New iPhone Launch in Russia Shows Strong Demand

• Despite economic challenges and sanctions, the new iPhone 17 sees strong pre-order numbers in Russia, with consumers paying a premium for Apple’s latest device.

Russian retailers began displaying Apple’s new iPhone 17 in stores on Saturday, marking the latest global rollout of the device. This launch is particularly notable as it occurs amidst a challenging economic environment in Russia, which is facing high-interest rates and a significant budget deficit. According to reports from major tech retailer Restore:, pre-orders for the new smartphone have seen a substantial increase this year. The strong consumer demand for Apple products suggests that consumer spending on popular goods remains resilient despite the broader economic downturn.

The enduring popularity of iPhones in Russia is a testament to the brand’s appeal, even after Apple halted sales in the country in 2022. This suspension, along with the disabling of services like Apple Pay, was a result of Western sanctions imposed following the invasion of Ukraine. Interestingly, these devices are sold at significantly higher prices in Russia compared to Western markets. Lyudmila Semushina, PR director for Inventive Retail Group, which owns Restore:, reported a 66% increase in pre-orders compared to the previous year.

Enduring Consumer Loyalty

A significant factor driving this demand appears to be the strong loyalty of Apple’s user base. Many customers remain committed to the brand and are unwilling to switch to other devices. “There is a huge fan base that will never exchange iPhone for anything else,” Semushina stated. Customers like Oleg Kochetkov also pointed out new features that make the upgrade worthwhile, such as the cameras and the new “Air” model. Russian customers are increasingly using iPhones for apps like FaceTime, a trend that began after the government restricted access to certain calling services on other platforms like WhatsApp and Telegram.

The new iPhones displayed in stores were for browsing only, with pre-orders being taken for delivery in the coming days. According to Semushina, there is a typical initial shortage of new iPhones, but the retailer’s supply chain is “quite stable” despite the complexities. The additional logistical costs associated with so-called ‘parallel imports’ have contributed to the higher retail prices. For example, the base 256 GB iPhone 17 is listed at roughly 57% more than the U.S. retail price and 29% more than the price in Great Britain.

Overcoming Sanctions

Russia’s tech community is actively working to find solutions for the challenges posed by the sanctions. For instance, local firms like Sber and T-Bank have developed contactless payment services to bypass the ban on Apple Pay. Tech blogger Sergei Yepikhin, who is considering a switch from Android to an iPhone, expressed hope that local firms will continue to create solutions for smoother iPhone usage. Although using an Android device is currently easier in Russia, the appeal of Apple’s new features and camera updates is a strong pull for tech-savvy consumers.

Despite the hurdles, Apple’s market position in Russia remains strong. According to retailer M.Video Eldorado, Apple was the top smartphone brand by sales revenue in Russia in 2024, even though Chinese brand Xiaomi led in unit sales. This indicates that while more people might be buying cheaper Chinese phones, the revenue generated by Apple’s higher-priced devices still gives it a significant advantage in the market. The continued success of the iPhone 17 launch shows how resilient consumer behavior can be in the face of economic and political pressures.

Interesting Tidbit

Apple’s supply chain is incredibly complex and involves thousands of components from suppliers all over the world. A single iPhone contains parts from companies in dozens of different countries. This global network is part of what makes it so difficult for any one country to replicate the production process and explains why Russia’s “parallel import” system is so reliant on getting products from multiple sources to meet demand.