Happy New Year! Enjoy a 10% discount on all purchases until the 31st of January 2023 using the promo code HNY23 when you check out

Appliances and Electronics Our insights capture shifts in consumer lifestyles and themes impacting the global consumer appliances, electronics, and toys and games markets. Themes include new business models, sustainability, innovation and the future home.

Apple Loses the iPhone Trademark Lawsuit in China – Still Poised for Growth

Wee Teck Loo Profile Picture
Wee Teck Loo Bio

Apple Inc (Apple) lost a trademark suit against a Chinese company in China. The Beijing Municipal High People's Court ruled that Xintong Tiandi Technology is allowed to sell handbags and other leather goods with the brand name iphone in China.

iphone leather goods

Source: Xintong Tiandi Technology

Hollow victory

The court ruling follows Apple’s dismal quarterly earnings, with a 13% decline in revenue globally compared to the same quarter just a year ago. The court ruling is a political victory to the communist ruling party but there is no foreseeable impact on iPhone sales. The discerning and brand conscious Chinese consumers will not pay US$600 for an iPhone branded handbag by Xintong Tiandi. In fact, the leading handbags  brands in China were Louis Vuitton and Chanel, cornering a massive 13% value share in 2014. The most popular domestic handbag brand is Powerland, ranked lower than Gucci and Prada.

Apple wins

While Apple’s revenue is widely expected to take a hit in 2016, there is still an insatiable appetite for iPhones in emerging markets like China. China is a critical market for Apple and sales of iPhone is projected to hit 37 million units in 2016. A lot is riding on the successor model of the iPhone 6S to spearhead Apple’s assault on the high-end smartphone market in 2016 and the court ruling will not affect Apple’s sales.

Interested in more insights? Subscribe to our content

Shop Our Reports

Where Consumers Shop for Toys and Games

While e-commerce has continued to gain share in recent years, helped by lockdowns and enforced closures of store-based retail outlets during the pandemic,…

View Report

Future of Gaming: Will Cloud Gaming Ever Replace PCs and Consoles?

Cloud gaming has been gaining lots of traction in recent years as it allows people to access graphically demanding games without owning top-tier gaming…

View Report

Appliances for the Elderly Segment

As sales to traditionally targeted consumer segments have started to plateau, brands need to find growth elsewhere. According to Euromonitor International’s…

View Report
Passport Our premier global market research database with detailed data and analysis on industries, companies, economies and consumers. Track existing and future opportunities to support critical decision-making across all functions within your organisation Learn More