Gold iPhone Could Help Apple Build Its Fortune in China

By Michelle Maisto  |  Posted 2013-08-20 Print this article Print

However, it added, "We advise our clients to avoid over-use of the color gold. ... The 'gold rush' has caused over-use of the color to become the domain of the nouveau riche, and as such, can easily appear to make your message gaudy and cheap-looking. Appropriate use of gold is one of the keys to productive marketing and advertising in China."

An iPhone for China Mobile

New iPhones are said to be priced higher than is comfortable for many Chinese consumers, which is why a lower-cost iPhone 5C could be a winning solution for Apple.

According to a new report from Morgan Stanley analyst Katy Huberty, however, Chinese consumers say they're willing to pay more than was previously thought.

An AlphaWise survey including 2,000 Chinese handset users, Apple Insider reported Aug. 20, found customers in Tier 1 and 2 cities planning to buy more expensive smartphone models.

Survey respondents said they were willing to pay $486 U.S., or 4,000 RMB, for an unlocked, contract-free iPhone 5C.

"That number was higher than what Chinese customers are willing to pay for a Samsung Galaxy S4 Mini (2,600-3,800 RMB), or the HTC One Mini (2,000-3,000 RMB)," Apple Insider reported. It's also higher than the $399 Huberty has forecast that Apple will price the device at.

In recent weeks, Taiwan-based HTC introduced a version of its popular One smartphone in red—a color that suggests luck in China. But in China, as in the United States, it's Samsung that's Apple's biggest competition.

During the second quarter of 2013, Samsung sold more than 15 million smartphones in China, according to Strategy Analytics, compared with Apple's 3.4 million units. Also outselling Apple in China during the quarter were Asian brands Lenovo, Coolpad, ZTE and Huawei.


Follow Michelle Maisto on Twitter.


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