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Apple Overhauling International Sales to Focus More on India
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Tim Cook lacks a soul, so he is not concerned that most people in India (or anywhere else) cannot afford his overpriced products. Steve Jobs's vision for Apple was to create tools for the common man. Cook's vision for Apple is to create status symbols perceived as luxury goods for the wealthy or for people willing to go into debt to appear wealthy. India has a small percentage of affluent people (no surprise given its wealth inequality), so Cook is fine with catering only to them.
Fragmentation of the world is definitely seems to be real. India has enough population to form its own macro region. Bretton Woods is likely to shrink to the size of the AUKUS which should have enough population to form its own macro region.
You do realize that some of the most expensive Macs were the ones that Apple had was when Steve Jobs introduced them 1984 and the following years. They also had terrible discounts for corporate purchases. Even when he came back in 1997 nothing was cheap, so saying Tim Cook sells overpriced computers compared to Steve Jobs can’t agree with that one bit. The 128k Mac was $2500, a Mac II was $5500, a Mac II Ci and 12” CRT display was $4000. What you are buying these days is way cheaper and more powerful. Also no one is forcing anyone to buy something expensive, a Mac Mini with 3rd party display, or MBA is not super expensive. Can’t afford a Mac then IPads are cheaper yet.
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Apple needs to launch India specific models. They can target great volumes here but need to realise the needs of the region first.
They can start with a smartphone model priced around SE but with a modern look, maybe with less aluminium or without a glass back. iPhone 5c, XR and even 11 were great success here and then Apple decided to raise prices from 12 onwards so now most people just have to do with the last year's model as they get a 30% price drop.
Also the pricing needs to be reworked. iPhone 14 Pro Max starts from around $1700 (INR 1,39,000) here. I wonder how Apple expect anyone to buy it here, considering that most people even in urban areas earn less than $1000 per month.
They can start with a smartphone model priced around SE but with a modern look, maybe with less aluminium or without a glass back. iPhone 5c, XR and even 11 were great success here and then Apple decided to raise prices from 12 onwards so now most people just have to do with the last year's model as they get a 30% price drop.
Also the pricing needs to be reworked. iPhone 14 Pro Max starts from around $1700 (INR 1,39,000) here. I wonder how Apple expect anyone to buy it here, considering that most people even in urban areas earn less than $1000 per month.
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Apple does need to introduce a new SE model that takes on board more of the features that are now standard for Android phones at that price point. Samsung regularly trickles down features from the flagship Galaxy S-series to the A-series, and it makes the A phones a very strong offering in the price midrange.
I doubt they NEED to. The current range and features make up 52% of the revenue of a $2.4 Trillion company. Just sayin'. Maybe you want them to. Entirely different thing.
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I think you’re being a hit harsh there on Tim Cook, he is probably a very nice man. And in a way his strategy is forced by the need to maintain brand image and profit margins, I don’t think he gets as much leeway from shareholders and the board as Steve Jobs used to.
Apple does quite well with its lower-priced products. They use the most up-to-date mobile chips in the SE phones, giving them great performance. Apple Silicon brought industry-leading single-core speeds to the low-end MacBook Air. It’s an area where Apple can keep on growing.
If their assembly skills are like IT skills I would stay with China. Absolutely the worst people to work with in any project. 90% is playing dumb or fake work to get paid because they don’t care.I know it’s going to take some time. But this is the label I want to see from Apple. Preferably on all Apple Products! It's time Apple leaves China behind. 🇨🇳🙅♀️
Projects for automotive OEMs are sometimes made with their support… as a result finding and fixing bugs is almost the same cost
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Look at LV, Burberry, BMW, etc. They all have official presence in India. Apple has clear brand positioning, and it’s on the luxury side. Apple doesn’t need to make $100 phone, the same as BMW doesn’t need to make a $16k car to compete with, let’s say, Kia.
Like it or not, Apple has become a brand that people aspire to. Emerging markets like India have a large group of people that are transitioning to middle class, and they have much more disposable income.
You actually should be happy that Apple is interested in the Indian market. This means as a whole, India is getting better than before, to the point that Apple sees it as a potential market for growth. That’s a good thing.
Not many outside the US have the amount of disposable income for Apple devices. If Apple made their business model such as to attract international sales and a larger market share, they need cheaper products that can actually compete with the Android devices at those price points. Or, they need to sell at less of a crazy margin but still a crazy margin in those markets.
They make the most profit out of anyone though, and that's what matters to them. Sell less but make more returns from that.
It fits their environmental and brand goals because it doesn't dilute the brand image and that's what attracts people to Apple. In Europe and Asia, it was never about UX, integration with other products, iMessage, all the reasons you'd get an iPhone in the US. People certainly don't want to spend that much for a MacBook, no one uses iMessage, etc. I'd love to see cheaper devices from them, but I don't see that happening because of this. Brand image is what matters outside the US. iPhone = aspirational item and they've greatly benefitted from that.
As Apple says, their goal isn't to make the most affordable or the most sought-after products. Their goal is to make "the best" products. And for now, they've been succeeding with that because people will indeed pay more for a better product. How much more? Well, the threshold for what's too much is vastly different for each country and person.
Personally, they've crossed it for me with the iPhone considering the value it provides to my life, and I'd be considered above middle class in my country. It's of the same value to me as way cheaper devices from other manufacturers because they'd do the same thing I do on my iPhone - check social media and email. As technological advancement in these familiar product lines stagnates, competitors catch up and provide the same stuff, while Apple themselves also start to push more towards services revenue that needs the user base. So this upkeep of brand image through high entry prices and nice UX *just may* not be sustainable in the long run. At least not outside the US where prices matter more and there are no unique features on the iPhone that you need.
100% true, but truly most people outside the US don't care about anything else but the phone. Most who have an iPhone do not and will likely never purchase a Mac or even AirPods. There's really nothing other than brand image and good UX (on the phone itself) that makes people want to go for iPhone. And Android has also been providing a good UX for a while now.
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If you have worked with the Chinese before, they also will take advantage if they had the chance. Just look at BoE trying to cheat Apple.
One thing that the Chinese has as a big advantage today is their human resource scalability. Simply watch the Beijing Olympics opening, and you could see the prowess that China has, lots and lots of people. This is why they have become the country of manufacturing. They also have the strict education and society system to support that highly scalable workforce.
So many things to say and you chose the truth. 100 % agree with all your points.
It's so much easier to concentrate on Singapore and let everyone travel there to buy their premium phones, isn't it?
Unlike a car or pimp flat that are hard to flex in da club, it's easy to pull out an iPhone * Pro Max Mac Daddy Pimp Edition wrapped in a Swarovski encrusted Hermes case (though many will put their Benz keys on the table to show they have one... but even that doesn't work with the valet or most that have a driver).
Not anymore. The Indonesian government implemented IMEI whitelist. So only phones sold officially in Indonesia will be able to use local SIM. Phones bought overseas will have to be registered and we will have to pay import tariffs. Plus, the local authorized distributor will refuse any repair or warranty claim of those foreign units.
Value is totally subjective though isn’t it? We all have different value systems and when it comes to buying a phone, well, does it really matter, or do we just take sides and hate on the other?
It’s funny, I was talking with someone today here in Australia. When we go to a sporting match (AFL or whatever) and we sit side by side with the oppositions fans. We all get on. No nastiness, no abuse to each other. You can’t do that in the UK with football & you can’t do that in politics. Why do we have to be like that on this forum?
That’s just insulting, borderline racist. There’s this thing called financing, even in emerging markets like India.
As marked up iPhone prices are in my country, people who have regular salary can obtain credit cards and often have access to 0% interest financing. $84 a month for 12 months is doable for many of the working class.
Affordable…..I don’t see how that’s happening unless they are going to spin up 3GS production and sell the for $100 lol. Get ready India for your $400 affordable iPhone 6S!
India is not to be trusted and Apple should look elsewhere. If a country can not condemn what is a clear violation of international law because they want cheap oil, we shouldn't be moving production there.I know it’s going to take some time. But this is the label I want to see from Apple. Preferably on all Apple Products! It's time Apple leaves China behind. 🇨🇳🙅♀️
Tim Cook and team better bump up production of the 13 mini cause the 14 Plus is a joke and no lemon colour is gonna help produce sales nowhere.
Not the market where costly large screen phones sell well overall. This is an iPhone SE 2/3 market in terms of volume. But if Apple wants profits reduce the price of the 13 mini and remove 1 camera and FaceID in favour of TouchID (in the power button) and you have a banger -