What Apple can do to Capture the Indian Market

Apple may be a dominating global force in the tech and the latest smartphone market but in a country like India, it still has only a single digit market share. India remains the giant market that continues to elude Apple. However, all is not lost as there are a few measures that Apple can take to help capture the Indian market.

It is no secret that even India’s Prime Minister Narendra Modi is a big fan of Apple, as he boastingly sports his iPhone to click selfies during his numerous foreign trips. In fact, at the recent meet between Modi and Apple chief Tim Cook, Modi himself suggested to Cook that he should start a manufacturing center of the iPhone and other Apple products in India. This will help to astronomically reduce costs for Apple, as it will allow for bringing down production, logistics and distribution costs. All of these factor into the final price of the iPhone, which is what makes it so unaffordable for Indians. Other brands, such as Lenovo also opted to start manufacturing in India, which paid off as the low cost of its latest smartphone, the K3 Note and other Lenovo handsets saw a surge in sales during recent festive offers.

Another way in which Apple can make its handsets more affordable is by trying to reduce the restrictions and talk to the government about ways to reduce the tax impositions. According to the latest mobile phone news, recently, the excise duty on import of products has surged from 6% to 12.5%. Perhaps a one-on-one talk with the government officials to relax this can help Apple’s cause.

Also, as harsh as it may sound, if Apple truly wishes to capture the Indian market, it needs to get off its high horse and enter the world of discounts. For a price conscious market like India, nothing works like a good offer or discount. The iPhone 4s, when it was released, was available even a year later, till the launch of the iPhone 5 for the exact same price. In India, with e-commerce sites taking the cake and marching ahead in smartphone sales compared to brick and mortar shops, it is clear that Indians love seasonal discounts and bargains. According to the latest mobile phone news, although Apple is not one to indulge in such discounts, it will need to bend this rule if it wishes to enjoy the fruits of market capture. This strategy worked excellently for various brands, including Motorola and Google, who make up a chunk of mid range Android users. Apple only entertains offers like this in cases of phone swapping, where an older iPhone can be swapped for a newer one with a price cut. This though is not enough because capturing the market means targeting those people who will be buying an iPhone for the first time.

Also, price cuts need to be highlighted enough to make an impact on people’s minds, spurring them into buying the lower priced handsets. If the price of a device falls, Apple should highlight it to the extent that people feel like they are getting a good deal.

So, in the end, all is not lost for Apple. Maybe, if it truly tries to get into the psyche of the Indian consumer, it will have better luck in capturing the elusive market that is India. 

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