Apple really wants to penetrate into the Chinese market, because its current CEO Tim Cook believes that China could be Apple’s biggest market. For that, Apple has decided to make instalment based payment options available at its Chinese online store.
As of now only customers of China Merchants Bank can avail this offer. There’s no extra charge for 1, 3, 6 and 12 months period. If however you want to pay Apple in more instalments like 18 month and 24 month, you’d have to pay an additional 6.5 and 8.5 interest rate respectively.
While people in western countries have been used to buying goods with credit cards for years, China is more of a “buy it now, pay for it now” country. With this tiered payment options Apple would target consumers who have money to buy Apple products but don’t have the entire amount to pay upfront.
Latest versions of iPad and iPhone have landed just a couple of months ago in China and they are already quite successful. Apple sold a record-breaking 2 million iPhone 5 units in its first weekend.
Asymco’s Horace Dediu predicts China to become Apple’s major market by 2016.