Chinese shoppers are getting rare discounts on iPhones as Apple faces increasing competition from local brands.
The four-day promotion, which starts this Saturday (January 4), includes discounts of up to 500 yuan ($68.50, £55.30) on some of the US tech giant’s latest phones.
Chinese mobile phone manufacturer Huawei also reduced the prices of its high-end mobile devices by up to 20%.
These discounts come as Chinese consumers are hesitant to spend due to the country’s economic difficulties.
The offer includes Apple’s top models as well as older handsets and other devices.
The biggest discount of 500 yuan applies to Apple’s flagship products, the iPhone 16 Pro (7,999 yuan) and the iPhone 16 Pro Max, currently priced at 9,999 yuan.
A similar promotion was held in China ahead of the Lunar New Year holiday last year. This year’s festival starts at the end of January.
behavior change
“Apple’s strategy has changed to adapt to the changing shopping behavior of Chinese consumers,” said Will Wong, senior research manager at market intelligence firm International Data Corporation (IDC).
“The value-seeking trend has made price discounts more attractive to consumers. If Apple does not adopt such a pricing strategy, it could fall behind other competitors.”
The discounts offered by Apple and Huawei reflect broader trends in China.
From giant online retailers to domestic automakers, deals are being proposed to attract customers who have been reluctant to spend due to the slowdown in the world’s second-largest economy.
Last year, Beijing launched a trade-in program to encourage consumers to replace old products, including cars and home appliances.
The scheme was expanded on Friday to include phones, tablets, smartwatches and fitness bands.
regional competition
In this situation, Apple’s market share in China is increasingly under pressure from local competitors such as Vivo and Xiaomi.
The American company re-entered China’s top five smartphone manufacturers in the third quarter of 2024 after being briefly removed from the list.
Vivo was the best-selling smartphone maker in China during the period, with sales surging more than 20%, according to IDC’s latest research.
During the same period, Apple sales decreased by 0.3%. Huawei soared more than 40%.
“Last quarter, we saw increased market competition with almost everyone launching a flagship product,” said Ivan Lam, senior analyst at Counterpoint Research.
Since Huawei returned to the premium smartphone market in August last year, demand for its products has surged.
The Shenzhen-based company has launched several new devices powered by cutting-edge technology despite restrictions in the United States.
