While we are in the age of 5G and clamshell smartphones, a section of users remains happy with lesser priced phones. In particular, it's the smartphones alongside feature phones falling under Rs. 5,000 that cover the interest of users from rural Indian areas mostly. Things have turned quite odd now, as several smartphone companies have decided to stop selling these sub-5k handsets, in India.

One of the reasons responsible for the decline of the sub-Rs 5,000 category phones is-- due to the huge demand of little expensive to premium category phones. And, even people staying in rural areas seem to get strongly fascinated with more-priced handsets. As these people invest quality time to shoot Tik-Tok videos, and even use Facebook. And, they get efficiency in using these social media apps only on phones ranging higher than Rs. 5,000.

Since smartphone makers have increased the price-stake to remain on top of the value chain, the Rs. 5,000-under devices sales are reducing. The reason why companies are upping the stake is because of the cost of distributing phones is more than the actual price margin. It's been since 2018 that the decline has hit on sub-Rs. 5,000 category phones. Based on a report, in 2019 there was a 45% drop in the sales of these devices, way lower than 2018's sales.

However, users seeking phones below Rs. 5,000 can buy refurbished devices. But, this is not a concern, as users are now spending more money on phones. Another report suggests that users' money-spend on phones has been increasing. The price spent on phones was approx. Rs. 11,350 in 2018, which increased to nearly Rs. 11,421 in 2019. And, by far in 2020 the price margin has touched roughly to Rs. 12,135.

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