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  • Apple’s iPhone 6 Helps Increase the Average Selling Price of Smartphones in China


    The release of Apple’s iPhone 6 or iPhone 6 Plus, both of which introduced larger displays to Apple’s lineup, prompted an apparent shift in consumer habits that has seen the average selling price of a smartphone increase by roughly 40% in China. The Cupertino California company’s latest handsets have risen and topped the sales charts in China in each quarter in which they’ve been available. As a result, there has been a rise in the overall ASP, which has generally been dragged down by the wide availability and popularity of low-cost smartphones, many of which carry sub-$100 price tags.

    In the third quarter of 2014, smartphone ASP in China was $192 but according to data gathered by the IDC and cited by the folks over at Bloomberg, this number rose to $263 in the first quarter of 2015, which is a whopping 37% leap. The higher figure still lags the global average ASAP of $297 but it’s a significant increase in a country where the local competition still largely competes on price.

    This particular achievement is even more impressive when viewed from the angle of the overall market size, which contracted by roughly 4% in the first quarter of this year. The first contraction for the Chinese smartphone market in six years still ended up seeing Apple’s sales jump by roughly 62% year over year. Kitty Fok, the managing director of IDC China, had the following to say regarding the matter:

    "Smartphones are becoming increasingly saturated in China. China is oftentimes thought of as an emerging market but the reality is that the vast majority of phones sold in China today are smartphones, similar to other mature markets like the U.S., U.K., Australia, and Japan. Just like these markets, convincing existing users as well as feature phone users to upgrade to new smartphones will now be the key to further growth in the China market."

    Source: Twitter (Ben Bajarin), Bloomberg via AppleInsider
    This article was originally published in forum thread: Apple’s iPhone 6 Helps Increase the Average Selling Price of Smartphones in China started by Akshay Masand View original post
    Comments 2 Comments
    1. Bushfire's Avatar
      Bushfire -
      Yes, I feel that, apple was followed by lots of smartphone companies, they now are all going to increase the price of their smart phones that are not as good as Apple.
    1. adsn76's Avatar
      adsn76 -
      the thing about Apple is that it uses iOS. All the other smartphones had to compete with each other using Androids OS so the only way to sell more phones was to lower the price.