Apple Has Encountered 'Little Success' Growing in India Due to High Prices of iPhones

[Baymowe335]

Sales of the iPhone in China are declining in 2018. Ignoring India would be to the detriment of Apple and Tim Cook knows so.

There are a lot of incorrect figures going around in this thread. However, what is known is that there is a lot of corruption in India to the point where there are only 70 million people who actually file an income tax return, but it is increasing over 12-15% each year. Most business is still done in cash. In recent years the government of India has taken step to formalize the economy with the Goods and Services Tax (GST) and many businesses are pissed off when they didn't have to pay any taxes before. Apple is being hit with at least 18% GST along with import duties for not having manufacturing within country.

Talk about incorrect figures, China is NOT down. Know your facts. Most recent data shows China is up 16% y/y and it’s driven by iPhone primarily (Source: 10k). Don’t start saying iPhone is down in China because not only is it listed as a driver for the revenue being up 16% in China, Apple doesn’t break out unit sales by region AND Apple sold more iPhones in 2018 than in 2017, at higher prices.

Also, don’t say you’re only talking about calendar Q4 2018, because we don’t have official numbers and the quarter isn’t even over. Plus, this is FY2019 for Apple.

You’re just wrong no matter how you look at it.

Don’t you hate when facts kill your entire argument you just created in your own mind?

 

[himanshumodi]

You don’t realise you’re making the same point.

That at current prices Apple isn’t meant for Indians.

Whether Apple wants to accommodate Indians at lower price points is their prerogative. Nobody’s opinion matters here. And there is no reason for them to treat Indians as unique from the rest of the world. If they want to, they can and they will. They haven’t cared enough so far. Chances are they don’t care enough.

They are free to sell at xyz prices. If Indians can afford it, they will buy. Else Apple isn’t really obligated to offer a lower price point. If they do, fantastic. But it’s not like it’s their duty.

No one said it's their duty and neither did I imply that they should sell a flagship phone at 500-550 USD. My point is that they could come up with a more customized marketing which makes users aware that there are iPhone options available at that price point... without making it come across as a poor man's alternative iPhone (as true as it might be... using "poor" loosely here).

As far as re-baselining prices is concerned, all I meant was that their flagships aren't going to be competitive if they are going to be so far above the flagships of other phones. Flagship selling is not so much about affordability as it is about perceived value vs. competition. This problem is not as exaggerated for US at least. Galaxy Note 9 retails at about same price as iPhone Xs?

 

[brigante]

Apple is NOT trying to offer a product line across the entire socio-economic spectrum.
They discontinued the S, and no replacement has been released. The cheapest NEW phone is $750.00 for the basic one. That is NOT AFFODABLE by any means. They are offering the iPhone 7, a 3 YEAR OLD PHONE, as the entry level so called "affordable" phone. So the only spectrum Apple is trying to cover is the middle upper, the upper and the ultra upper class.

the iphone 7 is a 2 year old phone. stop lying.

 

[The-Real-Deal82]

Why does apple even bother with India? Their government imposes ridiculous restrictions on foreign companies and their people are too poor to afford iPhones.

Probably because India has a population of 1.3+ billion people. If they can appeal to a fraction of that country then they are on to a winner. It’s the same with China even if most of the country live in relative poverty.

If Apple decided to attempt a budget iPhone then they really could reach out to these cultures and compete against Android, but it would have to be a £200 iPhone. I don’t think Apple are willing to cheapen their brand though.

 

[Mars56]

I absolutely get thrilled whenever there is a MacRumors post about India and Apple. More often than not, self proclaimed experts come out in number with a few usual bashers.

I guess in the hour of declining smartphone market in first world countries, Apple should definitely heed the advice of few of the members here, and leave the country behind, because "it so poor" and not that in the future, whenever it may be, the chances of growth there should be overlooked. It's never the long game, just a short few bucks 'doh.

Since when does someone like yourself hate "bashers"? :-O

 

[justperry]

...But Im Thai? Literally typing this from Bang Na, Bangkok

มึงไม่เชื่อกูอ่อ

Norway here, jealous. Currently using TomTom for speed cameras

Gotcha.

 

[Enclavean]

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