iPhone Sales Growing Following Price Cuts in China

Apple is seeing improved iPhone sales in China following some recent price cuts on the iPhone XR, XS, XS Max, and older models that were introduced earlier in January, reports Chinese site Feng.

Apple dropped iPhone prices for third-party distributors in China on January 10, allowing vendors to purchase iPhones more cheaply and pass those savings on to customers. Apple cut prices on most ‌iPhone‌ models, but the XR saw the biggest discounts.

iphonexr
Shortly after Apple implemented the pricing cuts, vendors in China started offering discounts on various ‌iPhone‌ models. The XR, for example, was available from JD.com for 6099 yuan ($899), while Suning, an electronics store similar to Best Buy, started selling ‌iPhone XR‌ for 6199 yuan ($914).

Those prices are more affordable than the ‌iPhone XR‌ from Apple's own online store, where the device is priced starting at 6499 yuan ($958).

According to Feng, data sourced from Alibaba suggests that ‌iPhone‌ sales on the site have increased by 76 percent in China since January 13. Suning, meanwhile, saw Apple traffic and sales "explode" with the ‌iPhone‌ 8, 8 Plus, and XR in particular seeing purchase boosts. Apple sales from Suning have increased by 83 percent since January 11.

Apple launched the price cuts after seeing ‌iPhone‌ sales fall significantly in China during the holiday quarter of 2018, leading to lower ‌iPhone‌ revenue than expected. The Cupertino company is hoping sales will soar during Chinese New Year in February, improving overall performance in China.

Apple is also promoting older iPhone trade-ins and monthly pricing for iPhones in many countries around the world, including the United States, in an effort to boost ‌iPhone‌ upgrade numbers.

Earlier this week, Apple CEO Tim Cook said that Apple is reevaluating its pricing strategies in some international markets, returning to pricing that's "more commensurate" with what local prices were last year to boost its ‌iPhone‌ sales.

Cook also said that he does believe Apple's higher prices were a factor in the declining number of ‌iPhone‌ upgrades that led to a weaker holiday quarter. In some international markets, the strength of the U.S. dollar amplified pricing increases.

Apple is expecting revenue of $55 to $59 billion in the second fiscal quarter of 2019 (first calendar quarter), which is below the $61.1 billion in revenue Apple earned in the second fiscal quarter of 2018. It's not clear if the pricing changes in China and other international markets will be a big enough boost to pull Apple out of its slump going forward, but for the first part of the year, Apple is still expecting lower ‌iPhone‌ sales.

Related Roundup: iPhone XR
Tag: China
Related Forum: iPhone

Top Rated Comments

AngerDanger Avatar
30 months ago
Apple is seeing improved iPhone sales in China following some recent price cuts on the iPhone XR, XS, XS Max, and older models
I just… can't imagine why that would work…

Maybe they actually raised the prices, and that's why sales are improving.

Why would people would be more likely to buy a phone selling for less?

I just can't wrap my mind around this…

Attachment Image
Score: 51 Votes (Like | Disagree)
Shalev Avatar
30 months ago
apple need to bring back the 649 starting price of the iPhone
Score: 25 Votes (Like | Disagree)
keysofanxiety Avatar
30 months ago
I just… can't imagine why that would work…
Don’t be sarcastic AD, Tim might read your post and think the sales are due to the alignment of Jupiter and Saturn instead. :eek:

It’s the cost, Tim! It’s the cost!
Score: 15 Votes (Like | Disagree)
seatton Avatar
30 months ago
I don't think Tim will learn from this. The new iPhone XI with 3 back cameras will start at 999 for 16GB and 256 GB for 1199.... since nobody wants the 16GB they have to get the more expensive one....
Score: 14 Votes (Like | Disagree)
Soccertess Avatar
30 months ago
To all you Tim lovers who believe the man is infallible, this is a pretty obvious mistake.

I agree that hindsite is 20/20, but this isn’t exactly rocket science. It’s pretty obvious to most long time Apple consumers who were used to the Apple premium that the value was not there anymore. Just think how much revenue he lost Apple. Do Angela and Tim still deserve their bonuses?


All I needed to do was look at the price vs the product to make that determination. No trends, no graph, just common sense.
Score: 12 Votes (Like | Disagree)
cardfan Avatar
30 months ago
Hopefully apple can raise prices a bit more in the US to offset it.
Score: 10 Votes (Like | Disagree)

Top Stories

apple watch ecg

Apple Watch Likely to Gain Blood Pressure, Blood Glucose, and Blood Alcohol Monitoring

Monday May 3, 2021 4:03 am PDT by
The Apple Watch may gain the ability to measure blood pressure, blood glucose, and blood alcohol levels, according to newly-revealed information about one of Apple's chosen business partners. Apple has been revealed to be the largest customer of the British electronics start-up Rockley Photonics, The Telegraph reports. Rockley Photonics has developed non-invasive optical sensors for...
tile sticker e1570533758981

Tile CEO: 'We Welcome Competition From Apple, But We Think It Needs to Be Fair'

Tuesday May 4, 2021 9:51 am PDT by
Just after Apple announced its AirTags, Tile CEO CJ Prober relayed his concerns about competing with Apple in the tracking space, and said that Tile would ask Congress to investigate Apple's business practices specific to Find My and item trackers. Prober this week did an interview with Bloomberg, where he further expanded on Tile's complaints about Apple and why he feels that Tile is...
facebook instargram updated att prompt 1

Facebook and Instagram Ask Users to Enable App Tracking in Order to Keep Services 'Free of Charge'

Sunday May 2, 2021 1:22 pm PDT by
As a way to convince users to enable tracking across other apps and websites, Facebook is deploying the tactic of telling users that they must enable tracking as part of the App Tracking Transparency framework in iOS 14.5 if they want to help keep Facebook and Instagram "free of charge." App Tracking Transparency or ATT is the newest privacy feature to come to iPhone and iPad devices as part ...
fortnite apple logo 2

Epic CEO Tim Sweeney Admits App Store's 30% Cut Is Similar to Consoles, Would Have Accepted Special Deal With Apple

Tuesday May 4, 2021 1:54 pm PDT by
Apple's legal battle with Epic Games is continuing on, and during the second day of the trial, Epic Games' CEO Tim Sweeney continued his testimony against Apple. Sweeney was grilled by Apple's lawyers, and made several points seemingly favorable to Apple. In addition to mentioning how he prefers Apple's iPhone and values Apple's privacy policies that he's aiming to dismantle, Sweeney...
Flat 2021 MacBook Pro Mockup Feature 1

Mini-LED Display Production Improving for Redesigned MacBook Pro Models Later This Year

Monday May 3, 2021 8:33 am PDT by
Apple supplier TSMT, a key vendor involved in the production of mini-LED displays in the newly announced 12.9-inch iPad Pro, has been able to address technical challenges for the production of mini-LED displays to be used in the upcoming 14 and 16-inch redesigned MacBook Pro models. As reported by DigiTimes, TSMT had initially been facing production constraints with the circuit board and...
signal instagram ads3

Signal Shares the Instagram Ads Facebook Doesn't Want You to See

Wednesday May 5, 2021 1:29 am PDT by
Encrypted messaging app Signal has had a series of Instagram ads blocked from the social media platform, after it attempted to show users how much data the Facebook-owned company collects about them and how it's used to push targeted ads. In a blog post, Signal described how it generated the ads to show users why they were seeing them, simply by declaring upfront the information that the...
Foldable iPhone 2023 Feature Yellow

Kuo: Apple to Launch 8-Inch Foldable iPhone in 2023

Sunday May 2, 2021 8:43 pm PDT by
Apple is working to launch a foldable iPhone with an 8-inch QHD+ flexible OLED display in 2023, Apple analyst Ming-Chi Kuo said today in a note to investors that was seen by MacRumors. Based on our latest industry survey, we forecast that Apple will likely launch a foldable iPhone with an 8-inch QHD+ flexible OLED display in 2023, with SDC as the exclusive display supplier and Samsung Foundry...
iOS 14 on iPhone feature emergency

Apple Releases iOS and iPadOS 14.5.1 With Fixes for App Tracking Transparency Bug, WebKit Security Issues

Monday May 3, 2021 10:04 am PDT by
Apple today released iOS and iPadOS 14.5.1, minor security updates that come just a week after the release of the iOS 14.5 update. There is also a companion watchOS 7.4.1 update for Apple Watch and an iOS 12.5.3 update for older iPhone and iPad devices that don't support Apple's latest operating system versions. According to Apple's release notes, the update fixes a bug with App Tracking...
airtags teardown tile mat galaxy smarttag

iFixit Shares AirTag Teardown Revealing 'Impressively Compact' Design Compared to Tile Mate and Galaxy SmartTag

Sunday May 2, 2021 4:54 am PDT by
iFixit has shared the first of its two-part series in tearing down Apple's AirTag item tracker, revealing that Apple had to make impressive design decisions to achieve its small design, including rethinking the speaker layout. For comparison, iFixit compared Apple's AirTag to the Tile Mate and the Samsung Galaxy SmartTag. Compared to the competition, AirTag is the smallest in size, with the...
maxresdefault

Hands-On With Brydge's 12.9-Inch iPad Pro Keyboard With Trackpad

Tuesday May 4, 2021 11:48 am PDT by
Brydge has been making keyboards for Apple's iPads for years now, and the newest model, the Brydge 12.9 MAX+, is compatible with the third, fourth, and fifth-generation iPad Pro models, so it works even with the new mini-LED iPad Pro. Subscribe to the MacRumors YouTube channel for more videos. In our latest YouTube video, we checked out the new Brydge 12.9 MAX+ to see if it's a viable...