Apple's Chinese Retailers Use Discounts For Premium iPhones To Spur Demand, Analyst Snubs Move

Loading...
Loading...
  • Third-party retailers in China doled up to 10% discounts on Apple Inc's AAPL iPhone 14 Pro to counter the weak demand.
  • Electronics vendors JD.Com, Inc JD and Suning sell the iPhone 14 Pro basic model for 7,199 yuan ($1,062), cheaper by 800 yuan, Reuters reports.
  • Various other authorized Apple third-party sellers offered similar discounts on the iPhone 14 pro and Pro Max, Reuters social media checks confirmed.
  • China's smartphone sales in 2022 clocked in at 286 million, the lowest level in a decade, with sales in the fourth quarter sliding 14% due to poor demand, according to Canalys.
  • "The return of price cut even for the best-selling iPhone 14 models is not a good sign for demand," Jeffries analyst Edison Lee noted, adding that several Android brands have also cut prices.
  • Apple sales tumbled in the quarter, Canalys said, partly due to an early release of the iPhone 14 series and supply chain issues at key iPhone supplier Hon Hai Precision Industry Co Ltd HNHPF Foxconn.
  • Apple became the leading smartphone seller in China in Q4, despite Covid disruptions and economic slowdown.
  • Apple accounted for nearly 24% of China's smartphone sales in the last three months of 2022.
  • In Q4 2022, China's smartphone sales declined 15% Y/Y despite China's Covid relaxations. Apple posted a double-digit decline Y/Y in Q4.
  • Price Action: AAPL shares traded lower by 0.71% at $153.40 premarket on the last check Monday.
Market News and Data brought to you by Benzinga APIs
Comments
Loading...
Posted In: NewsTechMediaBriefs
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!

Loading...