SUMMARY
Infiniti Retail has already started discussions with several malls and high streets to set up the outlets
Unlike the premium Apple stores, these stores will be smaller in size and will mostly sell iPhones, iPads and watch only
Newer Apple stores will not be able to set shop in areas where Tata sets up Apple outlets
Tata Group-owned Infiniti Retail which runs the electronics store Croma will reportedly be opening 100 small exclusive Apple stores across the country. According to an ET report, Tata subsidiary Infiniti Retail will become an Apple franchisee, setting up outlets of 500 sq ft – 600 sq ft in malls, high-end streets and posh neighbourhoods.
Unlike the premium Apple stores, these stores will be smaller in size and will mostly sell iPhones, iPads and watches only. Currently, India is home to 160+ large premium Apple stores.
According to the report, Infiniti Retail has already started discussions with several malls and high streets to set up the outlets. The lease includes terms that Apple stores will not be opened near any of the Tata-Apple franchisee outlets.
The first such store will likely open in Mumbai in the first quarter of 2023.
India On Apple’s Growth Playbook
A CyberMedia Research (CMR) report recently stated that Apple’s iPhone global revenue increased 10% year-on-year to $42.6 Bn and India alone sold more than 1.7 Mn units in the July-September quarter.
The development comes shortly after Apple has been keen on shifting a large portion of its manufacturing in India from China. The iPhone maker wants to move 5% of the global manufacturing demand to India by the end of 2022, making INR 47,000 Cr worth of indigenous iPhones in FY23.
Apple is also looking to shift a major chunk of its iPad and acoustics manufacturing to India.
The US-based smartphone maker may also see its production in India rise rapidly as Apple’s three major manufacturers – Foxconn, Pegatron and Wistron – are scaling up their manufacturing capacities in the country.
It is noteworthy that the development comes when the Indian government has announced a production-linked incentive (PLI) manufacturing scheme worth INR 41,000 Cr.
Not only that, but India is also making multiple exemptions for Apple in its manufacturing policies while the contractors will reap the benefits of manufacturing in the country.
