It is no secret that Apple has been struggling to find a foothold in the world’s second-biggest smartphone market. India is one of the very few countries with a positive demand for smartphones. Well, Apple seems to have finally turned the tide by registering a 6% growth in 2019 as opposed to a 43% decline in the year before.
Apple tried out a couple of things which helped them improve their fortunes in the Indian market. The company discounted iPhone XR by as much as $250 in India and this according to Counterpoint helped make it the best selling iPhone in India. Furthermore, the company introduced the iPhone 11 in India at a discounted price and this helped them get the juggernaut moving.
It is also worth noting that Apple has tied up with financial institutions and fintech startup to offer payment plans on the iPhones. This way, a buyer can opt for monthly installments and doesn’t have to worry about paying the entire cost at once. In India, a total of 158 million smartphones were shipped out of which only 2 Million were iPhones.
Nixing older generation iPhones from the Indian market was indeed a bold decision by Apple. Especially since older gen phones like the iPhone 6 were selling like hotcakes. However, the decision seems to have paid off as Apple was able to make up for the loss by selling the latest iPhones that are priced much higher.
Apple iPhone is definitely an aspirational product in India. Thanks to the import duties and other tariffs iPhones are very expensive in India. That apart, Indian consumers are price conscious and the sub $200 Android phones seem to give a run for their money. We hope that the upcoming iPhone SE2 will challenge the status quo and lower the entry barrier for owning an iPhone in India.[via Livemint]