Apple to open 3 more stores in India: Here's why
Apple recently opened its first retail stores in India to a grand reception. Apple BKC in Mumbai and Apple Saket in Delhi cemented India's growing importance in the company's ecosystem. Per Bloomberg, the tech giant is now in talks to open three more stores in the country over the next four years. Let's see why Apple wants to do that.
Why does this story matter?
- India has been overlooked by Apple for a long time. However, the company's growing pains related to China, its manufacturing hub, have increased India's value as a viable alternative.
- Setting up more retail stores is part of Apple's multi-pronged approach to increasing its footprint in the country. The firm is also working with its manufacturing partners to enhance India's position in its supply chain.
Company plans to open 3 more stores in Mumbai
Apple has reportedly chosen suburban Borivali as the location for its third store. It could come up as soon as 2025. The company plans to open its fourth brick-and-mortar shop at the DLF Promenade Mall in 2026. It is expected to be Apple's second-largest store in the country after Apple BKC. The fifth store, slated for 2027, is likely to be near Worli seaside.
Mumbai and Delhi stores have been big hits
From Apple's perspective, three more stores in India make a lot of sense. Especially considering the success of its first two stores. According to the Economic Times, the two stores recorded monthly sales of Rs. 22-25 crore each. This is more than double the revenue of any electronics store in India during the non-Diwali period. The numbers even exceeded Apple's expectations.
India is at a tipping point: Tim Cook
The success of Apple BKC and Apple Saket simply underlined how the company views India. Apple has had two consecutive record-setting quarters in the country. During the firm's last earnings call, CEO Tim Cook mentioned "India" around 20 times. "There are a lot of people coming into the middle class, and I really feel that India is at a tipping point," the CEO said.
Foxconn is setting up a new factory in Bengaluru
Apple's growing retail network in India is complementary to the company's plan to turn the country into a production base. Recently, Apple's largest supplier Foxconn purchased 300 acres of land in Bengaluru to set up a factory. The Taiwanese contract manufacturer plans to make 20 million phones per year in the plant. This will add to India's contribution to the iPhone supply.
