Mobile retailers urge brands to scrap zero-cost EMIs to cut handset prices
AIMRA has asked Samsung, Apple, Xiaomi, Vivo, Oppo and Realme to replace zero-cost EMIs with interest-bearing loans, saying 17–19% OEM subvention costs inflate handset prices. It estimates loan approvals could rise to 75% from below 50% with tenures of up to 48 months.
AIMRA has urged major smartphone brands to replace zero-cost EMI schemes with interest-bearing consumer loans, arguing that 17-19% subvention costs inflate handset prices. The association says the change could lower sticker prices, improve margins and lift financing approvals.
Why this matters
AIMRA's financing proposal adds to pressure on smartphone retailers after memory-led price rises and a sales downturn in which South India retailers showed greater resilience.
Retail-company signals are accelerating, up +218117% QoQ.