Mac sales help Apple log strong quarter growth in India (Lead)
Cupertino (California), Oct 31 (IANS) Not iPhones, iPads or Apple Watches but it was Mac desktops that helped Apple register record growth in the India market in its fiscal Q4 quarter (July-September period).
The company generated an all-time revenue record for the Mac desktops in the reported quarter in the country, it announced on Wednesday.
“Despite the tough compare, we generated an all-time revenue record for Mac in the US and in India and a fourth quarter revenue record in Japan,” Luca Maestri, Senior Vice President and Chief Financial Officer, told analysts over the earnings call.
“More than half of the customers purchasing Macs during the quarter were new to Mac, and the active installed base of Macs again reached a new all-time high,” he added.
India is back on Apple's growth trajectory after some dull quarters in the past.
“At a country level, we established new Q4 records in many major developed and emerging markets, including India,” the Apple CFO added.
According to Prabhu Ram, Head, Industry Intelligence Group (IIG) at market research firm CMR, Macs have been the gold standard for productivity.
“The Apple machines have a high aspirational value attached to them, with an appeal transcending from college students to working professionals in an always-on workplace. With high-consumer loyalty, the Mac appeal can be traced to pricing, performance as well as device longevity,” Ram told IANS.
With promotions such as “back to school” targeting students, as well as attractive financing schemes, Apple has been able to attract many first time buyers, contributing to a significant revenue boost, Ram added.
According to Counterpoint Research, Apple made an entry into the top 10 smartphone brands in July-September period due to price cuts on XR along with good demand for its iPhone 11.
The growth in the July-September quarter is set to get even bigger in the October-December period as iPhone 11 series has witnessed stupendous response from the Indian buyers.
In a big impetus for its India manufacturing dream, Apple has begun production of its highly successful iPhone XR at its supplier Foxconn's facility in Sriperumbudur, Chennai.
Apple iPhone shipments grew 19 percent (YoY) in India in its last reported quarter. Riding on heavy promotional offers on iPhone XR, Apple regained top position in the premium smartphone segment in India in the second quarter (Q2) this year.
Apple in August said it looks forward to welcoming customers at its first branded retail store in India soon.
During the earnings call on Wednesday, Cook said: “The ECG app now available in 32 markets including India has become a widely celebrated illustration of Apple's commitment to your health giving users the ability to document and monitor the functioning of their heart and provide critical data to their doctors.
For Cook, India has been a very important market in the long-term.