Vietnam Embraces Apple’s iPhone
The popularity of Apple’s (NASDAQ:AAPL) products in China is no secret, and the iPhone maker has made several moves to increase its presence in the country by including it in the iPhone 5S launch last September and agreeing to a well-publicized distribution deal with China Mobile (NYSE:CHL) earlier this year. However, Apple’s recently released fiscal 2014 second quarter financial results revealed that China is not the only emerging market with a communist government that is embracing the iPhone. Although it is a much smaller country than China with only tens of millions of potential customers instead of hundreds of millions, Vietnam has emerged as one of Apple’s fastest growing markets for the iPhone.
During the company’s fiscal second quarter earnings call, Apple CEO Tim Cook pointed out that sales in Vietnam more than doubled over the past quarter, increasing by 262 percent. In comparison, iPhone sales in China grew by 28 percent. “We’ve been working at China for a while and have learned a lot and I’m very proud of what we’ve done there,” stated Cook during the earnings call according to Seeking Alpha. “But I think some of these other numbers I just read demonstrates that we’re beginning to have really nice success outside of there as well.”
The sales numbers for Vietnam are even more impressive when the fiscal first quarter is included. As noted by Reuters, Apple sales in Vietnam have tripled in the Cupertino-based company’s fiscal first half. This gives the Southeast Asian country a growth rate five times faster than India’s.