The iPhone, the "flagship" of Apple, has a particularity: this product is designed in the United States, but more than half of the nearly 1.2 billion units that were marketed since its launch, are produced in the Chinese city from Zhengzhou.
There are more than 200 suppliers -mostly located in different parts of Asia- that send their components and parts for the final assembly in the plant that Foxconn has in the Asian giant.
In its almost 6 square kilometers, this "factory-city" has the capacity to produce phones at a really frenetic pace: 1 million computers per day.
From there they are distributed to the rest of the world, including Argentina. So the iPhone, although it is a high-end team and sets the standards of innovation in the field of consumer electronics, today is a commodity.
Apple models that are sold in a store in Buenos Aires are the same as those offered in the UAE or Finland, for example.
So, its retail price, to a large extent, reflects all the costs associated with its commercialization, such as financial and logistics. And, a no lesser issue, it also functions as a yardstick to measure the entire tax "backpack" that weighs on an economy, including import tariffs. In addition, it provides some clues about the level of the current exchange rate in a market.
These are some of the variables that emerge from the "iPhone Index", the ranking built according to the price around the world of the phone created by Steve Jobs and that has been relieved by iProfesional for five years.
According to official prices, the most equipped iPhone 8 Plus, in its 256 GB version, is sold in Argentina at a value of $ 65,000.
This, after the jump of the greenback that took place in recent months, implies that a consumer must be willing to pay the equivalent of US $ 1,756 to make this phone.
Is it a lot or is it little? After the price adjustment that occurred in the local market after the devaluation, the world ranking throws a blunt: Argentina continues to be the most expensive country, in dollars, when buying this phone.
To put it in perspective, in the United States this phone is sold at a value of US $ 908.
This implies that the domestic price is no less than 93% higher than that prevailing in the US market.
It is a considerable difference. However, a fact to note is that the gap was shrinking over the years:
-In 2014, when the customs "lock" was strong and there was a lack of dollars to bank the imports, the gap was no less than 154%.
-For 2015, before the arrival of Change to the government and when the foreign exchange backward increased, the difference between the local value and the US. It had shot up to over 170%.
-A mid-2018, as the dollar moved to reach a quote of $ 28, the gap fell to a level of 25%.
-And now that the greenback moves around $ 37, that difference went to 94%.
A fact not minor: it is one of the lowest gaps since the first phone was launched, more than 10 years ago.
To a large extent, this shortening was due to the fact that the price in pesos ran below the devaluation. But also, to other extra factors, such as the gradual removal of import tariffs ordered by the Macrismo. Thus, a cell phone that comes from abroad, to pay a 17% went to face an aliquot of 10.5%.
However, the fact that there is still a gap so high with respect to the value in the US, almost double, is due to the fact that close to 60% of the final sale price in Argentina is still explained by taxes and various taxes, which are impacting from the nationalization of the product until it is displayed on a shelf.
Added to this are transportation costs - the country has the highest in the region, measured in dollars - and all expenses associated with security, to protect a very attractive logistics operation for asphalt piracy.
In parallel, the value fixed by retail also includes marketing and financial costs and there is even a plus that is explained by projected inflation -to avoid short-term shifts-, which means that today the country continues to lead in the ranking, even among neighbors, historically expensive markets for consumer technology.
Thus, the current value in Argentina (US $ 1756) today exceeds by 24% the value of Brazil, where the iPhone 8 Plus 256 GB is trading at US $ 1,425.
Even the local price is higher than that of Uruguay: in shops in Montevideo, for example, this smartphone is offered at US $ 1,412.
And about Chile? Although the trans-Andean country has ceased to be a magnet for "shopping tourism" after the devaluation, given that the prices of technology were significantly matched, in the case of Apple products, an important gap still remains.
Falabella, for example, offers this model released at a value equivalent to US $ 1,318. That is to say, a difference of no less than U $ S438 with respect to Argentina, which represents some 16,000 pesos more, at the official exchange rate.
What does this imply? That an interested in acquiring this model could opt to acquire it in a Santiago retail and, with the difference, cover the cost of two air tickets which without promotion can be obtained for US $ 390.
Goodbye fees
Faced with these figures, a strong argument that retailers had to face the criticism of the high price of the iPhone in Argentina was that the country could finance the purchase.
Undoubtedly, it is a point not less, given that it is a high-priced item. So the possibility of paying in comfortable installments often worked as an incentive against the option of making the purchase abroad, where although it can be paid by card, the transaction is made in a single payment.
However, the high interest rates have made it almost prohibitive to finance a purchase for these amounts today.
In fact: in a recognized premium reseller, except for some promos with plastic from some banks, the total financial cost for a 12-month plan reaches a whopping 118%.
So, whoever opts to acquire the iPhone 8 Plus in 12 installments, will end up paying more than $ 8,000 every 30 days, bringing the final price of this equipment no less than up to $ 96,000, about $ 31,000 extra over the original price.
This is the reason why, as confirmed by different entities, consumption in installments collapsed in recent months.
How many phones were imported?
From one of the main premium resellers of Apple in Argentina confirmed that the leap of the dollar ended up affecting sales that, in themselves, were coming down.
It is enough to know that in the first quarter, the 256 GB model could be purchased at a price close to $ 44,000, which equates to about 2 average net salaries of the private sector.
Now that this equipment costs almost 65,000 (47% increase) and that the average remuneration rose to about $ 26,000, we have to allocate 2.5 monthly payments.
This explains why this icon product of Apple, after disembarking with a lot of noise in the domestic market, today explains a marginal portion of the cellular business in the country.
According to Customs data to which iProfesional agreed exclusively, in 2017 about 45,000 Apple-branded computers entered Argentina through formal channels, that is, with formal import procedures.
Meanwhile, between January and July of this year some 83,000 units entered. To put it in perspective it is necessary to consider that, in that same period, the main brands sent to the cell phone operators and retailers a volume of 5.6 million devices.
The fact that only 1.4% of Apple phones have been marketed by formal channels shows how uninteresting it is to import this coveted cell phone and have to offer it at these prices.
How is it explained? Basically because in recent years, Argentines preferred to buy these equipment abroad than buy them locally.
To this flow was added previous years, as reported by the main technology brands, a high level of contraband, which is now being more controlled.
And now that the regulations allow tourists to return with a phone for personal use free of taxes, it does foresee that the formal business of the iPhone in Argentina continues without taking off.