Apple to Open New Store in Shanghai as China Sales Plummet
AApple is set to open a new store in Shanghai later this month as part of its efforts to bolster its retail footprint, even as iPhone sales in China face a downturn. The upcoming store, Apple Jing’an, is scheduled to open its doors on March 21 in Shanghai, with the grand opening featuring a live performance by the Shanghai Symphony Orchestra, as announced on the company’s official website.
Marking Apple’s eighth store in Shanghai and its 47th across China, the move underscores the tech giant’s commitment to expanding its presence in key markets. Shanghai already boasts the highest concentration of Apple stores per city in mainland China, surpassing even Beijing, the nation’s capital, which currently hosts five Apple outlets.
The expansion initiative comes on the heels of a notable decline in iPhone sales following the launch of the iPhone 15 in September 2023. Reports from Counterpoint Research reveal a 24% dip in Apple’s iPhone sales in China during the first six weeks of 2024, attributed to intensified competition from domestic rivals.
In response to waning sales, Apple initiated promotional measures, including price reductions of up to 500 yuan ($70) on its latest iPhone models as part of a Lunar New Year campaign launched on Jan. 15, a departure from its previous pricing strategies.
Counterpoint’s senior analyst, Mengmeng Zhang, attributed the sales slump to fierce competition from competitors like Huawei, OPPO, vivo, and Xiaomi, coupled with the perceived lack of substantial upgrades offered by the iPhone 15 compared to its predecessors.
Beyond China, Apple is also focusing on revitalizing its operations in the Asia-Pacific region, with plans to establish 15 new stores and renovate or relocate six existing ones. This expansion drive adds to Apple’s global retail network, which comprises over 520 stores across 26 countries.
Despite its efforts to fortify its presence in Asia, Apple faces challenges in Europe and the U.S., including setbacks in its electric vehicle project, regulatory fines, and fluctuations in stock value, highlighting the complexities of its global operations.
