Apple

Apple Reports Spike In iPhone Sales In China Ahead Of Lunar New Year

Business

Tech giant Apple has reported a surge in iPhones demand in China ahead of the Lunar New Year. The demand contributed to Apple’s flourishing business with the company witnessing double-digit growth in the Asian country. The sales of iPhones in China were up 18 percent in December 2019 when compared to the corresponding period a year ago. The growth in iPhone sales is reported even as Apple in January 2019 warned its investors that the Chinese market was facing a slowdown. Meanwhile, it is projected that the sales of Apple’s smartphones in China will be even better than expected ahead of the Chinese New Year which falls in late January.

The Cupertino based company shipped around 3.2 million iPhones to China in December last year. In December 2018, Apple shipped 2.7 million iPhones to the country. This positive upward trajectory was also reflected in Apple’s stock as well ahead of its quarterly financial report, slated to be released in late January. The company reported a nearly 2 percent surge in its stock last week. China is a key market for Apple. The country makes up nearly 17 percent of the company’s total sales. The iPhone is Apple’s biggest profit driver product. According to an estimate, there are around 70 million iPhone users in China. They are likely to upgrade their handsets, thus contributing to the company’s business.

The data shows the iPhone 11 is doing better business than its predecessor. Apple reworked on its strategy last year while launching iPhone 11 series. It increased battery life of iPhone 11 and 11 Pro devices and lowered the starting price. Besides, it overhauled image quality. These measures worked perfectly for the company. Also, its approach to match industry leaders Google and Huawei drew a positive response. Apple CEO Tim Cook suggested that discounts and financing plans in 2019 successfully attracted customers. This bolstered sales in the Chinese market. Meanwhile, the spike in iPhone sales in China is likely to continue throughout 2020 as Apple is expected to release a 5G-enabled iPhone.

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