2018 could be 'the worst year for Apple' in the Indian market

US-based phone maker Apple saw sharp fall in shipments in the first half of 2018, leading analysts to say that this could be the toughest year for the company in India. Apple changed its strategy to chase profitability rather than growth by doing away with discounts and distribution channels, reports Economic Times.

The report, quoting data from research firms including Canalys, International Data Corporation (IDC) India, Counterpoint Research and Cybermedia Research, says the company saw a sharp decline in its numbers in the first half of 2018. One analyst from Canalys even called it “the worst year for Apple” as market share drop is expected for the second half as well.

Experts say entry of players like OnePlus and a resurging Samsung is making Apple’s competition intense in the premium smartphone market.

An analyst with Counterpoint Research said, “In the premium segment alone, Apple’s share fell to 20 percent in the January-March quarter this year, compared to 43 percent last year. The company’s overall market share in India fell to 1.5-2 percent from around 3 percent.”

Analysts have said if Apple wants to make a turnaround in the Indian market, it must consider the heterogeneity of the market and expand its retail presence here. Manufacturing more models locally would help give consumers better, more affordable prices. This would help in bringing down the cost of the models by at least 20 percent.

Apple’s shipments saw a rise between 2014 and 2017, but in the first half of 2018, it was 30 percent lower than the corresponding period last year, according to IDC India data.