Apple Inc. (NASDAQ:AAPL) has raised prices of iPhone 6 plus in Russia by 35% consequently opening its online retail store that had been closed as the Ruble lost value against the dollar. Russia has been severely affected by the sickening drop in oil prices which is a key driver of the economy.
The closure of Apple Inc. (NASDAQ:AAPL)’s online store in Russia came in the wake of the Rubble trading near the 80 mark against the dollar, but has since made some gains and is trading at the mid-50 range. As a result, Russians will have to pat ways with 53,990 rubles or $991 to acquire a 16GB iPhone 6.
iPhone was going on sale for 39,900 rubles or $574 before Apple Inc. (NASDAQ:AAPL) closed doors to its online store early last week. It is not the first time that Apple has been forced to increase the price of iPhone 6 in the wake Russia economy experiencing some hardships. In November, the Cupertino-based company was forced to increase the prices of iPhone 6 in Russia by 25% as the country started feeling the effects of economic sanctions from the U.S.
Apple Pursuing Emerging Markets
Apple Inc. (NASDAQ:AAPL) does not have any brick and mortar stores in Russia with the nearest one being in Germany Sweden and Turkey.
The ongoing economic meltdown in Russia is poised to affect Apple’s sales in the country that accounted for 1% of its total sales in 2013, on 1.6 million units sold. It awaits to be seen if people will still rush to buy the device at the current price tag as hopes of the economy recovering any time soon continue to fade.
Apple Inc. (NASDAQ:AAPL) may look to offset a decline in revenue from Russia heading into 2015 by selling more of the iPhone 6 in emerging markets of China and India.