offline channel shipments held up considerably better as brands leaned on physical stores to manage the pricing pressure, and more EMI options are available there," said Singh.

Shipments Fall

Online smartphone shipments fell 19.8% year-on-year in the June quarter, showed IDC data. Offline shipments, however, declined 3.6%, outperforming a 11% drop in overall smartphone shipments.

January-June shipments slipped 8%, the lowest first-half volume in five years, even as price increases pushed value growth to 3.6%.

In laptops, consumer segment shipments grew 6.6% year-on-year in the June quarter, which IDC attributed to forward purchases by trade to shield against further price hikes and protect margins rather than stronger end-consumer demand.

Also Read: UPI MDR prompts D2C brands to reassess costs as festive sales loom

The researcher expects sales to remain flat in the second half.

To be sure, the drop in online share is not universal. In televisions, for instance, Counterpoint Research data showed online contribution in total TV sales rising to 39% from 36% in the June quarter. Principal analyst Anshika Jain said the TV market contracted by 8% year-on-year with smart TV prices rising up to 10% in the period, with Sony and TCL recording the steepest hikes among the leading brands.

H2 Under Pressure

Industry executives said with average selling prices at record highs and vendors going slow on discounts to protect margins, India's price-sensitive buyers are likely to remain under pressure through the second half of the year.

A senior executive with a leading online marketplace said even though it is trying to work out best deals in smartphones for consumers who wait for the festive season for their high-ticket purchases, the market may still contract by volume sales. "There will be a huge focus on EMI offers," he said.

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