Apple's iPhone Sales in China Down an Estimated 30% in Q1 2019, Huawei Continues to Dominate

Discussion in 'MacRumors.com News Discussion' started by MacRumors, Apr 30, 2019.

  1. Elyzien macrumors member

    Elyzien

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    #51
    Apple Priced themselves out of the market in China.
    --- Post Merged, Apr 30, 2019 ---
    Hell, if Apple Don't wake up they'll price themselves out of the US market too!
     
  2. Marcus1984 macrumors newbie

    Marcus1984

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    #52
    Apple or any phone-maker will never reach another peak like 2014-17.
    Our phones are to good and as long as displays are in fine condition and batteries healthy we won’t upgrade.
    Apple chose the right path to bank on software while maintaining a yearly release for the few that upgrade hardware.
     
  3. Elyzien macrumors member

    Elyzien

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    #53
    Partially agree, but sales would be much higher with proper pricing in China.
     
  4. grassright macrumors newbie

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    #54
    Actually a lot of Huawei phones are priced at similar (if not higher) price range as iPhone's, e.g., checkout their latest P30 Pro.
    And Chinese market is way much bigger than than US, even the top 10% income population is already huge.
     
  5. PickUrPoison, Apr 30, 2019
    Last edited: Apr 30, 2019

    PickUrPoison Suspended

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    #55
    Neither of those two statements are relevant to my points that Apple doesn’t compete in the market for cell phones priced below $600, or that the average income Chinese consumer doesn’t by Apple.
     
  6. Bustycat macrumors regular

    Bustycat

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    #56
    Apple sells products more expensive in mainland China. The products remain more expensive comparing to Taiwan, Hong Kong and Macau even after lowering prices. Greater China includes Taiwan, Hong Kong and Macau so the trend should be worse if we just compare the differences from mainland China.
     
  7. Marcus1984 macrumors newbie

    Marcus1984

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    #57
    The thing is that in China Apple only has hardware-sales to bank on.
    Cheaper price=less margin+no further income on software.
    Chinese buyers only use wechat no matter what brand they buy.
     
  8. Gogeta-Blue Suspended

    Gogeta-Blue

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    #58
    well a little like a week ago I saw an article showing that Huawei had over a 30% increase in revenue in their last quarter in sales

    it looks like apple is loosing the war in china
     
  9. L-Viz macrumors 6502

    L-Viz

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    #59
    This is all Apples fault. The never should have abandoned the SE without releasing a small inexpensive SE2 for the masses. Tim don't get it: they don't want phablets!
     
  10. Baymowe335 macrumors 601

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    #60
    Greater China includes Mainland China.
     
  11. PickUrPoison Suspended

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    #61
    When did that happen? iPhone X was $999 in 2017; the XS was better in almost every way and still $999 in 2018. Sales in the China region were $45 billion in 2017, in 2018 they’d increased to $52 billion.

    Are there pricing challenges in China? Sure. But have they priced themselves out of the market? No, they haven’t.
     
  12. 33man macrumors 6502

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    #62
    Indeed but China have their government population ranking status... So well...

    And BTW Apple already reduced iphone's price there no?
     
  13. DeepIn2U macrumors 603

    DeepIn2U

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    #63
    Does Huawei have any services to offer besides it's OS augmentation of Android?
    I mean of course separate from networking equipment division.
     
  14. Makayla macrumors regular

    Makayla

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    #64
    What are Apple's competiters' price points in China and India? $500? $200? $50?
     
  15. pallymore macrumors regular

    pallymore

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    #65
    The thing is - they used to buy Apple until Apple jacked up their prices in the past two years. And many people buy used, you'd bu surprised to see how many used iPhone 5s is still being bought and sold.
    Huawei sells tons of high-end phones as well which is also eating Apple's market share.
     
  16. now i see it macrumors 68040

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    #66
    Since Chinese smartphones are now so good and much cheaper, the downward trend of iPhone sales in China will only deepen
     
  17. lowendlinux Contributor

    lowendlinux

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    #67
    Right but the MR article was mainland only the other is not.
     
  18. pallymore macrumors regular

    pallymore

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    #68
    True. However Apple is not marketing their phone for the 1% over there.
    It has been the go-to phone for the middle class for quite a few years but now the middle class have more affordable options - not necessarily better options but if you can get 90% of what you need for 50% of the price there is no reason to pay more.

    Forgot to mention the surge of conservative / nationalism views also played a role here - which mainly affects Apple's sales in lower tier cities.
     
  19. Baymowe335 macrumors 601

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    #69
    The forum post is essentially meaningless.
     
  20. PickUrPoison Suspended

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    #70
    They bought in 2017 and 2018; 2019 is more difficult (at least Q1 was, we’ll know more later today).

    Used phones don’t show up at all in sales market share numbers, but I’m sure you’re right that a lot are sold. I’m much more concerned about anti-competitive actions like companies telling their employees not to buy iPhones, to buy Huawei instead, and reports that the government gives social credits to citizens who buy Huawei. Apple can’t control that, whereas price they do.

    Obviously Apple expected to sell fewer iPhones at the highest priced X/XS/XS Max tier. To the extent they cut prices there, and on the XR, they can increase quantity sold.
     
  21. pallymore macrumors regular

    pallymore

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    #71
    Another thing to consider is the software eco-system.

    While iTunes / Apple Music has been great in many countries, there are far more much cheaper and better localized options in China. $10 a month? You can get more music choices & more streaming options for less than $20 a YEAR on QQ music.
    Tencent is a big player in the services area - people mostly use WeChat instead of iMessage, WeChat Pay is accepted almost everywhere, etc.
    Many people don't need the Apple-services eco-system which is mostly limited to apple devices - they just need Tencent services which is available on any smartphone.
     
  22. ani4ani macrumors 6502a

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    UK
    #72
    That is such a tired and pointless argument...when a budget or midrange phone is purchased, it’s a phone that is not sold by Apple. They compete! Apple is not making themselves somehow immune by charging a fortune for their products, self evidently, Apple’s number is shrinking in China
     
  23. pallymore macrumors regular

    pallymore

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    #73
    yea, the anti-American sentiment has been growing rapidly since the trade war started. I'm sure it is damaging the sales numbers as well.
     
  24. I7guy macrumors Core

    I7guy

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    #74
    That’s akin to saying a sale for Toyota is a lost sale for BMW. Sure Toyota and BMW compete, but it’s not for the same target demographic, similar to Apple vs the local phone manufacturers.
     
  25. realtuner macrumors 65816

    realtuner

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    #75
    How? If McDonald's sees a jump in revenue does it mean Morton's Steakhouse is losing the war?
     

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