Apple is in talks with Shiv Nadar’s HCL Infosystems, to establish a distribution partnership. With this association, Apple eyes on to expands its presence in brick and mortar retail space, particularly in smaller towns. According to the reports, the deal is likely to be signed this week and the business may take off next month.
If HCL collaborated with Apple, then it would help iPhones and iPads reach smaller towns, which Apple has analyzed as next growth driver. Currently, around 55% sales of iPhone in India is from the online portal. To expand its users reach, Apple wants to focus equally on offline trade as well. To reach the brand into several smaller markets, HCL will play a key role.
Both the firms have denied commenting on the speculations arising in the market. An HCL Infosystems spokesperson said: “We do not, as a policy, comment on market speculation.”While, an Apple India spokesperson too commented in the same way.Besides taking iPhones to smaller towns,
Besides taking iPhones to smaller towns, HCL is also expected to help bring about a wholesale pricing parity which is currently not there in the small towns. In fact, Apple had expressed its inability to control prices since rules do not allow a manufacturer in India to do that except specify a product’s maximum retail price (MRP).
Apple currently distributes its products through four partners in India, Ingram Micro, Redington, Rashi Peripherals and Beetel Teletech.