Apple may make India a separate sales region as iPhone demand grows
Apple may be planning to pluck India out of the existing consolidation including Europe, the Middle East, Africa, and India and make it a separate sales region to increase its focus on the South Asian country that has emerged as a top alternative to China. The surge in the iPhone demand in India has likely encouraged Apple to reshuffle its international sales operations so as to make India as prominent as China.
Bloomberg has reported that Apple is considering elevating the head of India to take up a higher role of vice president for promoting sales in the country. The move likely comes after Apple’s vice president in charge of India, the Middle East, the Mediterranean, East Europe, and Africa — Hugues Asseman — retired recently. Ashish Chowdhury, who currently heads India operations, reported to Asseman, but after promotion, he will report directly to Michael Fenger, Apple’s head of product sales, the report added.
Why the big change?
Over the past few months, the sales of iPhones in India have set new records. Last quarter, Apple posted record revenue from iPhone sales, even though the total sales plunged 5 percent. Apple opened its online store in India a few years back and it is now reportedly planning to launch its first flagship retail outlet in Mumbai to allow customers to experience Apple products better.
Apple chief executive Tim Cook, during the last earnings call, said that the company is putting more “emphasis on the market” and drew a comparison between progress in India and China in early years. “We are, in essence, taking what we learned in China years ago and how we scale to China and bringing that to bear,” he said. The Greater China sales region, which includes China, Hong Kong, Taiwan, and Macau, generates about $75 billion a year — Apple’s third-largest collection after the Americas and Europe.
Changing the business strategy for India, while it is still maturing, may help Apple bolster its position in one of the world’s most dynamic smartphone markets, where a phone is available for as low as Rs 5,000. But it is not just about iPhone sales.
India is emerging as a top alternative to China for manufacturing Apple products. Due to the tensions between the US and China, as well as an unfit environment induced by the prolonged spread of coronavirus, Apple wants to move its manufacturing out of China to other favourable nations. India and Vietnam are the top gainers. Apple has already begun manufacturing top iPhone models in India for sales in the country and export. Its key suppliers are expanding their base in India. For instance, Hon Hai Precision Industry, also known as Foxconn, recently discussed setting up new iPhone production facilities in Southern India.
Apple has neither confirmed nor denied the report.
The post Apple may make India a separate sales region as iPhone demand grows appeared first on Techlusive.
Apple may be planning to pluck India out of the existing consolidation including Europe, the Middle East, Africa, and India and make it a separate sales region to increase its focus on the South Asian country that has emerged as a top alternative to China. The surge in the iPhone demand in India has likely encouraged Apple to reshuffle its international sales operations so as to make India as prominent as China.
Bloomberg has reported that Apple is considering elevating the head of India to take up a higher role of vice president for promoting sales in the country. The move likely comes after Apple’s vice president in charge of India, the Middle East, the Mediterranean, East Europe, and Africa — Hugues Asseman — retired recently. Ashish Chowdhury, who currently heads India operations, reported to Asseman, but after promotion, he will report directly to Michael Fenger, Apple’s head of product sales, the report added.
Why the big change?
Over the past few months, the sales of iPhones in India have set new records. Last quarter, Apple posted record revenue from iPhone sales, even though the total sales plunged 5 percent. Apple opened its online store in India a few years back and it is now reportedly planning to launch its first flagship retail outlet in Mumbai to allow customers to experience Apple products better.
Apple chief executive Tim Cook, during the last earnings call, said that the company is putting more “emphasis on the market” and drew a comparison between progress in India and China in early years. “We are, in essence, taking what we learned in China years ago and how we scale to China and bringing that to bear,” he said. The Greater China sales region, which includes China, Hong Kong, Taiwan, and Macau, generates about $75 billion a year — Apple’s third-largest collection after the Americas and Europe.
Changing the business strategy for India, while it is still maturing, may help Apple bolster its position in one of the world’s most dynamic smartphone markets, where a phone is available for as low as Rs 5,000. But it is not just about iPhone sales.
India is emerging as a top alternative to China for manufacturing Apple products. Due to the tensions between the US and China, as well as an unfit environment induced by the prolonged spread of coronavirus, Apple wants to move its manufacturing out of China to other favourable nations. India and Vietnam are the top gainers. Apple has already begun manufacturing top iPhone models in India for sales in the country and export. Its key suppliers are expanding their base in India. For instance, Hon Hai Precision Industry, also known as Foxconn, recently discussed setting up new iPhone production facilities in Southern India.
Apple has neither confirmed nor denied the report.
The post Apple may make India a separate sales region as iPhone demand grows appeared first on Techlusive.
