Indian smartphone market is of a huge significant to the smartphone vendors, given that it rakes in hundreds of millions of potential users. Reports have it that Apple may try to gain a solid foothold by offering a specially discounted iPhone 4 in the country soon.
In recent years, Apple has tried to push into other countries besides its core market, the U.S. The company has forged deals with Chinese carriers and has even tried to tap into the emerging markets by offering a more affordable iPhone 5C. As far as China goes, Apple’s efforts seem to have paid well.
But in the case of India, the company has failed to garner significant success. Currently, Apple’s share in the Indian smartphone market is a mere 1.3% which is very low. So reports have it that Apple has come up with a rather unconventional strategy to deal with this.
The company generally maintains the same price for its handsets around the globe, at least in all such countries where tax margins are similar and Apple has an official presence or a partnership. In India’s case, Apple may sacrifice this principle by offering uniquely priced iPhone 4 handsets.
According to Economic Times, “The US company, pressing hard to raise its market share in India, will price the device at around 15,000 through buyback and EMI schemes compared with its old retail price of Rs 26,500, Apple’s four top trade partners in India said requesting anonymity due to confidentiality clauses.”
This may be Apple’s attempt to at least make iPhone a more popular brand by trimming down its profits on iPhone 4 sales. Priced at a mere $245, iPhone 4 may be successful in attracting a sizable number of smartphone users. And if the strategy succeeds, Apple will be able to replicate it with its other, more high-end offerings.
Courtesy: Business Insider