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10 Years back iPhone was damn cheap even in India, I bought the first edition of iPhone, tinkered with it etc...because it was really cheap at that time. Now it is nearly 5-6 times than it was ! India consumers were not getting support for issues (where I had to do all by myself when my phone bootloader gets affected etc...). Ordinary Indians, 10 years back were not up to that sort of experience, even it was affordable

LOL, 5-6 times?

The original iPhone was $499. Steve Job cut the price to $349 because it was too expensive.

You just lost all credibility with your ridiculous claims.
 
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10 Years back iPhone was damn cheap even in India, I bought the first edition of iPhone, tinkered with it etc...because it was really cheap at that time. Now it is nearly 5-6 times than it was ! India consumers were not getting support for issues (where I had to do all by myself when my phone bootloader gets affected etc...). Ordinary Indians, 10 years back were not up to that sort of experience, even it was affordable

Need to get to 1 Quadrillion dollars valuation :eek:;):p:D
 
I'm from Bombay, India.

I have owned Apple products for decades from MacBook Pro to iPhones. I was even an Android user buying flagships smartphones of Sony.

For any luxury brand/company to pitch higher sales needs a very strategies pricing. iPhone X in India cost about 1300USD. That's a very steep price even for the Americans. But as long as you have a good middle income and high income market, it's still affordable. But in India, even if they have the money, they will still buy OnePlus or any other Chinese brand because they're getting everything or even more at half the price. And for many people this makes sense in India.

Apple doesn't need to change anything. It just needs to get all it's features down here.

Apple Pay - There's no Apple Pay. In India, Android phones can do NFC payments but iPhones can't. Imagine you have a USD1300 smartphone and you can't do NFC payments while those cheap 300-500USD can do NFC payments.

Apple Maps - We know Apple Maps have 3D Maps and turn-by-turn navigation but nothing is here in India. It's a waste. Specially Apple CarPlay doesn't support Maps turn-by-turn navigation.

Siri - Siri is as dumb as it can be in India. It doesn't let you book tables in restaurants, it doesn't tell you the movie timings, no regional language support etc.

Apple Stores - This is needed. It connects the customers straight to the brand. It's a different experience buying the phone from it's flagship store rather than some shop. Think of this in a way where you would only like to buy a car from it's showroom and not from anywhere else.

Apple TV App/Apple News App - We don't have these apps. I don't know why!

Surprisingly, Apple has not left only India but also many many countries without it's key features.

If you are not from US or UK, you are probably missing some features for sure. That's where Apple needs to understand that customers are ready to pay and the sales are the fact that people are still buying without having all the features but Apple took India for granted and they paid the price for it.

And let me tell you, India loves iPhones. They're crazy over smartphones and they totally believe iPhone is the god of all. The problem is not the pricing, it's the justification of pricing. If I am paying 1300USD, what am I getting back?

Look at Vivo Nex, OnePlust 6T, Huawei P20 Pro etc. These smartphones are simply copying iPhone X and selling at half the price with all the features available for the user.

If iPhone wants the market share, it needs to do more than what these Chinese brands can't do. And that's not just India but everywhere, even in US.
that's why many of us in America still buy Android flagships we get way better value and our Android phones just do more. now with game makers like epic moving away from app stores to give consumers better value Apple is in even more trouble.
 
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So I am seeing a lot of people saying India doesn't have the market for luxury brands or people don't really have that kind of money. Well, first of all India is a country with second largest population in the world. It's impossible to judge India's luxury market. It's huge!

Let me give you an example since everybody is talking about Mercedes Benz in India.

In a country like India, Mercedes Benz is top luxury car marker to sell without giving any heft discounts. BMW & Audi are the ones who give a lot of discounts to customers. But it's not the discounts that drives luxury car market growth in India. It's their payment schemes. Mercedes, BMW & Audi allow customers to pay 50% of the car price with an EMI every month for 5 years and then they either take the rest 50% amount if you want the car or they will take the car back and you don't have to pay the rest 50%. So that means you're paying half the price of the car for 5 years and then you indirectly sell it to Mercedes.

That's what Apple is doing in India. Trying to give customers a relief by giving cash backs through Citibank, zero interest EMI etc. In fact, iPhone can be bought cheaper in India compared to USA. Here's how it works.

iPhone Price in India = Rs.89,000
(-) Citibank Cashback = Rs.10,000
(-) GST TAX Claim (If a company buys an iPhone they can claim for GST as they show it as an Investment) = Rs.10,680 [12% GST]

Total = Rs.68,320 (994USD)

That's less compared to US as the price starts from 999USD + Taxes.

Now obviously this is good for people who have companies and Citibank Credit Card but Apple is also giving zero interest fee for EMIs who are job working people and that is brilliant. It doesn't put a hole in your pocket at all.

So it's really not about the "MONEY"

US, UK and many developed countries just don't have that kind of Chinese Brand presence what they have in India and it's only because Indians want value for money. They will spend money if they think the product is good enough and holds value to it. iPhone is a great product and the quality is unmatched compared to any smartphone company but clearly Indians want more than that. How do you justify a smartphone with incomplete features? And it's a luxury product, how can that be an incomplete product?

-----

India's luxury market to cross $30 bn by year-end
https://economictimes.indiatimes.co...ofinterest&utm_medium=text&utm_campaign=cppst

----

Edit:

I wanted to share this smartphone which cost exact half the price of iPhone X.

https://www.vivo.com/in/products/nex

Processor Qualcomm Snapdragon 845 Octa Core 2.8 GHz
RAM 8GB
Storage 128GB
Battery 4000mAh (Li ion)
Fast Charging
Fingerprint Sensor Indisplay Fingerprint
Size 16.74cm (6.59)
Resolution 2316*1080 FHD+
Type Super AMOLED

Price = Rs.48,000 (700USD)

iPhone X Price = Rs.89,000 (1300USD) [Without any discounts/cashback]
 
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So I am seeing a lot of people saying India doesn't have the market for luxury brands or people don't really have that kind of money. Well, first of all India is a country with second largest population in the world. It's impossible to judge India's luxury market. It's huge!

Let me give you an example since everybody is talking about Mercedes Benz in India.

In a country like India, Mercedes Benz is top luxury car marker to sell without giving any heft discounts. BMW & Audi are the ones who give a lot of discounts to customers. But it's not the discounts that drives luxury car market growth in India. It's their payment schemes. Mercedes, BMW & Audi allow customers to pay 50% of the car price with an EMI every month for 5 years and then they either take the rest 50% amount if you want the car or they will take the car back and you don't have to pay the rest 50%. So that means you're paying half the price of the car for 5 years and then you indirectly sell it to Mercedes.

That's what Apple is doing in India. Trying to give customers a relief by giving cash backs through Citibank, zero interest EMI etc. In fact, iPhone can be bought cheaper in India compared to USA. Here's how it works.

iPhone Price in India = Rs.89,000
(-) Citibank Cashback = Rs.10,000
(-) GST TAX Claim (If a company buys an iPhone they can claim for GST as they show it as an Investment) = Rs.10,680 [12% GST]

Total = Rs.68,320 (994USD)

That's less compared to US as the price starts from 999USD + Taxes.

Now obviously this is good for people who have companies and Citibank Credit Card but Apple is also giving zero interest fee for EMIs who are job working people and that is brilliant. It doesn't put a hole in your pocket at all.

So it's really not about the "MONEY"

US, UK and many developed countries just don't have that kind of Chinese Brand presence what they have in India and it's only because Indians want value for money. They will spend money if they think the product is good enough and holds value to it. iPhone is a great product and the quality is unmatched compared to any smartphone company but clearly Indians want more than that. How do you justify a smartphone with incomplete features? And it's a luxury product, how can that be an incomplete product?

-----

India's luxury market to cross $30 bn by year-end
https://economictimes.indiatimes.co...ofinterest&utm_medium=text&utm_campaign=cppst

Great explanation. Problem is, it doesn't support your argument at all.

Vehicles sold in India in 2017:
  • Audi: 7,878
  • BMW: 9,800
  • Mercedes-Benz: 15,330

Compare this to the over 300k and 600k cars Mercedes sold in the U.S. and China, respectively.

India has a huge population. But the population can't afford to buy premium or luxury products.
 
LOL, 5-6 times?

The original iPhone was $499. Steve Job cut the price to $349 because it was too expensive.

You just lost all credibility with your ridiculous claims.

2007 dollar vs India Rupee terms it is much higher. I could buy many iphones today with the same price!

That's why I bought it when I had access to us market. I went through hell to do hardware unlock(Jaibreak careful enough not upgrade), in that process service guys broke a component, had to wait for 6 months to replace etc... To cut the long story short, Indians were busy paying Sony Ericsson and Nokia literally 2-3 times the money than an iPhone would fetch!
 
Great explanation. Problem is, it doesn't support your argument at all.

Vehicles sold in India in 2017:
  • Audi: 7,878
  • BMW: 9,800
  • Mercedes-Benz: 15,330

Compare this to the over 300k and 600k cars Mercedes sold in the U.S. and China, respectively.

India has a huge population. But the population can't afford to buy premium or luxury products.

I agree but it's a growing luxury market. Also, the price of Mercedes and iPhones are totally different. But I really like how Mercedes is growing in a market like India through it's payment schemes.

Key Points from the article (http://www.asianage.com/business/co...pple-in-growing-indian-smartphone-market.html)

- OnePlus became a strong No 1 brand in premium segment with 40 per cent share within just 14 quarters of entering India

- While the premium market grew but the demand is being skewed towards sub-INR 40,000 devices due to aggressive offerings such as OnePlus and that through online segment. This is a new trend where "affordable ultra-premium" is wooing aspiring rich and young consumers away from more expensive offerings from likes of Samsung and Apple.

- With likes of OPPO, Huawei, Vivo and Google looking to be aggressive in INR 40,000-60,000 segment in coming quarters, pressure on likes of Apple and Samsung will be even higher.

- Apple's share in the premium segment reached its lowest ever 14 per cent due to decline in shipments for its iPhone 8 and X series. Additionally, the increase in import duty and absence of local manufacturing impacted its pricing strategy in India. Apple is also looking to streamline its channel structure in India.

----

Edit:

HTC exits Indian Market
https://economictimes.indiatimes.co...-competition-experts/articleshow/65054003.cms
 
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So I am seeing a lot of people saying India doesn't have the market for luxury brands or people don't really have that kind of money.

iPhone can be bought cheaper in India compared to USA. Here's how it works.

US, UK and many developed countries just don't have that kind of Chinese Brand presence what they have in India and it's only because Indians want value for money.

Mainly because the Indian government allows Chinese cellphones to be sold in India with less restrictions than the USA and UK. This is about to change, as the the tariff wars between China and USA will spread to Asia, the politicians are already stoking these flames.

The security scandal of ZTE (and other Chinese companies) is another factor that restricts their sale in the West. This is about to spread to more brands and countries.
 
So? Canadians can afford it.

According to IDC, the average selling price of a smartphone in India is $157.

Indians aren’t buying expensive smartphones, period. The idea that they can afford iPhone is ridiculous. Every piece of data suggests an affordability issue. Yet, some guys here are trying to blame everything but that such as ecosystem, value, and suppprt.


Problem is you are looking at an average rather than raw numbers. Even if hypothetically 40-50 Million in terms of raw numbers out of 1.4 Billion people can buy an iPhone SE or base model 7 or any high end phone it’s still a huge number especially in a market that’s not as saturated yet in terms of high end mobiles. I’m sure Apple looks at all those demographic data sets, most corporations do. Having lived there I can tell you there are enough people there to market to. Additionally the middle class and upper middle class is expanding pretty fast. A lot apparently see it as a status symbol as well.
[doublepost=1533586676][/doublepost]
Great explanation. Problem is, it doesn't support your argument at all.

Vehicles sold in India in 2017:
  • Audi: 7,878
  • BMW: 9,800
  • Mercedes-Benz: 15,330

Compare this to the over 300k and 600k cars Mercedes sold in the U.S. and China, respectively.

India has a huge population. But the population can't afford to buy premium or luxury products.

Not all those who can buy an iPhone buy or already own high end Android/Apple devices would buy those vehicles, plenty of rich people with high end Samsung’s and Apple devices driving around in Honda Citys, Scorpios, Fords and other cheaper vehicles. Good god I ‘ve seen people whose phones (Android/Apple) cost more than their motorbikes... I lived there long enough to tell you that buying luxury vehicles doesn’t equate to potential high end phone sales.... If you lived there and walked around you’d see for yourself.

TLDR:
I agree the vast majority can’t afford Apple devices but that small fraction that can is in itself large enough to warrant Apple’s attention.
 
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that's why many of us in America still buy Android flagships we get way better value and our Android phones just do more. now with game makers like epic moving away from app stores to give consumers better value Apple is in even more trouble.
Epic ditched the Android store, because they could. They can’t do it on iOS, and they are raking in millions, due to the captive marketplace.

The ecosystems are different. Don’t read more into it, than there is.
 
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LOL, 5-6 times?

The original iPhone was $499. Steve Job cut the price to $349 because it was too expensive.

You just lost all credibility with your ridiculous claims.

Currency exchange rates, taxes and price gouging by Apple have, together, made flagship iPhones (and all Apple products) approx 3x the price they were less than a decade ago, in India. A 32GB iPhone 3GS cost approximately ₹30,000 in 2009, if memory serves. A 256GB iPhone X cost ₹103,000 in 2017. Both were the flagship device from Apple in each year.

This is why most smart buyers in India buy their Apple products abroad. These numbers don’t get included in Apple’s India sales figures which, as you have repeatedly mentioned, were around a million units for phones last year, but I digress. Don’t be so quick to talk about people’s credibility when your own knowledge on the subject seems limited to what you’ve read in an article, it just makes you come across as ignorant, if not prejudiced.
[doublepost=1533597214][/doublepost]
Great explanation. Problem is, it doesn't support your argument at all.

Vehicles sold in India in 2017:
  • Audi: 7,878
  • BMW: 9,800
  • Mercedes-Benz: 15,330

Compare this to the over 300k and 600k cars Mercedes sold in the U.S. and China, respectively.

India has a huge population. But the population can't afford to buy premium or luxury products.

Cars are the most highly taxed of all products in India, especially if they are imported from overseas. A German made BMW, Audi or Mercedes sold in India costs roughly 3-4x what it costs in the U.S. Locally assembled versions cost around 2.5-3x what they do in the U.S.

What’s more, the poor roads, unavailability of high grade fuel, consumables, spare parts and reliable, trustworthy service makes buying an expensive, imported car something only the truly wealthy in India would consider. It’s pointless comparing sales figures from the U.S. (or even China for that matter) to those in India because the market and infrastructure in the countries is entirely different.

Mercedes would not have sold 300k cars in the U.S. in 2017 if their average selling price were 3x what they actually sold for and U.S. infrastructure were what it is in India. Apples and Oranges, really.
 
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This is the key.

We see the same problem with Mercedes-Benz - they’re only able to sell 15k cars in India. The population can’t afford it yet.

Totally different situation, India pays 2x for every Benz sold in india. So technically they can afford much more than what someone in US pays.

Whats missing is a total ownership strategy from Apple. You need to factor cost on of the device, cellphone contract/subscription cost, the ease of payment for these devices.

Its a really a different market, you need to break down the $1300 device in creative way. US rulebook doesnt work. Example, P&G/Unilever saw that they could sell far more(both in terms of $ value and volume) when they sell a sachet of shampoo compared to 200ml of the same product.

Apple did some progress in terms of teaming up with Citibank and other banks.. but it seems it was too little and didn't sustain growth.
[doublepost=1533604063][/doublepost]
. Even if hypothetically 40-50 Million...
[doublepost=1533586676][/doublepost]
.

And that number alone makes Indian market larger than Canada, Uk, Japan Iphone markets.. :)
 
I'm from Bombay, India.

I have owned Apple products for decades from MacBook Pro to iPhones. I was even an Android user buying flagships smartphones of Sony.

For any luxury brand/company to pitch higher sales needs a very strategies pricing. iPhone X in India cost about 1300USD. That's a very steep price even for the Americans. But as long as you have a good middle income and high income market, it's still affordable. But in India, even if they have the money, they will still buy OnePlus or any other Chinese brand because they're getting everything or even more at half the price. And for many people this makes sense in India.

Apple doesn't need to change anything. It just needs to get all it's features down here.

Apple Pay - There's no Apple Pay. In India, Android phones can do NFC payments but iPhones can't. Imagine you have a USD1300 smartphone and you can't do NFC payments while those cheap 300-500USD can do NFC payments.

Apple Maps - We know Apple Maps have 3D Maps and turn-by-turn navigation but nothing is here in India. It's a waste. Specially Apple CarPlay doesn't support Maps turn-by-turn navigation.

Siri - Siri is as dumb as it can be in India. It doesn't let you book tables in restaurants, it doesn't tell you the movie timings, no regional language support etc.

Apple Stores - This is needed. It connects the customers straight to the brand. It's a different experience buying the phone from it's flagship store rather than some shop. Think of this in a way where you would only like to buy a car from it's showroom and not from anywhere else.

Apple TV App/Apple News App - We don't have these apps. I don't know why!

Surprisingly, Apple has not left only India but also many many countries without it's key features.

If you are not from US or UK, you are probably missing some features for sure. That's where Apple needs to understand that customers are ready to pay and the sales are the fact that people are still buying without having all the features but Apple took India for granted and they paid the price for it.

And let me tell you, India loves iPhones. They're crazy over smartphones and they totally believe iPhone is the god of all. The problem is not the pricing, it's the justification of pricing. If I am paying 1300USD, what am I getting back?

Look at Vivo Nex, OnePlust 6T, Huawei P20 Pro etc. These smartphones are simply copying iPhone X and selling at half the price with all the features available for the user.

If iPhone wants the market share, it needs to do more than what these Chinese brands can't do. And that's not just India but everywhere, even in US.
 
I have a bunch of iPhones including 2 SEs and I recently picked up a Xiaomi Redmi 5 plus for $150. Wow that is a lot of phone for the money! I can totally see why consumers in India would pick this over an iPhone. If there is no ecosystem (Apple Pay, maps, etc) then what difference does it make what phone you use as long as it runs the apps you want e.g WhatsApp, TrueCaller, AirtelTV.
 
Gotta like Apple... Their persistent...

If you tell them "NO" they'll keep coming at ya. Seems India government doesn't want anything to do with Apple... Why can't they take a hint? They already have the biggest market in China anyway... loosing to one country isn't gonna make them bankrupt exactly
 
This is definitely off-topic, and may also seem insensitive, but there's really no good place to put this for an audience to see it. Whenever we talk of doing business with or in India, this is the elephant in the room that nobody is willing to even see, let alone deal with.

There's no delicate way to say this, so I'll just blurt it out. Isn't India one of the places in the world from where we get a lot of our phone scams, such as the IRS scam, "Windows Support" scams, etc?

It's almost as if it's a way of life for people over there; to rip off Americans, Brits, and others, and to be proud of it. People around the world are being hurt and that must be having an adverse impact to industries, businesses, and relationships between countries and their peoples.

This is not very friendly, and for it to be happening as much as it is, I'm convinced that officials in India (and others; everybody is not innocent in this) must be turning a blind eye. Or even promoting it in some way. It should be considered and derided as a failure of the entire country's so-called honor. It's also hurting everybody either directly or indirectly, and it's a constant drain on the economies of victim countries.

It's a shameful and dishonorable situation that should be addressed. Who better than India to do it first? They are supposedly our allies and friends, at least in the US and UK, yes? Fix this. Say it publicly and loudly, then act on it and remove the violators and make their arrests and incarcerations public and loud.

It's not acceptable to rip off the innocent, even if they ARE foolish or even stupid with their money. If governments, in all their bloated and bureaucratic (so-called) glory can't do it, then I think business can and should play a bigger role in that. Yes, it's that big. Yes, Apple can help too. Sponsor a program to stop this behavior. Apple touts itself as a concerned corporate citizen in so many other things, even to the point of making life harder for its own customers. Well, maybe now it's time to face up to this.

Okay, rant over. Thanks for listening. :)
 
Apple has created a variety of problems for themselves in India. There are high customs' duties, but they've been slow to manufacture here. They do 2 (obsolete) models - the SE and the 6.

The SE is too small for most Indian Android users. Remember that this might be their primary computing devices, so a switch to the SE isn't worth it.

The 6s, which is still sold, is almost the same price (INR 35k on Amazon) as the latest OnePlus 6 (INR 39k on Amazon). Which one would you buy, if you looked at these prices?

I'm on my 3rd iPhone over the years, but I've given up on Apple being my next phone. I'd rather buy a 4G feature phone with a hotspot (INR 6k) and carry an iPad around (INR 26k) to preserve my investment in IOS apps.

Michel Coulomb has his work cut out. Without a compelling iPhone at around INR 35k, they're out of the game. Tim Cook is a classic sales guy, doesn't know how to make new products, but knows how to milk existing ones for profit. I can't see Cook providing any support whatsoever to allow Coulomb to succeed.
 
Correct the apple exchange rate for the flagships and it will be a good start. The USD to INR rates stand at about 68. For SE, comparing prices between US and India, Apple translates the USD to INR at 63. This increases all the way to 87 for iphone 8 and x. That might sound protectionism hurting the consumers, but for Samsung S9, that exchange rate stands at 70.

See, Apple will never be able to cater to the market that wants or can afford a 200 USD phone. But if they want to tap into the higher end market, they need to correct prices. Make Apple Care affordable and trustworthy. Besides not having a reliable refurbished market here is a problem too. There are platforms to buy used phones off... but I would never ever buy electronics like that.
 
Has anyone articulated why Apple "needs" to be in the Indian market, if the people there are too poor to be able to afford Apple products? Lack of price discipline and tendency of consumers to haggle show that this is still a primitive market.
Growth. Mature markets like US, Japan, and Western Europe are growing slower since those who want a smartphone already have one. In contrast, emerging markets with large populations like China, India, and SE Asia present tremendous opportunity for growth. As a brand, you want to be present in these regions to capture the emerging middle class’ brand awareness regardless of the current situation.

Apple in the past was only giving attention to China. Take example, Singapore. In the early days of iPhone, Singapore is pretty much an iPhone country where majority of consumers are using iPhones. But Apple didn’t even bother despite the country being a hotspot for every local and international businesses in SE Asia. Samsung has taken over majority of the market share with their aggressive marketing. Apple then finally built an Apple store, but the damage is done. Although there are still many iPhone users, Samsung has captured a significant brand mindset in the region.
[doublepost=1533635653][/doublepost]
Correct the apple exchange rate for the flagships and it will be a good start. The USD to INR rates stand at about 68. For SE, comparing prices between US and India, Apple translates the USD to INR at 63. This increases all the way to 87 for iphone 8 and x. That might sound protectionism hurting the consumers, but for Samsung S9, that exchange rate stands at 70.

See, Apple will never be able to cater to the market that wants or can afford a 200 USD phone. But if they want to tap into the higher end market, they need to correct prices. Make Apple Care affordable and trustworthy. Besides not having a reliable refurbished market here is a problem too. There are platforms to buy used phones off... but I would never ever buy electronics like that.
Samsung has established their factory in India for longer than Apple, thus Samsung has always had an advantage in manufacturing cost.

Yep, Apple responded late to the markets in India and SE Asia. Hope they start shifting gears, and sounds like India does get some attention.
 
I can see a lot of misinformation in this thread.

NOTE:

I’m an Indian and have lived in India all my life (apart from my visit to foreign lands for vacations).

The population in India who can afford iPhones is tiny. Period.

Everything else is just an excuse. Indians don’t know/care about Apple Maps/News/etc. There just isn’t the buying power in India yet.

Sell every single iPhone for exactly half of what it’s sold for right now in India, and the sales will be 5-10x of current sales the following year. No doubt.

Those Indians who have the means do buy iPhone X. But the population is tiny.

And Indians have a complex whereby they either want the X or no an iPhone at all.

That’s why sales in 2018 are less than half of 2017. Because many Indians could afford the 7 with its discounts. X, not so much.

If Apple has to grow in India, they’ll need to manufacture in India and sell phones for USD 1 = INR 70 and not USD 1 = INR 95. Indians just won’t be able to afford that in big numbers.

And that goes for luxury cars too. When Mercedes sells under 20k Cars a year in India compared to 100k’s in developed nations, despite having a far bigger population, that should be your hint.

I’m not saying it’s the fault of Indians. But the common man just doesn’t earn that much yet. And what Apple doesn’t realise is that India will never be the next China or Apple for luxury products. But it could become 1/4th of that in maybe 20+ yrs.

Let us take the Apple iUP for example.

Let’s say Apple launches that in India.

The iPhone X will be sold for INR 4000 per month, all inclusive. Approx USD 60 a month. For the base version. With AC+ included. At the end of 12 months you give back your old phone.

So that’s INR 48k a year out of pocket for the 64 GB version. How many Indians do you think will fall for it? I’d guess less than 100k a year.

Even the iPhone SE would be sold for at least INR 1000 per month.

And most Indians consider SE to be a variant of 5s and hence worse than iPhone 6. Yes, they are that ignorant. They no longer want to buy a 6 or 6s either since it’s old now. They either want 7 or X. Other phones are in no man’s land right now in India. People are downgrading from using an iPhone 7 to OnePlus 6. Yes, they’re that crazy.

One person I heard about was such a big show off, they wanted the X but couldn’t afford it. They sold their 7 to buy a USD 300 Vivo for the notch. Lol.
 
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The global smartphone ASP is $345. India's smartphone ASP is $157. The SE is within reach of the average global smartphone buyer. It's unaffordable for Indians.

This is not an Apple problem. It's an affordability problem with consumers in India.

Just like Mercedes-Benz isn't about to sell Benz-branded mopeds in India, it makes no sense for Apple to stoop down.


you are missing the point, for 1.4 billion population if average is $150/- then surely there is good chunk of market above average. even if only 2% can afford it still u r looking at 28million. Now lets only include salaried/earning population into that who can afford a top end phone (i have worked in india in the past so i reckon my numbers would be close enuf), its comes out to be about 4million.
A 4million markt is still 5% of total apple sales in 2017.
Remember this is purely salaried people not businneses.
Even only if quarter of them buy top end phone year on years its still 1 million.
And i can't stress enuf that this is only salaried class. medium to large scale businesses in India are huge
You have to move away from averages and %ages to get the market value.

Contrary to your point about Mercedes benz they luxe models are sold more and they have very little market for low end A series etc. Same with BMW Audi. if you like to talk about percentages Merc market rose by 500% in india in last 7-8 years. While here in UK it declined by 16%
 
I can see a lot of misinformation in this thread.

NOTE:

I’m an Indian and have lived in India all my life (apart from my visit to foreign lands for vacations).

The population in India who can afford iPhones is tiny. Period.

Everything else is just an excuse. Indians don’t know/care about Apple Maps/News/etc. There just isn’t the buying power in India yet.

Sell every single iPhone for exactly half of what it’s sold for right now in India, and the sales will be 5-10x of current sales the following year. No doubt.

Those Indians who have the means do buy iPhone X. But the population is tiny.

And Indians have a complex whereby they either want the X or no an iPhone at all.

That’s why sales in 2018 are less than half of 2017. Because many Indians could afford the 7 with its discounts. X, not so much.

If Apple has to grow in India, they’ll need to manufacture in India and sell phones for USD 1 = INR 70 and not USD 1 = INR 95. Indians just won’t be able to afford that in big numbers.

And that goes for luxury cars too. When Mercedes sells under 20k Cars a year in India compared to 100k’s in developed nations, despite having a far bigger population, that should be your hint.

I’m not saying it’s the fault of Indians. But the common man just doesn’t earn that much yet. And what Apple doesn’t realise is that India will never be the next China or Apple for luxury products. But it could become 1/4th of that in maybe 20+ yrs.

Let us take the Apple iUP for example.

Let’s say Apple launches that in India.

The iPhone X will be sold for INR 4000 per month, all inclusive. Approx USD 60 a month. For the base version. With AC+ included. At the end of 12 months you give back your old phone.

So that’s INR 48k a year out of pocket for the 64 GB version. How many Indians do you think will fall for it? I’d guess less than 100k a year.

Even the iPhone SE would be sold for at least INR 1000 per month.

And most Indians consider SE to be a variant of 5s and hence worse than iPhone 6. Yes, they are that ignorant. They no longer want to buy a 6 or 6s either since it’s old now. They either want 7 or X. Other phones are in no man’s land right now in India. People are downgrading from using an iPhone 7 to OnePlus 6. Yes, they’re that crazy.

One person I heard about was such a big show off, they wanted the X but couldn’t afford it. They sold their 7 to buy a USD 300 Vivo for the notch. Lol.

That tiny percent that buys high end mobiles is still more than the population of Canada. I too lived in India. You are too hung up on percents not realizing when dealing billions that’s still a lot of people. Samsung, Apple etc all check demographics etc when deploying their product lines. It also helps that quite a few people consider it as status symbol and some of those buy it even if it makes no financial sense. As kbk75 pointed out above comparing luxury car sales makes no sense.
 
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you are missing the point, for 1.4 billion population if average is $150/- then surely there is good chunk of market above average. even if only 2% can afford it still u r looking at 28million. Now lets only include salaried/earning population into that who can afford a top end phone (i have worked in india in the past so i reckon my numbers would be close enuf), its comes out to be about 4million.
A 4million markt is still 5% of total apple sales in 2017.
Remember this is purely salaried people not businneses.
Even only if quarter of them buy top end phone year on years its still 1 million.
And i can't stress enuf that this is only salaried class. medium to large scale businesses in India are huge
You have to move away from averages and %ages to get the market value.

Contrary to your point about Mercedes benz they luxe models are sold more and they have very little market for low end A series etc. Same with BMW Audi. if you like to talk about percentages Merc market rose by 500% in india in last 7-8 years. While here in UK it declined by 16%

The number of people who can afford an iPhone X comfortably is well under a million. Those who can afford an SE or above is probably under 5 million too.

There’s no dearth of salaried people. But of those people less than 10% actually make over USD 25 a year pretax.

Most people who are buying these luxury commodities are in fact owners of SMEs, founders, graduates from top schools, fanboys, etc.
[doublepost=1533639053][/doublepost]Nope.

In the first half of 2018 Apple sold about 400k iPhones in India. And not many Xs at all.

What everybody banking is on a future 10 yrs down the line. Nobody is saying they expect India to be a big market today.

What I’m saying is the future may be okay for India, but it will never be another China.

Only 5% smartphones sold in India cost USD 450 or more.

Of this market, Apple has 12% market share. And it’s decreasing with each passing year. There was a time Apple had 80% of this market.
 
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@aakshey , I have seen plenty of people outside of “top schools” or business leaders buy $400+ Samsung’s, Apple and etc phones and this was in 2012 when that number was even lower. The SE and base iPhone 6S/7 have a decent population size to market to. Add to that rapidly expanding middle class of which that small afforded proportion is increasing with it plus the fact that it’s not as saturated as more developed nations in the high end. Quite a chunk is also imported for lower cost from abroad.

Apple alone sold 3.2 Million phones there in 2017 according to Bloomberg, granted sales are lower this year. I think you are vastly underestimating the market for high end as a whole regardless of Android/Apple, as Apple’s market share is a fraction of the others. Even the top 2% of the population is still over 20 Million people to market to along with competitors.

As for the X/8 Plus if you only include those models as a sub set I agree that significantly cuts out the available marketable population.
 
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The number of people who can afford an iPhone X comfortably is well under a million. Those who can afford an SE or above is probably under 5 million too.

There’s no dearth of salaried people. But of those people less than 10% actually make over USD 25 a year pretax.

Most people who are buying these luxury commodities are in fact owners of SMEs, founders, graduates from top schools, fanboys, etc.
[doublepost=1533639053][/doublepost]Nope.

In the first half of 2018 Apple sold about 400k iPhones in India. And not many Xs at all.

What everybody banking is on a future 10 yrs down the line. Nobody is saying they expect India to be a big market today.

What I’m saying is the future may be okay for India, but it will never be another China.

Only 5% smartphones sold in India cost USD 450 or more.

Of this market, Apple has 12% market share. And it’s decreasing with each passing year. There was a time Apple had 80% of this market.

for a fact "Oxfam’s survey is based on data put out by Credit Suisse in 2017. The Credit Suisse’s wealth book indicates that the top 10% of India’s population owned 73% of the country’s wealth"
Use this for better numbers
https://www.thehindu.com/data/how-many-indians-are-richer-than-you/article8551773.ece

With 1,500,000 as salary, you would get 1.3 million individual (thats USD 23k/annum). Salaried class 49%.
I reckon about half that salary (note its after deductions) is worth considered to be a market for top end phones. Yes provided apple does contracts and spread cost on monthly basis
 
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