Memory is definitely a specification users in India look for, but it should not be highlighted at the expense of other key benefits.  I would go so far as to suggest that companies should not price differentiate on internal memory capacity, but choose some other differentiation.

In the 2015 market scenario, the majority of Smartphones shipped were with 8GB internal memory. In fact, if we sum up the shipments of  4GB, 8GB and 16GB phones, we are talking about 95% of the total  India market.  So, I’m not sure how exciting 32GB would be for users even if we take cognizance that LeEco is offering it at perhaps the price of 8GB offerings of their competitors.  I am not getting into the other specifications.

Now, is internal memory a specification on which we can bank too much.  No way! Here is why…  As we move more towards the cloud and the high speed cellular technologies become more accessible, users are going to store very little the data locally.  So, why should we invest in higher capacity memory? At the same time, we are moving towards an era of web apps and very few native apps would be in use.  So, the app size will come down. Conceptually, these apps are now gateways to a cloud over a mobile phone.