iPhone 14 prices to decline further
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The prices of iPhone 14 in Vietnam, which are already among the lowest in the world, will continue decreasing in the coming time, market observers said.
“In April, Apple authorized resellers will have to import a new batch of iPhones according to their commitments to Apple. To lower inventory, slashing prices is the best way,” said a reseller.
Officially launched in the country on Oct. 14, 2022, the iPhone 14 Pro Max version originally sold for VND34 million ($1,440).
Only half a year later, the price dropped by more than VND7 million, the fastest rate of price decline since iPhone smartphones were first officially sold in Vietnam in 2014.
Prices of some other iPhone 14 versions also decreased sharply.
“The iPhone price war is always going on, but never as fierce as now. This is the first time the price of Apple’s latest phone model has dropped so steeply after only half a year,” said Phung Phuong, a manager of smartphone retail chain Di Dong Viet.
According to a large electronics retailer, there are two reasons for the current price race.
Firstly, Apple has not yet fixed a price range in Vietnam, so local dealers set their own selling prices according to actual needs and market situations.
Large stores often sell Apple smartphones at prices VND1-2 million higher than smaller ones, but still attract customers due to their wide coverage, good reputation, and better after-sales services.
Meanwhile, smaller stores must accept low profits, slashing prices to compete with bigger ones.
Secondly, at the beginning of 2023, demand for smartphones started diving, but Apple authorized resellers still imported a large number of products to receive sales incentives from Apple.
Inventory is now too high, forcing resellers to lower prices to make cash flows run smoothly.
“Big retailers are slashing selling prices, so small and medium ones have to follow suit to keep their market shares,” said Nguyen Lac Huy, a manager at smartphone retail chain CellphoneS.
The iPhone 14 was rolled out in Vietnam in October last year. While the Pro and Pro Max versions sold out within a few months, sales of the iPhone 14 and Plus versions have been sluggish.
Retailers said the combined sales of the two models account for less than 5% of the total.
Questions & Answers
Q.What is causing the current fierce price competition for iPhone 14 models in Vietnam?
What is causing the current fierce price competition for iPhone 14 models in Vietnam?
There are two main reasons: Apple has not set a fixed price range in Vietnam, allowing dealers to compete on price, and high inventory levels among resellers due to over-importation despite falling demand.
Q.Which iPhone 14 models have seen particularly slow sales in Vietnam?
Which iPhone 14 models have seen particularly slow sales in Vietnam?
The standard iPhone 14 and the iPhone 14 Plus versions have experienced sluggish sales. Retailers report that combined sales of these two models account for less than 5% of total iPhone 14 sales.
Q.What was the initial price of the iPhone 14 Pro Max in Vietnam, and how much has it fallen since its launch?
What was the initial price of the iPhone 14 Pro Max in Vietnam, and how much has it fallen since its launch?
The iPhone 14 Pro Max originally sold for VND34 million (£1,440) when it launched in October 2022. Its price has since dropped by more than VND7 million in just half a year.