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

Discussion in 'MacRumors.com News Discussion' started by MacRumors, Dec 18, 2018.

  1. Shanghaichica macrumors G3

    Shanghaichica

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    #201
    Not sure it’s fair to call them stingy. They simply can’t afford it due to low income.
     
  2. Abs_p, Dec 19, 2018
    Last edited: Dec 19, 2018

    Abs_p macrumors 6502a

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    #202
    I meant where did you pick up the word black market from my post? Black market =/= black money. Black money is basically the word they use for money which they don't declare and is rampant in India.

    Everyone from doctors to high ranking government officials have insane amount of black money.


    They might make equivalent of $100k a year and declare less than $10k with loads of cash and gold stashed away and that money, the cash is used to buy expensive ****. As I said, I am a 2nd generation American-Indian, I haven't lived in India but I know how things work there. Official income figures are not a representative of the wealth in India, it's still a poor country, yes but the low tax compliance and very high corruption means the illicit untaxed money is significant.

    Another major statistic that skews income is agriculture. Agricultural income is exempt from income tax so a lot of pseudo-farmers who has ancestral agricultural land often classify their non-agricultural income as agricultural income and get away with not filing income tax.

    Going by official figures is never a good way to prove your point when it comes to India. It's not like America, the ground reality is completely different and to know how it works there you actually need to have lived there or have had first hand information from someone who has lived there.

    I would ask you to research a bit on it.

    https://en.wikipedia.org/wiki/Indian_black_money

    Example

    https://www.ndtv.com/india-news/pol...red-over-13-000-crores-in-black-money-1633619

    >$2bil of undeclared wealth from 1 guy. There are hundreds of thousands of such Indians.



    [double post=1545218231][/doublepost]

    LOL. What does valuing my time have to do with me buying a $1000 phone?

    What difference would using a $500 iPhone 8 instead of the XS I use make in terms of "valuing my time"?
     
  3. Ramchi, Dec 19, 2018
    Last edited: Dec 19, 2018

    Ramchi macrumors 6502a

    Ramchi

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    #203
    Low income is one part of the story but there is definite correlation obviously mentioned in the article where the shipment has been reduced 40% which has more to do with ever increasing price in a price sensitive market like India. Even people with disposable income groups go after VALUE offerings in Android world comparable to iPhone features. The very reason why they all sell like hot cakes here.

    Irrational exuberance will not run far too long. Apple brand was aspirational than luxury where people don't mind some premium over other brands. But by making it as luxury brand, people will stop looking it as an option and forget that brand for any meaningful purchase decisions. Apple itself has priced out and it's brand as aspirational one.
     
  4. Abs_p, Dec 19, 2018
    Last edited: Dec 19, 2018

    Abs_p macrumors 6502a

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    #204

    No they are not. Majority of Indians are poor. They are not voting with their wallet , most can't afford a phone that costs almost hundred thousand rupees. Someone who can afford a 68k phone might not be Able to afford a 100k phone.

    A lot of upper class/upper middle people in India still prefer using iPhones. A Samsung phone doesn't have as much of a "prestige" as an Apple device.
    --- Post Merged, Dec 19, 2018 ---
    Actually they do. Most of the Indians who can afford to spend $1500 do get an iPhone because of how the whole "status" thing works there. Most of the people in India are NOT going to buy a $1500 Samsung if they can afford to have a $1500 iPhone. The whole show off and one upping culture is very rampant in India.

    It's more or less the same thing that happened with Honda Accord/Toyota Camry and entry level German luxuries. No one was buying Accords and Camries there because entry level germans were more or less similarly priced. Status is a HUGE thing in India. They don't care about value, they care about the badge.

    It's not hard to understand and I don't see whats not adding up. We are talking about phones in a much higher range than "$500".

    The thing here is the significant increase in price have priced out a lot of Indians.
     
  5. aakshey macrumors 65816

    aakshey

    Joined:
    Jun 13, 2016
    #205
    This. Everybody who can afford a USD 2000 phone has one. And many others who are Apple fanboys also have one, who may not necessarily be rich.

    Those who don’t buy one, regardless of what they say, cash is the issue. Services and all just a bonus, the real reason is cash.
     
  6. merovingianone macrumors newbie

    merovingianone

    Joined:
    Dec 17, 2018
    #206
    Dude they can not afford a $150 toilet.
    Yup and moving the Mac line away from Intel will be the ultimate bad idea.
     
  7. ROGmaster, Dec 19, 2018
    Last edited: Dec 19, 2018

    ROGmaster macrumors 6502

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    Apr 12, 2018
    #207
    Simple, it's not about indians that can spend 1500$ on a phone it's about indians that want to spend that money on a phone. There are so few of those that they are completely irrelevant. Indians are obviously different in comparison to the average Chinese for example.
    Even the Note 9 is below 1000$ in India and it's not like the Note9 can't be used as a status symbol. So Indians are not choosing between a 1500$ Android phone a 1500$ iphone in the first place. In a rational 1 on 1 comparison iphones in India are not going win strait up so the decision of buying an iphone needs to have an irrational main driving force, like "most of my fellow countrymen can't buy/have this phone". Unfortunately for apple an irrelevant number of Indian buyers fit this bill.

    The idea is that iphone sales in India are declining and that's the thing that doesn't add up. India is a developing country and the smartphone market is increasing yearly so if apple has a tight grip on the high end market there than their sales shouldn't decline with 40% year over year.
     
  8. racerhomie macrumors regular

    racerhomie

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    #208
    Keep telling yourself that.
     
  9. Romeo_Nightfall macrumors regular

    Romeo_Nightfall

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    Vienna
    #209
    but india is much bigger than austria for example
    --- Post Merged, Dec 19, 2018 ---
    After 10 years am pretty sure, i dont need an big iphone ... i was always a fan of the 4s - and still i am - that is exactly what i want and need. a phone is for me a phone and a web browser and navigation - all the 4s was perfect in.
    at office i wear an ipad pro, so the phone can be very, very small. often the watch is enough - a micro airpod would be a perfect fit for the watch ... then i wouldnt need anymore

    imho ... apple is on a complete wrong health path with the watch ... an iphone replacement path would have been the right way to go! then i would even pay 600 to 700 for the watch.

    product NOT diversification at apple is currently completely wrecked!!!
     
  10. Abs_p macrumors 6502a

    Joined:
    Jul 15, 2011
    #210
    You are missing the point.

    I will explain.

    1)Most Indians are poor af and can't afford a smart phone.

    2)But there are a small minority who can afford an iPhone, amongst those who can afford a $1500 phone, majority of those people go for iPhones.

    3)Till recently, If I am not wrong, iPhones cost ~900-1000 in India, however with the iPhone X, the cost of the phones increased by 50-60% and now they cost $1500-1600 and so they have priced out a lot of people and those people who could afford $1000 phones now buy Samsungs and those who can afford to spend $1500+, still prefer to buy iPhone.


    The reason for decline in sale is point number 3.
     
  11. lec0rsaire macrumors 65816

    Joined:
    Feb 23, 2017
    #211
    I wouldn’t buy Apple products if I were making the average Indian salary either. It would just be irresponsible just to have the shiny Apple especially when Chinese phones have gotten better and better.

    That said I live in America and will never buy anything other than an iPhone as long as they keep making them.
     
  12. justperry macrumors G3

    justperry

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    #212
    That's the question...
     
  13. sachinn macrumors newbie

    sachinn

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    Dec 19, 2018
    #213
    a petty issue that affects sale, is the availability of the devices itself. I wanted to buy MacBook Air, iPhone XS & XR, mostly at their max capacities of storage and ram. and neither were available at my place. neither was it available online through Flipkart. leaving no choice but procure from Dubai. I am sure there are many like me with similar issues. further, the cost is higher than what is available in neighbouring Dubai.
    is it that difficult for Apple to have an online store for India?
     
  14. Enclavean macrumors regular

    Enclavean

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    Jun 14, 2018
    #214
    Wtf are you on about? If you dont know **** about my country dont pretend you do. If you´re an expat dont go around pretending you know stuff you dont.
     
  15. justperry macrumors G3

    justperry

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    #215
    Did I say I KNOW Thailand, nope, foreigners won't ever know Thailand or Thai.

    I am not convinced you aren't one either, maybe you are, maybe not, this is the web mate, I am Santa Claus.
     
  16. BuddyTronic macrumors 6502a

    Joined:
    Jul 11, 2008
    #216
    One of the main reasons I update yearly is to enjoy the latest camera. That alone is well worth it for me.

    This year is the year Face ID got a lot faster too, noticeably better in XS Max than the iPhone X.

    Bigger storage helps too.

    What’s the money differential worth in comparison to the slickest functionality and best possible family photos? A few grocery carts full of groceries? 4 tanks of gas? I am spending over $1000.00 per year for phone service.

    Pinching pennies on this most important extension of my senses and self is a bad decision I’d argue. Iphone is like a guide dog for a sight-challenged person - it’s another layer of my senses - Can’t function without it.
     
  17. di1in macrumors regular

    di1in

    Joined:
    Feb 27, 2011
    #217
    Absolutely. That is simply the best iPhone for me. I just hope it will survive the next major iOS update too.

    But a lot of people that I know wouldn't even consider it because of the small display and smaller "status" boost :D
     
  18. Enclavean macrumors regular

    Enclavean

    Joined:
    Jun 14, 2018
    #218
    You replied to me implying I didnt know about Thailand implying that you yourself know. Which you obviously dont so i dont know why you even replied to me to begin with

    I really dont get what you are trying to accomplish here, except for trolling maybe.
     
  19. justperry macrumors G3

    justperry

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    #219

    I said "I am not convinced you aren't one either"
    Also, you said "...But Im Thai?" Mark the ?....

    I'll leave it at that.
     
  20. StellarVixen macrumors 65816

    StellarVixen

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    #220
    Nobody needs nor buys $1950 phone. Even in USA.

    iPhone XS Max is 1199. iPhone XS is 999. iPhone XR is 749. Android flagships are not far away in price.


    Prices are even lower with trade-ins.
     
  21. I7guy macrumors P6

    I7guy

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    #221
    Why get a Ferrari when a civic gets you to the same place? Why get a Viking range when a Kenmore heats food also? See the analogies? Why buy expensive china when chinette works great? This line of thought can be applied to many things in life.
     
  22. M5RahuL macrumors 68030

    M5RahuL

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    #222
    If it wasn't for those trade-ins and carrier financing/promos, I seriously doubt many would even be able to afford buying an 8+ outright!
     
  23. Enclavean macrumors regular

    Enclavean

    Joined:
    Jun 14, 2018
    #223
    You: "Seems like you know only half, no wait... correction, just a tiny bit of Thailand, but I don't blame you, few people understand Thai."

    Me: "But Im Thai?"

    I was questioning you, like why would I not know anything about Thailand when I am from Thailand, and apart from studying in Europe, have lived here my entire life.
     
  24. hawkeye_a macrumors 6502a

    hawkeye_a

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    Jun 27, 2016
    #224
    I think the 'smartphone' fad in general is plateauing. There isnt much 'buzz' about it, and so charging $1k+ for a device in this category seems futile IMHO.

    Observations on iPhones/Smartphones in general:
    -The hardware is more powerful than anyone really needs it to be for a device in this category
    -The OS' (UI) hasn't really changed all that much in over 10 years
    -No one wants a device the size of a laptop in their pockets

    Suggestions:
    -Smaller device
    -More powerful OS UI, with a simple and consistent UI
    -~$700 maxed out price
     
  25. mdriftmeyer macrumors 68030

    mdriftmeyer

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    Pacific Northwest
    #225
    What's the reason India isn't then 100% Android Google smartphone branded already? Or perhaps, just perhaps, Hindu culture isn't as cookie cut n' dry about pricing as this article is purporting. Much of India live a sparse life, a Vedic life. They value nothing of modern technologies.

    A break down and distribution by religious sect would go deeper into the analysis.
     

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