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How the launch of Mumbai’s Apple Store completes the puzzle of Tim Cook’s India strategy

The launch of the Apple Store will provide the personalised customer experience that has been lacking so far. It will cement Apple as the premium brand in India.

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For almost a decade, Apple has been trying to launch the “Apple Store” in India. Since 2015, CEO Tim Cook has been lobbying the Narendra Modi government for this opportunity. Now, it is finally happening. The Californian tech giant has announced Apple BKC, its first retail store in India’s financial capital — Mumbai’s Bandra Kurla Complex. It will likely be unveiled on 14 April, and another Apple Store in Delhi’s Select Citywalk Mall will be opened soon after. Tim Cook will reportedly make a trip to India for the occasion, and a meeting with Prime Minister Modi is on the cards.

With Apple already expanding its business in India and outlining plans to move 25 per cent of iPhone manufacturing to the country, the launch of the Apple Stores is the final piece in the puzzle that is its long and tumultuous India strategy.


Institutions in their own right

In the early 2000s, Apple co-founder Steve Jobs brought on ex-Target executive Ron Johnson to develop the Apple Store, which became a cornerstone of the tech company’s product strategy. Johnson created a division that has now expanded to include 552 retail locations across 25 countries. Former Burberry CEO Angela Ahrendts took over as the company’s senior vice president in 2014 and continued to build upon Johnson’s foundation. Deirdre O’Brien now manages that division.

Apple Stores have become iconic institutions in their own right, serving as town squares of sorts and often featuring as a city’s landmarks. Mumbai’s Apple BKC is part of the sprawling Jio World Drive mall. Its design has been inspired by the city’s kaali-peeli taxi art, and, in keeping with Apple’s typical fashion, the store immerses itself in the zeitgeist of Mumbai’s culture.

The Apple Store in Singapore’s Marina Bay is a breathtaking, otherworldly glass dome that is truly a sight to behold. The Fifth Avenue Apple Store in New York City, which opened in the early 2000s, set the benchmark for premium retail, and is still the only Apple Store in the world that remains open 24×7, 365 days a year. It is affectionately referred to as the ‘Cube’ due to its iconic glass structure. Meanwhile, the store at Regent Street in London is a landmark in the busy city. Paris’ Apple Store at the Champs-Élysées is also revered. Even the stores in Shanghai and the Dubai Mall are noteworthy — each with its unique and iconic features.


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Now India’s turn

Apple will now be able to set up such landmarks in India, where physical retail is critical and is particularly important in the smartphone and gadget sector. The launch of the Apple Store will provide the personalised Apple customer experience that has been lacking from its distribution methods, which included e-commerce platforms such as Flipkart, Amazon, and Paytm online as well as Apple premium resellers. In India, resellers do not have Apple Genius representatives who are considered to be among the most courteous and helpful sales executives in the world. Apple employees will also be able to provide customer care support on-site and will definitely have more stock for products and accessories, and possibly even an advantage in pricing.

With only two stores, the Apple Store is determined to firmly establish the brand in India, which holds the potential to boost the tech company’s sales and impact retail outlets. The latest Counterpoint Research report reveals that smartphone sales in India have slowed down and returned to 2019 levels. However, the premium segment of the market, which offers products above Rs 30,000, is growing and accounts for over 50 per cent of the overall revenue of the market worldwide.

Apple dominates almost 50 per cent of this market and has observed a year-on-year increase in its sales in India. In the last quarter alone, Apple’s market share grew by 65 per cent in terms of volume and 162 per cent in terms of value, securing 25 per cent of the total shipments in 2022 in terms of value. Retailers will now face competition from the might of Apple, both online and offline.

This is particularly significant for products like the upcoming mixed reality headset, which require an experiential element. Without the intimate experience that Apple’s Geniuses provide, these products will not sell. The same is true for Mac products, which come in various variants. Custom build-to-order products are notoriously difficult at Apple premium resellers, as they tend to keep an inventory of the products that sell the most.


Also read: Apple checkmating regulators with wireless charging push. But it is exposing its technology


A new India phase for Apple

At the new Apple Stores, executives will not have strict sales targets; customers will never be subjected to long payment queues— executives are equipped with mobile payment terminals. Customers can also browse around the stores without feeling obligated to make a purchase and can take advantage of the town-hall area where high-speed Wi-Fi will be available.

Additionally, these Apple Stores will host ‘Today at Apple’ sessions, led by professionals such as musicians, graphic artists, developers, photographers, and filmmakers. The sessions will include intimate concerts, live performances, and masterclasses, putting Apple’s products front and centre.

The stores will further cement Apple as the pre-eminent premium brand in India — which is aspirational and useful at the same time.

Sahil Mohan Gupta is Editor, Technology at Acko Drive. Views are personal.

(Edited by Humra Laeeq)

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