(Yicai Global) Jan. 11 -- Chinese online retailers JD.Com and Suning.Com have cut prices for several of Apple's iPhone models by around 20 percent compared with recommended retail prices as the American handset maker responds to lower sales in the country.
From today, JD will sell the 8 model for CNY3,999 (USD588), down CNY600 compared with the previous price and CNY1,100 less than the RRP. The 8 Plus handset costs CNY4,799, which is CNY800 lower than previously and CNY1,200 less than the RRP.
The California-based firm intervened directly to bring down the price, according to state-backed news outlet The Paper, which said the company is increasingly using flexible pricing policies to boost purchases in China after a recent sales slump.
Another Chinese online shopping platform Suning has also cut price of the 128-gigabyte iPhone XR by 17 percent to CNY5,799, according to an announcement on the Nanjing-based firm's Weibo account.
Apple recently lowered its expected revenue for the first fiscal quarter of fiscal 2019 to USD84 billion, as against earlier guidance of USD89 billion to USD93 billion, citing weaker-than-expected sales in China, according to a letter to investors from Chief Executive Tim Cook on Jan. 3. Shares in the firm dropped 7 percent in post-market trading.
iPhone prices on JD's biggest rival, Tmall remain unchanged as of 9.30 a.m. Beijing time. It remains unclear if Alibaba Group Holding's premium e-commerce platform will bring prices down in the future. Prices on Apple's own online store are also unchanged.
Editor: William Clegg