Apple sees steep 71 percent growth in India in the first three months of 2020
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Buoyed by the super response to its iPhone XR and iPhone 11 series, Apple logged an impressive 71 per cent growth (year-on-year) in India in the first quarter of 2010, a new report said on Thursday. Apple increased its market share in India in the whole quarter, after registering over 55 per cent growth in iPhone shipments for the India market in January and February this year compared to the same period in 2019.
"The iPhone XR and iPhone 11 accounted for 70 per cent of iPhone sales in India with its prudent pricing, attractive discounts and strong shipments getting consumer acceptance," said Prabhu Ram, Head-Industry Intelligence Group (IIG), CMR. The Cupertino-based iPhone maker has seen a dramatic shift in its fortunes in India since mid-2019, with increased 'Make in India' manufacturing giving the impetus required for iPhones.
"Apart from increased local manufacturing, Apple found favour with customers, with its prudent pricing and refined channel strategies. In 2019, Apple's shipments grew 17 per cent (year-on-year), on the back of the successful iPhone 11, and the iPhone XR," said Ram.
Once the lockdown opens, the thrust on manufacturing high-end iPhones locally would give Apple a booster in the price-sensitive smartphone market. Given that the smartphone is an extension of one's lifestyle, affluent Indian consumers, and mostly early tech adopters, are seeking the latest and the best.
"For instance, Apple iPhone loyalists have embraced the latest iPhone 11 Pro Max," Ram noted. Apple is now eying to grab more India market share with the new iPhone SE which is packed with top-of-the-line hardware and has the potential to create much room in the aggressive Rs 40,000-Rs 50,000 segments.
The new iPhone SE still carries that same look and design as from the iPhone models a few years back and many upgraders have moved to XR or 11 in past two years with their new design and a full-screen experience. The move to launch a cheaper yet new iPhone is seen as a very strategic one to gain a foothold in important emerging markets like India.
Apple is also continuously ramping up its manufacturing capabilities through its partners in India. Apple supplier Wistron assembled low-end iPhone SE (now discontinued) and is now assembling iPhone 6S and iPhone 7 at its Bengaluru facility. The highest-selling iPhone XR is being manufactured at Apple supplier Foxconn's facility in Sriperumbudur, Chennai.