Apple sets its eye on retail stores in India to shore up revenue in 2023

Apple has raised the sales target of the franchisee-owned exclusive retail stores in India by up to 100%; the company plans to sell around nine million iPhones in India this year

Apple in India is focusing on retail stores to shore up revenue this year as it raised the sales target of the franchisee-owned exclusive retail stores in India by up to 100 per cent.

The company has started offering discounts online and also at two company-owned stores in India, according to a report in The Economic Times (ET).

Industry executives said that the iPhone company is seeking double-digit revenue growth in India.

Apple has rolled out a 'student' offer in its company-owned stores, which includes a discount and freebies on computers and iPads, whereby the total deal value is steeper than what is available in the franchise-based Apple premium reseller stores.

The sales targets for its premium reseller stores have almost doubled on a year-on-year basis. There are 200-plus such stores in the country.

Also Read: Apple may shift 18% of iPhone production in India by FY25: Bank of America

Counterpoint Research, a global technology market research firm, said that Apple is on target to sell around nine million iPhones in India this calendar year, as compared to six million in 2022. Apple’s revenue grew 16 per cent year-on-year (YoY) in India in 2022, according to the ET report.

Tarun Pathak, Counterpoint’s director of research, said that the premium (Rs 30,000-plus) smartphone market is growing, while the slowdown in sales is largely in the sub-Rs10,000 segment. The premium segment has doubled to 16 per cent of the overall market by volume in the last 2-3 years, whereas by value, it is now half of the market.

Pathak said, “Apple wants to go aggressive in the run-up to the festive season. For the company, its stores, online sites and exclusive outlets are critical channels to build the end-consumer experience and roping them into the entire ecosystem.”

Apple is now the largest brand in the premium smartphone segment, followed by Samsung.