Research Suggests Apple Doubled Its Market Share in India Last Year

[MacRumors]

Apple's market share in India increased from 2% to 4% in the quarter that ended in December, based on data collated by research firms Counterpoint and Cybermedia.

As reported by TechCrunch, Apple shipped more than 1.5 million iPhone units in India in the quarter, up 100% year-on-year, making this its best quarter in the country to date.

According to the data, Apple managed to double its market share thanks to improved sales of the iPhone 11, iPhone XR, iPhone 12, and the 2020 iPhone SE. Overall, Apple shipped more than 3.2 million iPhone units in India in 2020, up 60% year-on-year.

The results follow several recent moves by Apple in the country, including the launch of a regional online store in September 2020 and a Diwali promotion in October that offered free AirPods with every iPhone 11 purchase.

Apple has historically struggled to be competitive in what is the world's second largest smartphone market, in part due to the premium price tags of its iPhone models versus the low cost of rival handsets from the likes of Xiaomi, Oppo, and Vivo that have swamped the market.

However, Apple has taken advantage of the Indian government's Made in India initiative to increase its regional manufacturing base, which has allowed it to save import duty costs and pass on the savings to customers by reducing prices on older generation iPhone models.

Local production of newer iPhone models is next on Apple's agenda, and Apple supplier Wistron recently began trial production of the ‌iPhone 12‌ at a new facility near Bengaluru, with full production set to begin in mid-2021. The ‌iPhone 12‌ would be the seventh iPhone model to be manufactured in India, but the first high-end device to do so.

Apple is also planning to open retail stores in India in the near future, all of which suggests its strategy in the country is headed in the right direction. Apple is due to report its earnings on Wednesday, so expect India to be a highlight.

Article Link: Research Suggests Apple Doubled Its Market Share in India Last Year

 

[djcerla]

With roadblocks removed, it’s all up from here.

 

[yellow8]

I also doubled the number of apps downloaded in India.
2x10 = 20.
My numbers are as impressive as Apple. *proud*

 

[DelayedGratificationGene]

India was a tough nut to crack but Apple kept hitting it and was relentless. Great job. Now let word of mouth accelerate about how good the phone is and we all know what happens after that....

 

[applefanboy1990]

Apple retail stores in India will be an exciting move!

I heard the original plan was to open in 2020 but was pushed back to 2021... Does anyone have any idea on an expected opening date or the store?

The rumour is they will open in Mumbai in Maker Maxity Mall Bandra Kurla Complex (BKC) - but it's tough to find any official info

 

[nikaru]

India was a tough nut to crack but Apple kept hitting it and was relentless. Great job. Now let word of mouth accelerate about how good the phone is and we all know what happens after that....

The issue with Apple in India was never about knowing how good the iPhone is. It was always about price and will continue to be. The average salary in India is around 300$ while in the US it is 4000$. Imagine if the iPhone 12 cost in the US was 10,000$ how many iPhone would Apple have sold? Apple cant really penetrate in the Indian market, but could only wait until India increases its middle class population and GDP per capita to a sufficiently high level so that the iPhone could become accessible item for a bigger part of the population.

 

[DelayedGratificationGene]

The issue with Apple in India was never about knowing how good the iPhone is. It was always about price and will continue to be. The average salary in India is around 300$ while in the US it is 4000$. Imagine if the iPhone 12 cost in the US was 10,000$ how many iPhone would Apple have sold? Apple cant really penetrate in the Indian market, but could only wait until India increases its middle class population and GDP per capita to a sufficiently high level so that the iPhone could become accessible item for a bigger part of the population.

I’m sure China was the exact same scenario not that long ago....

 

[Madhava]

Main reason is Apple online store.
Currently there is almost 10% discount given by Apple this week for purchases from Apple online store.
So expect this quarter will be much better.

 

[macdos]

I’m sure China was the exact same scenario not that long ago....

Actually it was rather long ago, say 1990s. There has been a substantial upper middle class for some time now.

India doesn't parallel China in its development and will never catch up. Too much corruption, too little spending on education and infrastructure.

 

[picl10]

It is good to see more business. The main problem here is that India pricing is way more than US inclusive of taxes. For iPhone 12 Pro Max 256 GB, India customers need to pay $1916 where as in US price is $1280. Huge gap of $630 and need to pay upfront.

 

[macdos]

Poor Bharat… they will choose Xiaomi before Iphone anytime.

 

[picl10]

Actually it was rather long ago, say 1990s. There has been a substantial upper middle class for some time now.

India doesn't parallel China in its development and will never catch up. Too much corruption, too little spending on education and infrastructure.

Corruption is there everywhere, but impacting daily lives and longer vision in India badly.

 

[7thson]

Lol. My immediate reaction to the headline was pure snark, “oh, so they went from 3 to 6%?” Immediately clarified that I was too optimistic. Well keep chiseling away, Apple, you’re making progress.

 

[Slash787]

They really need to lower the prices, I hope they down the prices.

 

[DelayedGratificationGene]

Actually it was rather long ago, say 1990s. There has been a substantial upper middle class for some time now.

India doesn't parallel China in its development and will never catch up. Too much corruption, too little spending on education and infrastructure.

I see first generation hard working immigrants from India running huge IT departments at major corporations. That just doesn’t happen on accident. Saw the same thing with Chinese immigrants a couple of decades ago

 

[himanshumodi]

Poor Bharat… they will choose Xiaomi before Iphone anytime.

Yep... we really have no sense of what privacy is.

 

[nikaru]

I’m sure China was the exact same scenario not that long ago....

Indeed, but China has seen abnormal economic growth in the last 3 decades which is difficult to replicate elsewhere. Even 10 years ago, the average salary in China was much higher than the average salary today in India.

 

[himanshumodi]

The issue with Apple in India was never about knowing how good the iPhone is. It was always about price and will continue to be. The average salary in India is around 300$ while in the US it is 4000$. Imagine if the iPhone 12 cost in the US was 10,000$ how many iPhone would Apple have sold? Apple cant really penetrate in the Indian market, but could only wait until India increases its middle class population and GDP per capita to a sufficiently high level so that the iPhone could become accessible item for a bigger part of the population.

On the other hand.... the sheer volume of people means that even a small %age of middle class translates to a small country size itself. Besides - Apple had great price points with 11. And now the SE and mini will also do well at their price points.

 

[macdos]

I see first generation hard working immigrants from India running huge IT departments at major corporations. That just doesn’t happen on accident. Saw the same thing with Chinese immigrants a couple of decades ago

So? This has nothing to do with immigrants or their ambitions, but with the structure of society in China and India.

China changed course and scrapped communism in 1978 with Deng Xiaoping, inviting foreign capital, opening up, privatizing and making market mechanisms the major force for transforming society. They have grown with 9% a year since then.

At the same time, China has always valued education, and the state has taken on to make sure no one is left behind. Human capital is at the core in China, not so in India, where you see a cast society and enormous levels of poverty and slum.

 

[DelayedGratificationGene]

So? This has nothing to do with immigrants or their ambitions, but with the structure of society in China and India.

China changed course and scrapped communism in 1978 with Deng Xiaoping, inviting foreign capital, opening up, privatizing and making market mechanisms the major force for transforming society. They have grown with 9% a year since then.

At the same time, China has always valued education, and the state has taken on to make sure no one is left behind. Human capital is at the core in China, not so in India, where you see a cast society and enormous levels of poverty and slum.

So? Just as China removed the communist shackles 40 years ago India will remove their shackles. Seems to be happening and I’m pretty sure Apple would not employ such resources in a country with no hope.

 

[Frantisekj]

The issue with Apple in India was never about knowing how good the iPhone is. It was always about price and will continue to be. The average salary in India is around 300$ while in the US it is 4000$. Imagine if the iPhone 12 cost in the US was 10,000$ how many iPhone would Apple have sold? Apple cant really penetrate in the Indian market, but could only wait until India increases its middle class population and GDP per capita to a sufficiently high level so that the iPhone could become accessible item for a bigger part of the population.

That is why Apple started production of old devices first so he can compete better on lower end. Then they have to push on all levels and try to capture chunk of high end pie and help build healthy second hand market as iPhone are long lasting and not everyone cares about latest updates. I never shelled more the 200 for iPhone. And have sixth one.

other things, i just speculate on behalf our local knowledge, Apple needs to support local developers to build iOS versions of local apps. As India is specific market. No to just plot I did some search and found only 8% Indian apps are available on iOS. That is simply nothing. Quantity may not be best measure but 8% is really critically low percentage.
Source: https://42matters.com/india-app-market-statistics

And one Addition. As I was checking Indian iOS apps i found one interesting thing. One News app still support iOS 6 up. Something rare otherwise.

 

[Cosmosent]

Still in the noise margin !

It could take decades BEFORE Apple has real success in India.

 

[pratikindia]

Still it’s too expensive. The iPhone X was 100K INR in 2017 and the iPhone 12 Pro starts at 119K INR with little to no change in US$ exchange rate now and both are priced same ($999) in US. One good things is that now India has online Apple store which is a much better way to buy as there are very few authorized retailer/reseller in many states.

 

[freakomac]

I am not sure making iPhones in India made them any cheaper. they still sell at a premium. Previously the excuse was the high taxes for importing from China, now with local manufacturing its not clear if the tax savings are actually passed on, the prices are still very high

 

[M5RahuL]

It's hilarious how every time an article on India and iPhone is posted, some arm chair expert chimes in with India's income, corruption, comparing it with communist China et al...

As if, generally speaking, folks in the US just stroll in to an Apple store and drop $1000+ cash on a mobile device lol. If it wasn't for carrier subsidies, tradein deals, financing options.. I'd be willing to bet a lot of those people wouldn't have the latest and greatest idevice!

As for India's corruption, lack of education, poverty... people forget ( more likely have no clue ) that India was finally independent after 1947 ( from Moghuls to British rule ) that left the country not only divided, ( India-Pak ) with major military conflicts, but was also robbed and plundered, thus setting the nation back economically by far!

That said, She's reborn and well on her way back..

- 2nd Gen Indian American