Apple to Set up Localized Neighborhood Stores in India, Says Reports

By Prarthito

| Published: Wednesday, March 12, 2014, 12:15 [IST]

Apple understands that the Indian market is one of the most evolving and growing market in the planet, as far as smartphones are concerned, and now the company is looking ahead to open its own small localized stores in India to further its hold in this market.

As reports suggest, Apple is looking to set up small stores across cities and towns in India to further expand its presence in India. The new report of the planned Apple expansion also comes a couple of weeks after the Cupertino-based company's initiative to relax the local sourcing clause in its FDI policy meant for single-brand retail.

The reports state that the shops will be set up by Apple distributors Redington and Ingram Micro besides existing trade partners and will be responsible for the revival of the iPhone 4 for sale in India and other emerging markets, offering fans and potential customers the option to buy Apple devices at a much less cost than it is for all the latest models.

The new India-based Apple stores are likely to be between 400-600 square feet and will be set up in most of the neighborhoods and shopping centers. Apple is currently said to be opting for this new strategy to make the most out of tier-II cities such as Pune, Vizag, Guwahati, Durgapur and Gangtok, where it sees quite a potential due to the presence of a large student population.

The report adds that Currents Technology Retail, one of Apple's premium retailers, has already put up such stores in places like Kolkata and Panchkula in Haryana.

"Apple wants to focus more on its entry-level models in these stores such as iPhone 4, iPhone 4s, iPad mini and iPad 2, which are essentially in the sub-. 30,000 segment and also its largest-selling products in India," said a senior executive of a leading trade partner of Apple.

"The company feels these products are also attractively priced over competitors such as Samsung and Sony and hence being closer to the consumer will help to increase the conversion rate," he said.

Apple is said to be following up on the marketing strategies adopted by Samsung in recent years to promote its products, and will now look to set up more such localized stores across the country.