Apple has exited the “fast-growing” sub- Rs 20,000 smartphone category in India to “boost its flagging average selling price and profitability which have been under strain in the country lately,” according to the India Times.
The company has withdrawn the iPhone 4s model, which was selling for as low as Rs 12,000, and the iPhone 5c, which was selling at Rs 20,000. The cheapest iPhone is now the iPhone 5s, which is priced at Rs 24,000.
"It's a step to improve the ASP (average selling price) which was falling since iPhone 4s was till recently one of their highest selling model in India due to its lower price," Pulkit Baid, director at Great Eastern, a consumer electronics retail chain in eastern India, told the India Times.
The article adds that analysts (who weren’t named) said Apple's exit from sub- Rs 20,000 smartphone segment may lead to an increase in market share of its main rival Samsung as well as Chinese brands. The Rs 10,000-20,000 segment is among the fastest growing in India, after the Rs 5,000-10,000 segment.