The New Normal: The Rise of Affordable Flagship Products

November 2021

Products that offer premium features without the high price tags are becoming popular. What are the factors driving this trend and how are companies like Apple and Samsung affected?

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Key findings
Why affordable flagship models are becoming popular
Ageing population puts pressure on disposable incomes
Consumers look for better value as incomes declined due to pandemic
Rapid growth of Chinese companies
Affordable no longer means compromise
Chinese brands are investing in technology as competitive advantage
E-commerce acceleration due to COVID-19 pandemic
E-commerce is helping affordable brands gain acceptance
Price and brand are the key purchasing criteria in e-commerce
Consumers are more adventurous and knowledgeable
New affordable brands flooding the headphones market
Apple: smaller impact as its customer base tends to be affluent
Samsung: if you cannot beat them, join them!
Xiaomi: two-pronged strategy by the master of affordability
Key findings


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