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Apple's iPhone sales reportedly up 400% in India thanks to aggressive pricing strategies

post #1 of 55
Thread Starter 
The institution of installment payment plans and deep discounts in India has netted Apple up to a fourfold boost in iPhone sales over the past four months, said investment firm Credit Suisse, with the company moving nearly 400,000 handsets each month.

India


According to analyst Sunil Tirumalai, Apple's equal monthly installment (EMI) and cash-back programs have jump-started sales in India, which used to be around 70,000 to 80,000 units per month before the aggressive pricing schemes, reports India's Economic Times.

As a burgeoning market, India's smartphone sector has traditionally been dominated by low-cost feature phones, while high-end products like Apple's iPhone were out of reach for a majority of consumers. The latest estimates suggest the iPhone now accounts for nearly three percent of the entire Indian market.

Apple's "aggressive approach" to iPhone sales in the world's second most-populous nation includes extensive advertising, but more importantly an interest-free EMI initiative that allows buyers to put down a partial payment on an iPhone 4 or 4S and pay the remainder over the next 6 to 12 months.

"The 4-9% implicit discount coupled with the option of easy EMIs spread over 6-12 months became popular," Tirumalai said. "Within a few months, our discussions with handset retailers indicated that iPhone sales went up 3-4x, forcing companies to respond."

In April, Apple added an 18 percent cash discount to the iPhone 4 deal, effectively nullifying the partial down payment. According to the publication, this resulted in an effective discount of 23 to 27 percent, making the handset more attractive for first-time smartphone buyers.

Credit Suisse's report, which based its numbers on mobile device retailers and distributors, is in line with preliminary IDC estimates from February, which noted an identical 400-percent increase in sales.

As part of its push, Apple began offering trade-in rebates earlier in May, with students getting 7,777 rupees (about $134) off certain iPhone models.
post #2 of 55
Up in Indian??? Gotta proofread the headlines.
post #3 of 55
Wait. Isn't this the exact same headline and story from a few months ago?

Add: The phone looks cool. I'd buy one of those.
Edited by anantksundaram - 5/30/13 at 7:54pm
post #4 of 55
Here's an idea. Let savvy young people work off the price of the phone by creating apps tailored to the Indian market.
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post #5 of 55
I thought I read recently (within the last couple weeks or so) that Samsung's shipments are way up in India, too.

Quote:
Originally Posted by Robin Huber View Post

Here's an idea. Let savvy young people work off the price of the phone by creating apps tailored to the Indian market.

Another idea: Create a factory in India so they can create Apple Stores in the big cities thus cutting out the multi-teir distribution system and lack of support that tech usually gets in India. I think the population that can buy will be in these larger cities and think it's likely more sufficient for the effort even if just a tiny portion of the population. Long term I think this could give Apple a presence in India that would make it appealing the way it is in China once the a strong middle class starts to really grow. Note: This is all a hypothesis. If this is in any way possible and viable for Apple I'm certain they would have conceived, researched and documented it long ago.

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"There is no rule that says the best phones must have the largest screen." ~RoundaboutNow

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"The real haunted empire?  It's the New York Times." ~SockRolid

"There is no rule that says the best phones must have the largest screen." ~RoundaboutNow

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post #6 of 55

HI All,

 

As stated before Apple has to be aggressive in their pricing, since Indians LOVE Apple, but will not spend the 'western' prices to buy unless there is an incentative. Also you have so many cheap 'HIGH END smartphones' that may not give same quality of functionality as Apple (not talking Samsung or HTC, BB etc.), but locally manufactured and allow the 'middle class' to spent less and still feel like the person has a HIGH END smartphone, e.g http://www.micromaxinfo.com/mobiles/smartphones/canvas

 

I would be very happy, If Apple open a store and of course the first would be in Mumbai ( not capital), but 40% revenue in India comes from this city.

post #7 of 55
Quote:
Originally Posted by Robin Huber View Post

Here's an idea. Let savvy young people work off the price of the phone by creating apps tailored to the Indian market.

Indentured developer servitude? That seems a little extreme. How do you even measure the value? By app sales?

post #8 of 55
Hmm this sounds like Apple using its offshore money to act like a bank or financier. Maybe overseas money should stay overseas? Apple is doing the same in China.
post #9 of 55
Quote:
Originally Posted by souliisoul View Post

HI All,

 

As stated before Apple has to be aggressive in their pricing, since Indians LOVE Apple, but will not spend the 'western' prices to buy unless there is an incentative. Also you have so many cheap 'HIGH END smartphones' that may not give same quality of functionality as Apple (not talking Samsung or HTC, BB etc.), but locally manufactured and allow the 'middle class' to spent less and still feel like the person has a HIGH END smartphone, e.g http://www.micromaxinfo.com/mobiles/smartphones/canvas

 

I would be very happy, If Apple open a store and of course the first would be in Mumbai ( not capital), but 40% revenue in India comes from this city.


iPhone 5 price before all these 'incentives' = Rs 45,500 = $ 810+
No American will buy this phone, forget Indians, at this rate.

Americans have a far bigger 'incentive system' with their monthly pay contracts, which eventually sum up to a huge price in the end.

I am from Mumbai. Am an iOS App Developer in a startup. And I still use a Nokia X2-01 qwerty phone personally. I dont need a 'high-end' smartphone, forget even a smartphone. Any decent phone is enough once it satisfies one's needs.

Apple iPhones are still a status symbol rather than a utility buy in India, sadly.

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post #10 of 55
Sadly. Neighboring Pakistan(5th largest population) is still being ignored. Doesn't even have an iPhone available (officially launched). iPhone has been in the mobile business since 2007, I see reports every month on how good Apple is in their Supply Chain Management and is committed to excel in being a global brand giving the legacy competitors a hard time. Why has the Pakistani market still being ignored?!
post #11 of 55
Quote:
Originally Posted by saadmub View Post

Sadly. Neighboring Pakistan(5th largest population) is still being ignored. Doesn't even have an iPhone available (officially launched). iPhone has been in the mobile business since 2007, I see reports every month on how good Apple is in their Supply Chain Management and is committed to excel in being a global brand giving the legacy competitors a hard time. Why has the Pakistani market still being ignored?!

Hopefully no one will crack a joke like , 'maybe they'd interfere with the drones...' nah, nobody would make such a bad joke here on AI.
Been using Apple since Apple ][ - Long on AAPL so biased
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Been using Apple since Apple ][ - Long on AAPL so biased
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post #12 of 55
Quote:
Originally Posted by digitalclips View Post

Quote:
Originally Posted by saadmub View Post

Sadly. Neighboring Pakistan(5th largest population) is still being ignored. Doesn't even have an iPhone available (officially launched). iPhone has been in the mobile business since 2007, I see reports every month on how good Apple is in their Supply Chain Management and is committed to excel in being a global brand giving the legacy competitors a hard time. Why has the Pakistani market still being ignored?!

Hopefully no one will crack a joke like , 'maybe they'd interfere with the drones...' nah, nobody would make such a bad joke here on AI.

It is an interesting question though…

In general terms -- What should Apple, or any American company do to invest * in, or make their products available in countries that are not too friendly to the United States?

* product sales/distribution, infrastructure, stores, factories

More specifically -- How would investment in Pakistan affect relationships with neighboring India (or vice versa)?

I suspect that whoever wins the Turkish education Fatih project bid will build factories in Turkey as part of the deal. US companies in the running for this bid are Apple Google and Microsoft…

Would be good questions for Tim Cook -- or even President Obama!

"World peace through world trade"
Edited by Dick Applebaum - 5/31/13 at 5:35am
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post #13 of 55
Duplicate.. AI's fault
Edited by Dick Applebaum - 5/31/13 at 5:36am
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post #14 of 55
Duplicate.. AI's fault
Edited by Dick Applebaum - 5/31/13 at 5:37am
"Swift generally gets you to the right way much quicker." - auxio -

"The perfect [birth]day -- A little playtime, a good poop, and a long nap." - Tomato Greeting Cards -
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"Swift generally gets you to the right way much quicker." - auxio -

"The perfect [birth]day -- A little playtime, a good poop, and a long nap." - Tomato Greeting Cards -
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post #15 of 55
Duplicate.. AI's fault
"Swift generally gets you to the right way much quicker." - auxio -

"The perfect [birth]day -- A little playtime, a good poop, and a long nap." - Tomato Greeting Cards -
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"Swift generally gets you to the right way much quicker." - auxio -

"The perfect [birth]day -- A little playtime, a good poop, and a long nap." - Tomato Greeting Cards -
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post #16 of 55
Duplicate.. AI's fault
"Swift generally gets you to the right way much quicker." - auxio -

"The perfect [birth]day -- A little playtime, a good poop, and a long nap." - Tomato Greeting Cards -
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"Swift generally gets you to the right way much quicker." - auxio -

"The perfect [birth]day -- A little playtime, a good poop, and a long nap." - Tomato Greeting Cards -
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post #17 of 55
Duplicate.. AI's fault
"Swift generally gets you to the right way much quicker." - auxio -

"The perfect [birth]day -- A little playtime, a good poop, and a long nap." - Tomato Greeting Cards -
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"Swift generally gets you to the right way much quicker." - auxio -

"The perfect [birth]day -- A little playtime, a good poop, and a long nap." - Tomato Greeting Cards -
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post #18 of 55
Duplicate.. AI's fault
"Swift generally gets you to the right way much quicker." - auxio -

"The perfect [birth]day -- A little playtime, a good poop, and a long nap." - Tomato Greeting Cards -
Reply
"Swift generally gets you to the right way much quicker." - auxio -

"The perfect [birth]day -- A little playtime, a good poop, and a long nap." - Tomato Greeting Cards -
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post #19 of 55
Duplicate.. AI's fault
"Swift generally gets you to the right way much quicker." - auxio -

"The perfect [birth]day -- A little playtime, a good poop, and a long nap." - Tomato Greeting Cards -
Reply
"Swift generally gets you to the right way much quicker." - auxio -

"The perfect [birth]day -- A little playtime, a good poop, and a long nap." - Tomato Greeting Cards -
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post #20 of 55
Duplicate.. AI's fault
"Swift generally gets you to the right way much quicker." - auxio -

"The perfect [birth]day -- A little playtime, a good poop, and a long nap." - Tomato Greeting Cards -
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"Swift generally gets you to the right way much quicker." - auxio -

"The perfect [birth]day -- A little playtime, a good poop, and a long nap." - Tomato Greeting Cards -
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post #21 of 55
Quote:
Originally Posted by Dick Applebaum View Post

Duplicate.. AI's fault

BS. . . You're just bumping your post count, plain as day.

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post #22 of 55
India

Quote:
Originally Posted by anantksundaram View Post

Wait. Isn't this the exact same headline and story from a few months ago?

Add: The phone looks cool. I'd buy one of those.

Ha!

My impression exactly!

That is so cool looking…

I bet a creative case manufacturer could offer custom cases with matching home screen background images…
"Swift generally gets you to the right way much quicker." - auxio -

"The perfect [birth]day -- A little playtime, a good poop, and a long nap." - Tomato Greeting Cards -
Reply
"Swift generally gets you to the right way much quicker." - auxio -

"The perfect [birth]day -- A little playtime, a good poop, and a long nap." - Tomato Greeting Cards -
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post #23 of 55
Quote:
Originally Posted by Dick Applebaum View Post

India

Quote:
Originally Posted by anantksundaram View Post

Wait. Isn't this the exact same headline and story from a few months ago?

Add: The phone looks cool. I'd buy one of those.

Ha!

My impression exactly!

That is so cool looking…

I bet a creative case manufacturer could offer custom cases with matching home screen background images…

At the risk of quoting myself... Think of the possibility for NASCAR... Or promos for new movies, sports events, places, products, people, businesses...

Salesperson: Which iPhone would you prefer?

You: I'll take a 16 GB Steve Jobs, a 32 GB LA Lakers... oh, maybe the blue Beemer... The Machu Picchu... The Spider-Man... My kitten... the Mauna Kea Beach... My grandaughter's graduation...


Yes, Virginia, you can have that red Ferrari you've always wanted…
Edited by Dick Applebaum - 5/31/13 at 6:25am
"Swift generally gets you to the right way much quicker." - auxio -

"The perfect [birth]day -- A little playtime, a good poop, and a long nap." - Tomato Greeting Cards -
Reply
"Swift generally gets you to the right way much quicker." - auxio -

"The perfect [birth]day -- A little playtime, a good poop, and a long nap." - Tomato Greeting Cards -
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post #24 of 55
Apple should just give up. The media says Sammy is winning and Apple will go bankrupt in days unless they create another game changing product so others can copy. /s

Apple is doomed (TM)
post #25 of 55
Pretty lame considering Samsung's India sales are up 1600%. Apple's gains are better than nothing, but hardly anything to get excited over. With Apple's cash hoard, Apple should have huge amounts of resources to sell iPhones even if they have to start their own finance company for Indian consumers. This is provided Apple even wants to sell lots of iPhones in India. Maybe Apple doesn't particularly care about the Indian smartphone market.
post #26 of 55
Quote:
Originally Posted by Constable Odo View Post

Pretty lame considering Samsung's India sales are up 1600%. Apple's gains are better than nothing, but hardly anything to get excited over. With Apple's cash hoard, Apple should have huge amounts of resources to sell iPhones even if they have to start their own finance company for Indian consumers. This is provided Apple even wants to sell lots of iPhones in India. Maybe Apple doesn't particularly care about the Indian smartphone market.

You categorize 400% as "better than nothing"? That's 4x than they were doing previously! That's pretty damn substantial. If Samsung is doing 16x so what, are these 16x with Galaxy S3 and S4's or are they much, much cheaper devices that are classified as smartphones but shouldn't be? Which company is making more profit? Which company will be seen as a premium brand in the long term? Should Apple finance Indian buyers even if they can't make enough units to sell as it is?

"The real haunted empire?  It's the New York Times." ~SockRolid

"There is no rule that says the best phones must have the largest screen." ~RoundaboutNow

Reply

"The real haunted empire?  It's the New York Times." ~SockRolid

"There is no rule that says the best phones must have the largest screen." ~RoundaboutNow

Reply
post #27 of 55
Originally Posted by souliisoul View Post
As stated before…

 

Yeah, and it was crap before, too.


…allow the 'middle class' to spent less and still feel like the person has a HIGH END smartphone…

 

Or maybe Apple should just keep making high-end smartphones and selling the old ones cheaper.

Originally Posted by helia

I can break your arm if I apply enough force, but in normal handshaking this won't happen ever.
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Originally Posted by helia

I can break your arm if I apply enough force, but in normal handshaking this won't happen ever.
Reply
post #28 of 55
Quote:
Originally Posted by Tallest Skil View Post

 

Yeah, and it was crap before, too.

 

Or maybe Apple should just keep making high-end smartphones and selling the old ones cheaper.

Except that is not working.

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post #29 of 55
Quote:
Originally Posted by asdasd View Post

Except that is not working.

There sales and profits in the world's handset market clearly shows it is working.

"The real haunted empire?  It's the New York Times." ~SockRolid

"There is no rule that says the best phones must have the largest screen." ~RoundaboutNow

Reply

"The real haunted empire?  It's the New York Times." ~SockRolid

"There is no rule that says the best phones must have the largest screen." ~RoundaboutNow

Reply
post #30 of 55
Quote:
Originally Posted by Dick Applebaum View Post

India

Quote:
Originally Posted by anantksundaram View Post

Wait. Isn't this the exact same headline and story from a few months ago?

Add: The phone looks cool. I'd buy one of those.

Ha!

My impression exactly!

That is so cool looking…

I bet a creative case manufacturer could offer custom cases with matching home screen background images…

I am wondering if Apple could think of designing a phone that is essentially a large display on all sides that could then project an image of our choosing, along these lines!

 

Now, that would be a game-changer, wouldn't it...... (if nothing else, just to get the trolls with the 'stale iOS interface' comment to take a hike!).

 

1smile.gif

post #31 of 55
Quote:
Originally Posted by anantksundaram View Post

Quote:
Originally Posted by Dick Applebaum View Post

India
Quote:
Originally Posted by anantksundaram View Post

Wait. Isn't this the exact same headline and story from a few months ago?


Add: The phone looks cool. I'd buy one of those.


Ha!


My impression exactly!


That is so cool looking…


I bet a creative case manufacturer could offer custom cases with matching home screen background images…
I am wondering if Apple could think of designing a phone that is essentially a large display on all sides that could then project an image of our choosing, along these lines!

Now, that would be a game-changer, wouldn't it...... (if nothing else, just to get the trolls with the 'stale iOS interface' comment to take a hike!).

1smile.gif

That would really be something

The non-main parts of the display need not be retina...

Apparently, Apple has been working on things like this:

http://www.patentlyapple.com/patently-apple/2013/05/apple-invents-a-wild-new-display-that-could-conceal-a-camera-strobe-flash-andor-fingerprint-scanner-until-needed.html
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"The perfect [birth]day -- A little playtime, a good poop, and a long nap." - Tomato Greeting Cards -
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"The perfect [birth]day -- A little playtime, a good poop, and a long nap." - Tomato Greeting Cards -
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post #32 of 55
Originally Posted by asdasd View Post
Except that is not working.

 

Do you expect anyone to agree with this level of stupidity? 

I want an answer to that. Honestly. You cannot possibly think anyone will believe what you're saying here.

Originally Posted by helia

I can break your arm if I apply enough force, but in normal handshaking this won't happen ever.
Reply

Originally Posted by helia

I can break your arm if I apply enough force, but in normal handshaking this won't happen ever.
Reply
post #33 of 55
Quote:
Originally Posted by anantksundaram View Post

I am wondering if Apple could think of designing a phone that is essentially a large display on all sides that could then project an image of our choosing, along these lines!

Now, that would be a game-changer, wouldn't it...... (if nothing else, just to get the trolls with the 'stale iOS interface' comment to take a hike!).

1smile.gif
It's possible all right. But is it useful? Apple doesn't do features for their own sake
post #34 of 55
Quote:
Originally Posted by Spacepower View Post

Hmm this sounds like Apple using its offshore money to act like a bank or financier. Maybe overseas money should stay overseas? Apple is doing the same in China.

 

Yes. Better use of there money than investing it at 2% and paying 35% of the interest to the US. They are making there own subsidies by financing the phone themselves.

 

Using the same formula, I think a phone especially design for emerging markets would have a even greater succes than old iphones. We will see soon enough what Apple will do in the coming months.


Edited by herbapou - 5/31/13 at 9:58am
post #35 of 55
Quote:
Originally Posted by ankleskater View Post

Quote:
Originally Posted by anantksundaram View Post

I am wondering if Apple could think of designing a phone that is essentially a large display on all sides that could then project an image of our choosing, along these lines!

Now, that would be a game-changer, wouldn't it...... (if nothing else, just to get the trolls with the 'stale iOS interface' comment to take a hike!).

1smile.gif
It's possible all right. But is it useful? Apple doesn't do features for their own sake

If you follow the link I posted earlier, you will understand some of the potential advantages:

Selectively hide and reveal operational compenents beneath the screen (camera, flash, fingerprint reader, etc.)

Remove the need for mechanical buttons -- reducing exposure, failure, water/dust contamination, clutter, confusion...

Streamline the manufacturing and repair .process.

Improve the design appeal of the device.

Allow personalization and easy visual identification of the device.
"Swift generally gets you to the right way much quicker." - auxio -

"The perfect [birth]day -- A little playtime, a good poop, and a long nap." - Tomato Greeting Cards -
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"Swift generally gets you to the right way much quicker." - auxio -

"The perfect [birth]day -- A little playtime, a good poop, and a long nap." - Tomato Greeting Cards -
Reply
post #36 of 55
Quote:
Originally Posted by Dick Applebaum View Post


If you follow the link I posted earlier, you will understand some of the potential advantages:

Selectively hide and reveal operational compenents beneath the screen (camera, flash, fingerprint reader, etc.)

Remove the need for mechanical buttons -- reducing exposure, failure, water/dust contamination, clutter, confusion...

Streamline the manufacturing and repair .process.

 

Yep!  getting rid of the home button would be a nice move indeed. An entire screen that react both to touch and/or physical press/release.

http://www.pcmag.com/article2/0,2817,2419720,00.asp .  In the rare events the device completly crash, there is still the power button to reboot.


Edited by herbapou - 5/31/13 at 10:14am
post #37 of 55
Quote:
Originally Posted by asdasd View Post

Except that is not working.

Are u aware that two iPhone models outsold/ship the GS3 at the end if last year.
post #38 of 55
Quote:
Originally Posted by jungmark View Post

Are u aware that two iPhone models outsold/ship the GS3 at the end if last year.

Wasn't that sales reports from just two or three US carriers? There's been so many competing claims on different market segments made by different studies, surveys, and analysts that I lose track.
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post #39 of 55
post #40 of 55
Quote:
Originally Posted by ankleskater View Post
 Apple doesn't do features for their own sake

Gee.... they don't!?

 

/s

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