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On Tuesday, Apple made a significant move to expand its retail channels in China by launching an online store on Tencent’s popular WeChat messaging app. WeChat, often referred to as a “super app,” boasts an extensive user base of over 1.2 billion individuals and offers more than just instant messaging capabilities. Within WeChat, users can access “Mini Programs,” which function as apps within the platform, eliminating the need to download multiple standalone applications. Leveraging this feature, Apple introduced its WeChat store in the form of a Mini Program, allowing users to conveniently purchase the entire range of Apple products, including the latest iPhone 14 series.
Tencent, in a statement, confirmed that users could order Apple products through the WeChat Mini Program, with added benefits such as free shipping and the possibility of three-hour delivery for select customers. Additionally, the WeChat store also provides access to certain Apple services, including the trade-in program. Despite CNBC’s request for comment, neither Apple nor Tencent responded immediately.
While Apple traditionally exercises tight control over its retail channels, the company has been actively expanding its presence on China’s major internet platforms in recent years. Apple already operates an official store on Tmall, the e-commerce platform operated by Alibaba, and collaborates with JD.com, China’s second-largest online retailer, as an authorized reseller of Apple products.
Although the overall Chinese smartphone market faced challenges, Apple’s iPhone sales demonstrated resilience. Counterpoint Research reported a 5% year-on-year decline in smartphone sales during the first quarter of 2023, marking the lowest first-quarter sales figure since 2014. However, Apple experienced a 6% growth in iPhone sales during the same period, according to Counterpoint’s findings.
Despite the favorable performance, Apple remains committed to expanding its customer base in China. WeChat has become an integral part of Chinese society, serving as a multifunctional platform utilized for messaging, flight bookings, bill payments, and more? By tapping into WeChat’s vast user ecosystem, Apple aims to establish stronger connections with Chinese consumers and enhance its market presence in one of its most crucial markets.
