No, but the customer did ask for cheaper phones. They asked for water proof phones (to infinite depth). They like the way slimmer phones look. All of these conspire to push manufacturers to make the changes you have listed.
> Did they really want thinner phones that were too large to easily fit in a pocket?
For the most part, I think they do. Sony has been offering smaller (4.6", usually) phones for years. They're a little thicker than average, have reasonably competitive specs, fairly stock Android, unlockable bootloaders, SD cards and good cameras. Many of them were even waterproof.
That's pretty much the feature set a large segment of the tech-savvy community has been asking for. How many of us have one?
Meanwhile, phones larger than the current average tend to have strong sales. I think it's mainly driven by people using their phones for an increasing number of tasks they previously would have done on a PC.
What the market asked for is "the new phone", which frees up the manufacturers to select whatever (lack of) features makes their lives easy, and the market has demonstrated that they will keep lining up to buy the newest and most expensive models (so long as it doesn't literally explode in their pockets).
They did. Many of my friends have dropped their phones in the tub or toilet over the years and asked for a phone that wouldn't be destroyed when that happens.
Note that the point is customer behavior in buying does not match their stated desires. I own a fairly small phone that is waterproof (to 1 meter), but everybody I know thinks I'm weird for having an off brand phone.
