Apple’s Growing Globally, But Success in India is Still Far Away

India hasn’t figured in Apple’s list of top markets and the company’s new strategy may not really help its case.

Published01 Aug 2018, 02:07 PM IST
Tech and Auto
2 min read

Apple is on the verge of becoming a trillion dollar company, thanks to the sales of its iPhone X and Apple Watch that are priced exorbitantly. Every year, its growth beats the estimates, proving that Apple’s existing business model in most of its markets is a success.

Having said that, when it comes to India, Apple is far from success, repeatedly finding its sales staying fairly mediocre. The latest quarter results for Apple include all its top markets, but India is not part of that list.

Why is that? Simply because, the Cupertino-based giant has failed to match its competition - Samsung and OnePlus among others in India. How long is it going to be before Apple makes an exception of its pricing strategy for India and does things differently? By the looks of it, it’s going to take a while.

While everyone is talking about Apple’s phenomenal growth on the back of strong iPhone, Apple Watch and Mac sales, India’s report card for the company isn't something to write home about.

Apple in India has resorted to its tried-and-tested formula of pricing its iPhone more expensive than most of its markets. India, clearly hasn’t made it to its main discussion panel, and this time no reference of India was made with regards to iPhone sales.

India’s name was only mentioned for Mac laptops, as Apple recorded strong demand for its notebooks, owing to the "back-to-school" campaigns that are run around this time.

What also doesn’t help is the latest sales figures for Apple in India, which according to Counterpoint Research stands at less than a million devices, in the first half of 2018. This is in stark contrast to Apple’s iPhone figures from 2017, when it managed to sell over 3.2 million devices.

Apple had a weak Q1 2018, as demand for its iPhone 8 and X series declined. The Cupertino-based giant had to battle rising import tariffs due to the lack of “Make In India” domestic manufacturing capabilities for its portfolio.
Counterpoint Research

It’s not going to get easier for Tim Cook and Co, but how Apple plans on figuring its way out in India, is anybody’s guess right now. The make in India project has been a smokescreen for a while, with reports suggesting that Apple has started assembling its iPhone 6 in India.

The company is making wholesale changes to its retail and sales team in the country, roping in people who can help Apple operate better in the market. It is also re-evaluating its retail strategy in India and wants dealers to sell devices at its original market price (that means no more discounts).

Not sure that’s the best way forward for Apple, but hopefully the company has thought out its next move, which may help it get better returns out of India.

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