Apple iPhones are already very popular in the smartphone industry. But the only issue with the iPhones is they are high priced and beyond the budget of middle-class people. This is why people much more accept the other brands like Motorola, Samsung, Nokia, HTC, Lenovo, Oppo, and Vivo than Apple iPhones. It looks like Apple is not going to stay out of the mid-range budget smartphone for very long. Apple iPhone 5S will be available for people at a price of Rs 15000. It is a vital and a bold step for Apple to enter the competitive mid-range smartphone market.
Isn’t Apple iPhone 5S a too old device?
Apple will have to struggle a lot though. The current Indian smartphone industry is dominated by Samsung, Motorola, Oppo, and Vivo. The point is, all these four brands have a lot of smartphones in the price range of 10k to 15K. The smartphones offered by these brands in this price range are new and recent models. But Apple has got only the iPhone 5S, and that too it is a 4-year-old device. It comes with 1GB RAM and Apple’s A7 processor. So right now, we cannot surely say whether this step will be beneficial for Apple.
In our previous articles, we already mentioned Apple will manufacture iPhone SE in India which will reduce the price of iPhone SE. At present, the iPhone 5S is available online for Rs 18000. According to one of the executives, Apple was relying on the refurbished models available in India on different websites like Amazon, eBay, and Snapdeal.
But the government struck down the proposal of selling the certified refurbished models. Thus, the company will bring the price of Apple iPhone 5S down. This move will also help in maintaining the pace of Apple. India is one of the best smartphone markets all over the world. If the company can get a hold of this market, it won’t be difficult for Apple to obtain better sales for the next generation of iPhones in the Indian market.
The mid-range smartphone market in India
The company is already selling the Apple iPhone 5S in other markets too so that it can get better sale apart from the US. The iPhone 5S accounts for about more than 20% of the shipments in India. Looking at the reports for the sales of mid-range smartphones, the need for such a strategy is evident. In India, the smartphones within Rs 15000-20000 expanded at 158.3% rate in the first quarter.
The brands which brought such sales are Samsung, Oppo, Vivo, Lenovo, Motorola, and HTC. Before this, Apple dominated the smartphones starting from Rs 30000. But that segment expanded at a slower rate (35.6%). Once it starts assembling the iPhone SE, the company will have a pricing advantage of 10-12%.