Apple may offer buyback schemes for iPads


 Apple will sell its two new tablet models — iPad Air and iPad mini with retina display — in India for Rs 35,900 and Rs 28,900, respectively, starting December 7, the company's distributor Ingram Micro said.

A senior executive with an Apple trade partner in India said the US major has plans to run promotional activities around the new iPad models in India, including buyback schemes on old iPads and tablets, cash-back offer and EMI schemes, following the success of a similar strategy adopted for the iPhone in the country, the world's fastest growing market for smartphones.

As part of its moves to gain market share, Apple could announce a "price cut on the older iPad mini model in the sub-Rs 20,000 segment to drive volume," retail chain PlanetM chief eecutive Sanjay Karwa said.

Another senior executive who also works at an Apple trade partner said the strategy is to expand distribution of iPads from just a handful of the Apple stores and large multi-brand retailers to the entire universe of cellphone retail stores where iPhones are sold. "In fact, Apple, with its distributors, is closely working with all the cellphone retailers to set up separate iPad corners wherever possible and is also appointing shop-floor promotional staff," he said.

The launch of the new models comes within a month of their global launch as the Cupertino-based company moves to shore up market share significantly in the fast growing Indian tablet space where it has not been able to make much headway so far. With this, Apple will have a portfolio of five models in the tablet segment. Apple has historically maintained its premium positioning even for iPads. It has been selling iPads from Rs 21,900 onwards; Samsung Galaxy Tabs are available upwards of Rs 12,000.

As per latest data (April-June 2013) from market tracker CMR India, Samsung leads the Indian tablet market by shipping with 21.2% share, followed by Datawind with 12.5% (excludes shipment of Aakash tablets) and Micromax at 9.7%. Trade estimates suggest Apple has some 6-7% share of the tablet market in India, though this could not be independently verified.

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