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    From growing demand for AI to premium upgrades, Amazon India reveals what customers want ahead of Amazon Great Indian Festival 2026

    Synopsis

    As the Amazon Great Indian Festival 2026 approaches, technology shoppers are becoming more research-led, weighing AI capabilities, performance and long-term value before upgrading. Zeba Khan, Director - Consumer Electronics, Amazon India, weighs in.

    thumb_1200x900 (1)ET Spotlight
    Globally, consumers are becoming more intent-led about technology purchases, with the question shifting from whether they can afford an upgrade to whether the product will continue to feel “worth” the price after the initial purchase. The NIQ Consumer Tech Trends 2027 report identifies this as a shift in consumer mindset, with buyers placing greater weight on longer-lived value, including durability and trusted performance at a justified price. In simple terms, consumers are looking beyond the features that attract them at the point of purchase and asking whether the product will deliver enough value to justify the spend over time.

    That shift is playing out alongside two seemingly competing forces in consumer electronics: rising input costs and continued premiumisation. The Economic Times reported in April that memory-chip prices had risen 1.8-2 times over the previous six months, with electronics companies also facing supply uncertainty as memory production was increasingly directed towards artificial intelligence (AI) data centres. The resulting cost pressures had already pushed up prices across smartphones, televisions and appliances. At the same time, another report indicated growing demand for premium products from Tier 2 and Tier 3 cities, suggesting that customers outside metros are also moving towards higher-value devices.

    Against this backdrop, Zeba Khan, Director - Consumer Electronics, Amazon India, expects festive-season demand to be shaped by a combination of deferred upgrades, growing interest in AI-enabled devices and increased use of affordability programmes such as EMI and exchange offers.


    Speaking to The Economic Times, ahead of the Amazon Great Indian Festival 2026, Zeba said customers on Amazon.in are spending more time researching products, comparing features and evaluating long-term value before making purchase decisions.

    “Customers are as deliberate as they can be,” Zeba said. “They are researching, they want to upgrade, and it is so much research that it is the highest that we’ve ever seen.”

    Premiumisation becomes a considered upgrade
    For Amazon India, that shift is also changing the nature of premiumisation. Zeba’s observation is that customers are not necessarily approaching higher-priced electronics by first considering the cheapest option and then trading up. In some categories such as tablets and laptops, they are entering the market at a more premium price point after researching the features and deciding that the additional spend is justified.

    “If they have researched, they feel the value is right, with the right AI features and all the premium features, they are entering that form factor with a premium offering,” she added..

    That behaviour extends beyond the largest metros and across categories, Zeba said, including televisions and large appliances. Large-screen televisions, for instance, are seeing faster growth at the 55-inch and 75-inch end, while higher-capacity refrigerators, washing machines, dryers and dishwashers are also seeing demand from Tier 2 and Tier 3 markets.

    Customers are not simply spending more on electronics; they are becoming more selective about where they spend more, using research to decide whether a higher specification, a new form factor or an AI-enabled feature offers enough value to justify the premium.

    “People are being more deliberate about it. They are researching maybe more than they used to, and they are making very informed choices,” Zeba said.

    That is also changing the role of AI in the purchase journey. For customers on Amazon.in, AI is emerging not only as a feature inside the device, but as a tool to discover products, compare specifications and understand whether a particular upgrade is worth paying for.

    “For customers now, AI is a discovery layer andat the same time, it’s a feature they are looking for in their devices. It’s almost become table stakes,” Zeba said.

    AI shifts from buzzword to buying criterion
    According to Amazon’s Best in Tech Survey, which gathered responses from more than 40,000 customers on Amazon.in in July 2026, shoppers increasingly evaluate technology products through the lens of real-world functionality and user experience.

    Zeba said AI is now influencing both product discovery and device selection.

    “AI draws them in,” she said. “They go research, compare, and then ultimately they don’t compromise on base performance, battery life, camera and value.”

    She added that customers have become more discerning about AI capabilities than they were a year ago.

    “Earlier it was a buzzword,” Zeba said. “People wanted AI but didn’t necessarily understand what AI feature they were looking for. Now people know exactly how they want AI to work for them.”

    According to Amazon India, AI-enabled devices account for a growing share of electronics purchases on the marketplace.

    “When AI-powered devices first started coming in, we thought maybe 5% or 10% of devices would perhaps be AI powered,” Zeba said. “Today we are inching towards nearly half of the devices we sell being AI-powered.”

    Discovery becomes a competitive differentiator
    As customers spend more time researching purchases, Amazon is increasingly using AI tools to simplify decision-making.

    The marketplace has introduced AI-generated review summaries, visual search capabilities through Lens AI and Rufus, its generative AI shopping assistant.

    “In electronics, we have a lot of research-led queries,” Zeba said. “People are using Rufus to compare and understand features.”

    Amazon has also expanded curated recommendation programmes designed to help customers navigate categories with hundreds of product options.

    According to Zeba, these tools are becoming particularly relevant as product portfolios become more complex and feature-rich.

    Affordability remains central
    While customers may be upgrading to more premium devices, affordability continues to shape purchasing decisions.

    Zeba said EMI options, exchange programmes and cashback offers are becoming increasingly important, particularly in an environment of rising electronics prices.

    Citing Amazon’s internal marketplace data from Prime Day, she said one in five electronics purchases were made using EMI options, with most EMI transactions taking place through no-cost EMI schemes.

    “Affordability levers are becoming extremely critical,” Zeba said.

    Ahead of the Amazon Great Indian Festival 2026, Amazon India is working with brands and banking partners to expand financing options and exchange programmes.

    “We are trying our best to get as many affordability levers to our customers so they can all have access to the premium technology they are looking for,” she said.

    A festive season defined by upgrades
    Zeba expects deferred upgrades to be an important feature of festive-season demand across smartphones, laptops, televisions and appliances.

    “There is pent-up demand,” Zeba said. “People have been holding on to these upgrades, waiting for the Amazon Great Indian Festival to happen.”

    The Amazon Great Indian Festival 2026 begins on October 8 and will feature offers across smartphones, electronics, appliances and other categories. Amazon has also announced expanded delivery capacity and additional affordability programmes ahead of the event.

    For Zeba, however, the most significant shift is not tied to any single product category. It is the increasingly informed customer behind the purchase.

    “Customers are very discerning,” she said. “Every customer has a different need. They are doing their own research, taking expert recommendations and making their choices.”

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    (This article is generated and published by ET Spotlight team. You can get in touch with them on etspotlight@timesinternet.in)
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