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Due to sluggish sales in China? Will Korea become the first country to release iPhones?

Due to sluggish sales in China? Will Korea become the first country to release iPhones?


Refer Report

Expected image of iPhone 16. /Photo = Hankyung DB

As the possibility of Korea being included in the first release countries of Apple’s iPhone 16 series, which will be released on the 9th, has been raised, the telecommunications industry is also preparing marketing strategies that take this into account.

According to industry sources on the 2nd, domestic mobile carriers are understood to be discussing pre-orders and rate plans in preparation for the first launch of the iPhone 16 series.

Apple has been excluding Korea from the first release countries when it releases new iPhones every year around September or October. Korea has been classified as a second or later release country. Therefore, the new iPhones could be seen in Korea about a month after their release. In the case of the previous iPhone 15 series, Korea was pushed to the third release country.

Industry insiders speculate that Apple may include Asian countries such as Korea, where iPhones are popular among the 2030 generation, as the first launch countries, as it is struggling in its main market of China due to sluggish sales and government regulations. Apple has recently been showing unusual moves, such as offering large-scale discounts in China.

Apple gave up its top spot in global smartphone market share to Samsung Electronics in the second quarter of this year. There is analysis that it needs to increase iPhone sales in the Korean market, where the proportion of Galaxy users is high. According to market research firm Counterpoint Research, Galaxy ranked first in the domestic smartphone market with a 73% share, while iPhone ranked second with 25%.

iPhone 16 pre-order information poster posted on online mobile phone retailer/Photo source = Momophone

iPhone 16 pre-order information poster posted on online mobile phone retailer/Photo source = Momophone

An official from the telecommunications industry explained, “We are discussing internally the direction of marketing in preparation for the likely first launch countries of the iPhone 16 series,” adding, “Since the official launch is usually within two weeks to a month after the unpacking, we are preparing for pre-order marketing that will be conducted one to two weeks before the launch.”

As the iPhone is highly popular among the younger generation in Korea, it is predicted that the three mobile carriers will also target the younger generation in their marketing.

In the case of the previous iPhone 15, SK Telecom offered a permanent 5,000 won discount benefit for ‘0 Youth Plan’ subscribers, and KT offered a 1-year 200GB iCloud benefit for subscribers aged 14 to 29. LG U+ also held a giveaway event for the first 20,000 subscribers to products exclusive to people in their 20s, where they won Naver Pay points and ‘IMAX Movie Night’ invitations.

However, the telecommunications industry was skeptical about the ‘new product effect’ resulting from the launch of the iPhone 16. In the past, the launch of new devices was seen as an opportunity to attract new 5G subscribers, but the effect has decreased in recent years due to the expensive price of flagship devices and depressed consumer sentiment.

In fact, a month after the release of the iPhone 12, the number of 5G subscribers, including the three mobile carriers and all budget phones, increased by nearly 950,000 compared to the previous month. However, after the release of the iPhone 13, the number increased by 800,000, the iPhone 14 by 750,000, and the iPhone 15 by 350,000. The effect of new iPhones is gradually decreasing.

Some mobile phone stores and dealerships are preparing to attract new subscribers by advertising ‘iPhone 16 pre-orders’.

Mr. A, an employee at a telecommunications agency located in Guro-gu, Seoul, said, “The new iPhone will be released soon, so we are providing a pre-order notification service for consumers who want to pre-order it,” and “Once the telecommunications agency’s pre-order schedule is released, we will explain the reservation process, benefits, and services to consumers by text message or phone.”

Yoo Ji-hee, Hankyung.com reporter keephee@hankyung.com

Source: korean

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