Amazon sees surge in electronics sales, small towns drive growth

**Amazon Sees Surge in Electronics Sales, Small Towns Drive Growth**

*By Mudit Dube | Sep 30, 2025, 04:53 PM*

Amazon India’s ongoing Great Indian Festival has witnessed a massive surge in consumer electronics sales, with 70% of orders coming from outside Tier-1 cities. This trend highlights the growing demand for premium smartphones, large-screen TVs, AI-powered laptops, and smart appliances in smaller towns across the country.

**GST Cuts Fuel Increased Demand**

Zeba Khan, Director of Consumer Electronics at Amazon India, attributed this impressive growth to recent GST cuts on categories such as televisions and air conditioners. According to Khan, the GST benefits have played a major role in converting pent-up demand into actual purchases across multiple segments.

She further noted that while the Great Indian Festival is known for sharp offers, this year’s government GST cut and clear communication around it have amplified demand significantly. The new GST regime came into effect on September 22, just one day before Amazon launched its sale, perfectly timing the boost in consumer purchases.

**Smartphones Remain the Anchor Category**

Smartphones continue to be the backbone of Amazon’s electronics business, with premium models priced at ₹20,000 and above seeing nearly 50% year-on-year value growth and a 30% increase in average selling price. Brands like Samsung, Apple, OnePlus, and iQOO performed exceptionally well during this period, driving much of the category’s success.

**Premiumization Trend Drives Appliance Sales**

Despite being an off-season, air conditioner sales have surged by over 20%, primarily driven by smart and energy-efficient models. Dishwashers have experienced an explosive growth of over 120%, while large-screen televisions—especially those above 55 inches—have also seen strong sales increases.

The computing segment reflects this premiumization trend as well, with AI-powered laptops accounting for one in five sales. Average selling prices in personal computing have risen by approximately 15-16%, underscoring consumers’ shift toward high-end devices.

**Focus on Affordability and Logistics**

Amazon credits the growing demand for consumer electronics to increased buying power in smaller towns alongside affordability initiatives. Over 30% of premium devices sold during the festival were purchased through no-cost EMIs, highlighting the crucial role of flexible payment options in driving sales.

Additionally, Amazon ramped up its logistics capacity, ensuring that 40% of all orders were delivered either the same day or the next day within the first 24 hours of purchase. This fast delivery capability has further enhanced customer experience during the sale.

Amazon’s Great Indian Festival showcases the tremendous opportunity in India’s emerging markets, driven by GST reforms, premium product adoption, and strategic focus on affordability and logistics. The surge in electronics sales from small towns signals a significant shift in consumer behavior and market dynamics across the country.
https://www.newsbytesapp.com/news/business/amazon-sees-surge-in-electronics-sales-small-towns-lead-growth/story

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