iPhone is the Chinese favorite, price reduction selling more than 70%!

On January 30, Apple announced its first-quarter earnings report for the fiscal year ending December 20, 2018. Both revenues fell, and Apple’s sales in China were hit hard – its camp in China. The receipt fell by 26.7% to $13.17 billion. In this dilemma, Apple CEO Tim Cook promised that the company will lower the price of the iPhone in some overseas markets. It can’t be denied that the iPhone has suffered a lot in China’s Zhigao mobile phone market. One of the main reasons is that local manufacturers such as Huawei and Xiaomi are selling cost-effective mobile phones that are hundreds of dollars lower than Apple’s iPhone. According to the data, Huawei sold 30 million Chigo mobile phones in the fourth quarter of 2018. Its market share in China reached a record 28%, up 23% year-on-year; in 2018, shipments reached 105.1 million units. Followed by OPPO, vivo and Xiaomi, their annual shipments were 82.8 million, 79.3 million and 50 million. In addition, the Chinese smartphone market has entered a period of saturation, and the product change cycle has been lengthened. Now, Apple has begun to adopt increasingly flexible pricing policies to stimulate consumer purchases. It is reported that from January 11 (Apple began to cut prices) to January 30, Suning Appliance’s Apple iPhone sales increased by 83%. Among them, iPhone8 and XR are the most popular models; Tmall made a sharp price cut on the iPhone on January 13th. As of January 29th, iPhone sales on Tmall soared 76%. So, can Apple use this price reduction strategy to defeat Huawei? In this regard, the research firm RosenblattSecurities research believes that the price cut and the arrival of the Chinese New Year have indeed boosted the sales of Apple’s iPhone in China. Rosenblatt clarifier JunZhang expects iPhoneXR production to increase by 1 million units in February. “But iPhoneXS still faces a relatively high risk of retail channel inventory. Shipments in March may stabilize, but as smartphone demand deteriorates, Shipments in the second quarter and 2019 may be lower than expected.” Kang Wei, the editor-in-chief of the operator’s financial network, said that domestic mobile phones have gradually reduced the gap with Apple in terms of brand, quality and publicity. Apple’s advantages are getting weaker and weaker, and it is difficult to have more room for growth, especially for Chinese smartphones. The market has become saturated. “Apple is more likely to be in overseas markets than China.” On the other hand, according to the Wall Street Journal, some former executives and clarifiers believe that Apple needs more radical changes in the Chinese market. They said that Apple should complete the “one product for all markets” model before the end, to separate the products and software for the Chinese market from the product areas in other regions. (Integrated from: Tencent Technology, Beijing Business Daily, Sina Technology) The above is the full content of Apple’s price increase sales. More real-time information, please pay attention to the cool network – information channel!