Price cuts pay off: Apple hits all-time high in India

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india
Apple is doing all it can to grown in India.
Illustration: Cult of Mac

Apple posted record sales in India during the final quarter of 2015, positive financial news for Cupertino amid forecasters predicting a rough start to the new year.

Apple shipped a record 800,000 devices to India from October through December, a record spurred by a wider distribution base, discounts, buybacks and installment plans.

This was quite a recovery for Apple, whose iPhone 6s and 6s Plus landed in India to little fanfare last year because of the high price tag, according to analysts quoted by ETSmallbiz.com, a blog published by The Times of India. Apple used various promotions, liked discounts and buybacks, to get the newest iPhones to fly off the shelves.

It also cut prices on the popular iPhone 5s three times in three months to end 2015 on a positive note, analysts said.

Smartphone sales globally are starting to slow and Apple faces stiff competition from companies making high-quality Android phones with lower prices. Apple shares have dropped 30 percent and a slowdown in production on the iPhone 6s gives Wall Street much pause. A weakening economy in China isn’t helping, either.

Apple is determined to make even bigger inroads with densely populated India. Last year, Apple surpassed the $1 billion sales mark in India and on Wednesday, news broke of Apple seeking permission from the Indian government to open its own stores there.

Apple’s measures to grow its market in India isn’t without critics. The distributor-driven price cuts irked retailers who complained price volatility were eating away at profits.

Source: ETSmallbiz.com