Apple Will Not Sell These Models In India; Reduces Discounts, Distributors To Save Money?
World’s biggest technological company: Apple has unleashed a series cost-cutting measures in India, a market which they desperately want to crack.
In order to increase margin on per unit sold, Apple has stopped selling four best-selling models in India, and also reduced discounts, and stopped working with some distributors who were not contributing to the sales.
Apple Will Not Sell iPhone SE, iPhone 6, 6 Plus, 6s Plus In India
In a strategic decision which can have a short-term impact on the overall sales volume of iPhones in India, Apple has decided to discontinue some models in India,
These are: iPhone SE, iPhone 6, 6 Plus, 6s Plus.
Amazon India is already out of stock for these models, while Flipkart is about to declare the same. iPhone 6Plus and SE are still available on Flipkart.
Apple’s distributors and sales-team have already been informed about this decision, and the supplies were stopped last month itself.
Thus, now, iPhone 6s would be the entry-level iPhone for Indians.
Ironcially, the discontinued models are still on for sale in the US.
Why Apple Discontinued These Models?
As per reports, Apple is now keen on driving ‘value’, rather than ‘chase volume’.
Till the stocks lasted, iPhone 6s was available for Rs 29,500, while iPhone SE was available for Rs 21,000 to Rs 22,000.
iPhone SE was the entry-level smartphone till now, which now changes.
Since the entry-level iPhone is now iPhone 6s, users will need to shell out Rs 7000-8,000 extra for owning the cheapest Apple smartphone.
This will drive the margins, and make Apple more profitable in India.
A leading partner of Apple in India said, “These models which are being phased out will increase the average selling price of iPhones in India and boost both profit and revenue.”
Besides, the discounts have also been reduced, and partnerships with some of the distributors have been discontinued.
Apple’s India Plans: Pretty Optimistic!
We have already reported that Make in India iPhones are being manufactured, which are already been exported to European countries.
Soon, they will hit your neighbourhood retail store, and compared to the US listings, the prices of these Make in India models will be cheaper.
iPhone XR and iPhone XS would be probably the first of these Make in India models, and they are expected to roll out in the month of August in India.
Besides, iOS 13 would be customized for India, which is happening for the first time.
It will support 22 Indian languages, and will provide maps navigation, Siri support in Indian English language.
Although the sales in India are declining, but still, Apple has been able to maintain the revenues, and even increase the profits. For FY2018, Apple India’s revenues increased by 12% to reach Rs 13,097 crore, and churned out profits of Rs 896 crore (Registrar of Companies data).
We will keep you updated as more details come in.