Apple’s Retail Revolution: Four New Stores Set to Open in India Amid Manufacturing Expansion
As Apple intensifies its focus on the Indian market, the tech giant is poised to unveil four new retail stores across the country, signaling its commitment to deepening connections with consumers in one of the world’s fastest-growing markets.
Strategic Locations for Growth
Following the successful launches of its first two stores in Delhi and Mumbai in April 2023, Apple has identified Bengaluru, Pune, and the Delhi-NCR region for its next wave of retail expansion, which may also include an additional location in Mumbai. This strategic move comes as Apple recognizes the increasing significance of India in its global operations.
A Manufacturing Hub on the Rise
In a significant development, Apple announced the production of its entire iPhone 16 lineup in India, including the high-demand Pro and Pro Max models. This decision not only emphasizes India’s role as a vital manufacturing hub but also highlights the company’s effort to diversify its supply chain while leveraging the nation’s skilled workforce.
Experts suggest that the success of Apple’s initial retail locations has catalyzed this expansion. With Delhi and Mumbai contributing over 20% to Apple’s overall business, the addition of more stores in these metropolitan areas is seen as a strategic necessity to enhance customer experience and bolster market presence.
Strengthening Market Position
Analysts note that Apple’s enhanced retail footprint is essential for its positioning in the premium device segment. The company’s stores are celebrated for delivering exceptional product and service experiences, making them crucial for attracting and retaining customers in a competitive landscape.
With estimates projecting Apple to ship between 12 to 12.5 million iPhones in India by 2024—a growth of around 25%—the expansion is poised to elevate the company’s average selling price, which already stands at nearly three times the market average.
Broadening Horizons Beyond iPhones
Apple’s increased production capabilities align with its broader strategy to diversify manufacturing away from China. While the company has already begun shifting some iPad production to Vietnam, there are ongoing discussions about enhancing local assembly in India for its entire product range, including AirPods, MacBooks, and iMacs. State governments are actively courting Apple to solidify these plans, aiming to boost local manufacturing through new partnerships.
A Future-Focused Investment
The Cupertino-based company is targeting a significant increase in its iPhone manufacturing output in India, with plans to produce a quarter of all iPhones locally within the next 3-4 years. This ambitious target reflects Apple’s strategy to reduce reliance on Chinese suppliers and build a robust network of local vendors. In FY24, Apple assembled $14 billion worth of iPhones in India, marking a pivotal shift in its global production strategy.
As Apple continues to invest in India’s market and infrastructure, the unfolding narrative is not just about retail expansion but about establishing a strong foothold in a country that is becoming increasingly integral to its global ambitions.