ET spoke with Apple premium resellers or APRs such as Unicorn Infosolutions, iDestiny stores and Coimbatore iPlanet that said affordability options, growing customer aspiration and aggressive portfolio from Apple are driving the sales across their stores in the country.
“Apple is growing and so are their partners. Aspiration is very high among youngsters and students. The business is increasing…people are aspiring to have their first Apple products, especially the student community,” Baljinder Paul Singh, director of Unicorn Infosolutions, told ET. “Situation is coming back to normal. We are seeing sales better than before with Covid situation improving.”
Unicorn Infosolutions, Apple’s largest preferred reseller, is aiming to clock Rs 5,000 crore by 2025 riding on demand for Apple’s products in India, up from an estimated Rs 1,600 crore in the current fiscal. It is aiming to become Apple’s largest preferred retailer globally by size by 2025.
Unicorn, which is also the company’s largest retail partner in India, also has plans to increase the total Apple store count from 33 to 75 stores in the next three years. It will also open four more such flagship stores, taking the overall count to seven in India. “Our investment varies from city to city and business plan. We will keep expanding,” Singh said.
Unicorn, which started business with Apple in 1996 in India, opened its largest 3,800 sq ft Apple Flagship Premium Reseller store in CyberHub, Gurgaon. The retailer acquired adjacent space, which used to be a Samsung store, and combined with another 2,000 sq ft space to open its largest store.
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Raakesh Ramanand, managing director at Coimbatore iPlanet, a Coimbatore-headquartered partner of Apple, said, “In tier 1 cities like Bangalore and Chennai, we see an opportunity in small, micro markets developing on the outskirts. Customers today prefer shopping in their neighbourhood rather than taking the pain to travel. Similarly, tier 3 and tier 4 towns are also witnessing a boost… we see an opportunity there as well. We are actively looking at these pockets in our expansion plans”.
Ramanand added that iPlanet has seen 35% on-year growth and is steadily growing on QnQ on similar lines. iPlanet has 27 Apple stores.
Apple products are sold from several thousand points-of-sale across approximately 150 cities and towns and through Apple’s valued partners. Apple launched its online store in September 2020, and will be furthering its focus with the upcoming launch of Apple Retail Stores in Delhi and Mumbai. However, it hasn’t provided a timeline for the same.
Vijay Dugar, director at iDestiny with stores in Kolkata and cities like Guwahati, Ranchi, Patna and Bhubaneswar, said Apple product sales have doubled in the last 18 months. “It is pandemic proof. There is a waiting period and customers are okay with it, which was unheard in today’s time. We have doubled the store count in the pandemic,” he said.
iDestiny, which has 10 stores, plans to open 5-6 new stores in capital cities of states in East and Northeast parts of the country.
Dugar said that the mindset is different in eastern part of the country as people want to experience the product physically, leading to better footfall in shops. “In these cities, Apple is a status symbol. People have aspirations in tier 2 cities, which is driving sales up.”
Dugar also added that affordability schemes and buyback options are the key drivers for Apple sales in these cities. “We don’t open new stores if we don’t have affordability and financing options available with partners.”
Tarun Pathak, research director at Counterpoint, said Apple exited 2021 as its highest ever iOS user base in India and that will also provide momentum for its other products and services. “In such a scenario having a strong offline presence is important and APR plays an important role for educating users about Apple products and passing on that brand experience Apple is known for.”
Pathak said that the offline channel as a whole will take back some share from online this year assuming no more waves and lockdowns. “For Apple, this transition makes more sense because of its ecosystem play.”
Apple was one of the fastest growing brands in 2021 with 108% year-on-year growth in shipments. It maintained its lead in the premium segment (>Rs 30,000, ~$400) with a 44% share, as per Counterpoint Research.
Prabhu Ram, head-Industry Intelligence Group at CMR, said that offline retail is a pivotal cornerstone for fostering and furthering Apple’s India growth story. “These offline retail touch points, including the recent Apple premium reseller stores and upcoming Apple-owned and operated flagship retail stores, will be able to provide consumers with the product experience, specialist knowledge and access to Apple services.”
