KOLKATA: Apple CEO Tim Cook said the price correction of some iPhone models in India has delivered better sales and the company will assimilate this learning for its future pricing strategy in the Indian market.
Talking to analysts after announcing Apple’s second quarter earnings, Cook said the price “adjustment” in India has led to “preliminary some better results there.”
Last month, Apple had dropped the selling price of iPhone XR by up to 22% in the face of stiff competition in the premium smartphone segment in the India.
Responding to a query from JP Morgan whether this “pricing action” has been a learning or not as Apple gets ready for new launches, Cook responded: “Everything that we do, does advise everything we do in the future so we try to learn the best we can and fold that into our thinking. And we’ll obviously do that with this as well.”
However, Cook also acknowledged that India is a challenging market in the short-term and Apple views it as “a very important market in the long-term.”
“It’s a long-term play (in India). It’s (India) not something that’s going to be on overnight huge business. But I think the growth potential is phenomenal. It doesn’t bother me that it’s primarily Android business at the moment because that just means there’s a lot of opportunity there,” he said.
Cook said Apple is “learning a lot” in India. We have started manufacturing there which is very important to be able to serve the market in a reasonable way. And we’re growing that capability there,” he said.
The Apple CEO reiterated that the company wants to open its company-owned retail stores in India and is working with the government to seek approval to do that. “And so, we plan on going in there with sort of all of our might,” Cook said.
Cook said the company is happy with the developer accelerator centre which Apple has set up in India.