Apple has long had its eye on the emerging market in China. This market has great potential and Cupertino is aware of this, even Tim Cook has stated on more than one occasion that in the not too distant future they expect China to become Apple’s main market . Will they succeed?
To help this expansion process in the Chinese market, the American company plans to open 25 more Apple Stores over the next two years. These would add to the 15 stores they already have spread throughout China.
On the other hand, Apple is also working on products specially designed for the Chinese market , such as devices in gold, because users in this country have a special predilection for this color. Below we will see more details about why China could become the main market in the near future.
China’s market is already bigger than Europe’s for Apple
A couple of days ago Apple released financial results for the third fiscal quarter of the year (Q3 2015). Among the figures for device sales, earnings and profits, it is worth noting the revenue growth in “Greater China”, the name by which mainland China is known along with Hong Kong, Taiwan and Macau .
So far this year, Apple has managed to double revenues in the Chinese market , which shows clear growth and acceptance of the company and its products by users in this market. So the idea of China becoming Apple’s main market is not so far-fetched.
As we have seen before, Tim Cook has often commented that China will be Apple’s main market, a moment that is getting a little closer. If we look at the latest data the market of “Greater China” is already bigger than Europe for Apple .
During the third fiscal quarter of this year , Apple has managed to earn 13.2 billion dollars in China, compared to the 10.3 billion dollars earned through the European market . However, despite this growth, the local market remains the major source of revenue for Apple with $20.2 billion during Q3 2015.
The middle classes, key to Apple’s growth in China
The great reception that the iPhone 6 and 6 Plus have had in the Asian market is very important for the growth of the company. But not only that, as our colleagues at Applesencia comment, they point out that Tim Cook believes that there is another key factor for the company to grow in China: the middle classes .
Tim Cook himself once said that “the rise of the middle class continues and is transforming China” . According to a study, the middle class in China will increase from 14% to 54% between 2012 and 2022 , so they are in the process of expanding, an opportunity that Apple does not intend to miss.
We will have to see how events unfold and if Apple succeeds in making China its main market , above the western one.