Site icon The Indian Wire

Demonetization hits Apple’s plans in India

Tim Cook Apple

Demonetization has surely put a dent in the economic activities taking place inside the country. A lot of companies, ranging from SMEs to big ones, have claimed to experience either side of response after the announcement of demonetization on 8th November. However, the latest brand which seems to have been affected badly by the demonetization drive is the tech biggie, Apple.

Apple had an amazing October after the launch of its new model, iPhone 7. However, as soon as the the demonetization was announced, sales of Apple iPhone took a big toll backward. The numbers from October had hinted towards an amazing quarterly performance by Apple, however, the announcement by PM Narendra Modi has made Apple to restructure its sales targets and selling strategy in India. As a result, the company has revised its revenue target in India to US$ 2 Billion from earlier US$ 3 Billion.

80% of the total iPhone sales in India from across mediums were done in cash. However, from November, that medium has literally disappeared from the market and that has been one of the major reasons behind the steep decline in numbers of Apple’s sale in India.

According to a report, overall smartphone sale in India has gone down by 35%, whereas sales of iPhone has gone down by over 50%. In May 2016, Apple CEO Tim Cook had announced his ambitious plan to ship over 3 million iPhone in the ongoing fiscal year, however, according to industry experts, the target is highly unlikely to be achieved.

Exit mobile version