Following the local launch of the iPhone 17 range in South Africa recently, SMETechGuru spoke to iStore South Africa CEO Chris Dodd about the launch as well as what is means for Core Group and iStore in South Africa.
Market & Consumer Focus
Q: South Africa is a price-sensitive market — how is iStore making the iPhone 17 range more accessible to consumers beyond the premium segment?
A: To appeal to a wider market, iStore offers a comprehensive range of iPhones. From the pre-owned iPhone 8 to the latest models, we have the full Apple offering. To make the purchase more affordable, we now provide multiple financing options, including trade-in, Cellular funding, iStore Finance deals, and various bank finance options.
Q: What demand trends are you seeing among South African consumers — is there stronger interest in the standard iPhone 17 (I know it is early days – maybe anticipate in light of the iPhone 16 range with the iPhone 16e etc.), the Air, or the high-end Pro models?
A: Early adopters are typically the first to purchase the new iPhone range. They usually prefer the Pro and Pro Max models, so the majority of interest has been in the upper end. There’s also been significant interest in the new iPhone Air due to its ultra-thin and lightweight design.
Q: How do you see the trade-in and financing options shaping iPhone adoption locally again this year?
A: Trade-in’s are a significant part of our business, as customers have realised the value of older iPhones. In fact, a quarter of all new iPhones purchased come with a trade-in.
Technology & Differentiation
Q: Which of the new features in the iPhone 17 lineup do you think will resonate most with South African consumers in particular?
A: I believe South African consumers will appreciate the form factor changes, camera upgrades, extended battery life, improved scratch resistance, ProMotion (iPhone 17), and new features like Centre Stage on the selfie camera.
Q: How do you balance global Apple innovations with local consumer needs, such as data costs, connectivity, and payment options?
A: At iStore, we don’t care which iPhone a customer buys as long as it meets their needs, both in terms of affordability and functionality. Our trade-in and affordability offerings ensure that even our most expensive products are accessible and affordable.
Retail & Expansion Strategy
Q: Are there plans to expand the iStore footprint into more towns and cities, especially outside major metros especially in light of the 20th anniversary?
A: It has been one of our objectives to get closer to our customer by making iStore more accessible to as many South Africans as possible. We recently opened stores in East London, eMalahleni, Soweto and Stellenbosch. Our plan is to continue opening stores in regional areas where it makes financial sense.
Q: How is iStore leveraging online sales versus in-store experiences for the iPhone 17 launch?
A: We’ve been prioritising providing one of the best omnichannel experiences in the market. We’ve invested in our eCommerce platform and supply chain to ensure customers have ultimate flexibility. They can now order online and collect in-store, receive deliveries within the hour, next day, or even choose scheduled deliveries. For the iPhone 17 launch, eCommerce transactions accounted for approximately 75% of the initial sales volume.
Q: What role does after-sales service and support play in keeping customers loyal to iStore instead of grey-market imports?
A: Support plays a significant role in our overall service offering and is a key factor in customer retention. In all our stores, we offer free walk-in support and training. Additionally, we include a free iCarePlus valued at R1999. iCarePlus includes a free screen repair, an extended Apple warranty, and Guaranteed Buyback.
Sustainability & Ecosystem
Q: Apple globally has a strong sustainability focus — how is iStore South Africa aligning with that, particularly around recycling and trade-ins?
A: Trade-in is a key affordability offering for customers looking to buy new iPhones. Traded-in Apple products are sent to our pre-owned facility, where they are cleaned, repaired, and repackaged. These iPhones are then re-sold in our dedicated pre-owned stores and come with a 2-year warranty. We also trade in Android and PCs, which are also cleaned, repaired, and resold.
Q: With more South Africans entering the Apple ecosystem through iPads, Macs, and wearables, how important is the iPhone 17 range in anchoring that ecosystem locally?
A: The iPhone 17 is a key product in Apple’s range and often serves as the entry point into their ecosystem. Our pre-owned offering and geographical expansion have also played a significant role in helping South Africans enter the Apple ecosystem.
