Apple has launched its first retail store in India, located in Mumbai, with a second store in Delhi set to open on Thursday. The move comes as the tech giant seeks to deepen its retail push in the world’s second-largest smartphone market. Until now, its products in India have only been available online or through resellers. The Mumbai store was designed with inspiration taken from the city’s iconic black-and-yellow taxis. The iPhone is seen as an aspirational product in India’s price-sensitive market, with over 95% of smartphones running on Google’s Android platform. The new stores in India are considered an important branding strategy, but they are not expected to have an immediate impact on the company’s sales in the country, according to experts. However, it is a good time to invest in India’s growing “premium smartphone” market.
Apple aims to increase market share in India
It has long been attempting to open physical retail stores in India, with original plans derailed by the Covid-19 pandemic. Apple CEO Tim Cook’s visit to the country marks the company’s effort to increase its presence in the Indian market, which accounts for 5% of total iPhone production. The new stores are part of a broader plan to increase its’s market share in India’s premium smartphone market, defined as mobiles that cost 40,000 rupees (£451; $558) or more. According to technology analyst Navkendar Singh, launching an Apple store gives a premium experience to the company’s premium consumers, which may not necessarily lead to an increase in sales, but will bring more people into the Apple ecosystem.
Apple’s retail strategy in India
It’s retail push in India comes as the company seeks to diversify its supply chains away from China. India is seen as a growing manufacturing base for the iPhone, with the country accounting for 5% of total iPhone production. However, the tech giant’s retail strategy in India is viewed as a branding exercise rather than a sales one. It’s products have been sold in India through online channels and an extensive network of resellers. The launch of the Mumbai and Delhi stores is expected to give Indian consumers a premium experience, thereby deepening their engagement with Apple products.
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Tim Cook’s visit to India
Tim Cook’s visit to India is his first in seven years. The CEO last visited the country in 2016 when the company was beginning to scale up operations. Cook launched the Mumbai store by opening its doors and greeting customers, with some taking selfies with him. Reports suggest that people from across India attended the event, which featured local music and folk dance performances. According to reports, Tim Cook is expected to have meetings with Prime Minister Narendra Modi and deputy IT minister Rajeev Chandrasekhar during his visit to India. However, there has been no official announcement from Mr Modi’s office regarding this.
