Key Takeaways:
– On the day of iPhone 16 launch in Beijing, many affluent Apple users showed interest in Huawei’s pricier Trifold phone.
– Huawei’s Mate XT is valued higher in resale markets than the iPhone 16 Pro Max.
– Despite no customer queue at Huawei stores, several customers reserved the trifold device.
– The first person CNBC talked to at Apple store also showed keen interest in the new Huawei phone.
Intense competition on launch day
Friday, September 20, 2024, marked an important milestone in Chinese telecom industry. The streets of Beijing hummed with anticipation as the much-awaited iPhone 16 and Huawei’s Mate XT made their grand debut. Understandably, rivalry ran high. However, what caught the attention of many was the unexpected interest that Apple’s affluent customers exhibited towards Huawei’s pricier trifold phone.
This, as reported by CNBC, was observed during random checks at the flagship stores of both brands on launch day. Interviews conducted with ten individuals revealed that eight were attracted to both the new Huawei and Apple phones. In a surprising turn of events, Huawei, gathering steam after the US sanctions in 2019, ranked fourth in China’s smartphone market share for the second quarter. In the meantime, Apple slipped from the top five, leaving domestic brands to dominate the arena.
Price Points Pique Interest
The comparatively high price point of Huawei’s new trifold Mate XT also turned heads. The Mate XT, priced at more than $2,800, significantly surpasses the iPhone 16 Pro Max which begins at $1,199 and the iPhone 16, priced at $799. This upward trend in pricing continued in second-hand platforms. The Huawei phone was listed at 50,000 yuan to 60,000 yuan or $7,100 to $8,520, substantially higher than the iPhone 16 Pro Max that was being offered between 10,500 yuan to 16,300 yuan.
Opening day dynamics
An interesting contrast was seen during the early hours of the launch. At the crack of dawn, queues were forming outside Apple stores. On the other hand, Huawei showrooms in Beijing and the smaller city of Hefei opened their doors to no lines. Instead, people had reserved their trifold devices in advance, which the company began delivering at 10:08 a.m.
This did not deter the customers. During the hour and 20 minutes when CNBC was at the location, dozen of people showed up at an area set apart specifically for Mate XT buyers. Huawei also announced on its website plans to resume sales at 10:08 a.m on Saturday and complete deliveries by September 30th.
Customer Conversations
Among the flurry of customers, one individual surnamed Yang stood out. An iPhone user, Yang was keen to try out Huawei’s new trifold phone. Yang was contemplating keeping the phone after a few days of trial or selling it. He estimated the device could sell for 2,000 yuan over the list price.
Even the first person in line at the Apple store, Wang, voiced his intention to purchase the Huawei trifold phone. This gives a clear indication of the rising popularity of the pricier Huawei trifold phone among Apple enthusiasts in China.