Apple in China Report 2017: A Deep Dive Into Apple’s China Troubles

China Channel Reports

Below present the slides from a 110 page report about Apple’s current situation in the China market. Parts of this report were delivered for the first time in a keynote presentation delivered by Matthew Brennan at the DHL APAC Regional Conference in Shanghai.

There is wild speculation across the Chinese internet that Apple and WeChat are now in some form of conflict, we delve deep into the public opinion on this topic. The 3 core arguments of this presentation:

  • Apple’s services ecosystem in China is very weak and in many key areas non existent.
  • The perception of Apple’s brand amongst Chinese consumers has changed for the worse.
  • Chinese smartphone brands are rapidly gaining in strength, sohistication and loca market share.

Contact us at info@chinachannel.co to get a PDF version of this report and/or for speaking equiries.

Apple in China Report

APPLE IN CHINA REPORT MATTHEW BRENNAN & SAMIN SHA CHINACHANNEL.CO

MATTHEW BRENNAN SPEAKER, AUTHOR, HOST, CO-FOUNDER OF CHINA CHANNEL MATTHEW IS A WELL-KNOWN SPEAKER AND WRITER ON THE TOPICS OF WECHAT AND THE CHINA DIGITAL ECOSYSTEM. PARTS OF THIS REPORT WERE FIRST DELIVERED AT THE DHL APAC REGIONAL CONFERENCE SHANGHAI IN MAY 2017

WE CONTINUE TO BE VERY ENTHUSIASTIC ABOUT OUR OPPORTUNITY IN CHINA.” TIM COOK MAY 2017

WE DIDN’T FIND MUCH TO BE ENTHUSIASTIC ABOUT…

OUR 3 CORE ARGUMENTS BACKED BY THE BEST PUBLICLY AVAILABLE STATISTICS AND DATA WE COULD FIND. 1. APPLE’S SERVICES ECOSYSTEM IN CHINA IS VERY WEAK AND IN MANY KEY AREAS NON EXISTENT. 2. THE PERCEPTION OF APPLE’S BRAND AMONGST CHINESE CONSUMERS HAS CHANGED FOR THE WORSE.

PART 1 APPLE’S CHINA SERVICES ECOSYSTEM

“THE FUTURE OF THIS COMPANY IS GOING TO BE IN SERVICES.” TIM COOK

SERVICES IS APPLE’S ONLY SECTOR WITH CONSISTENT & STEADY GROWTH. SERVICES PLAY A KEY ROLE IN LOCKING IN USERS

TO MANY AMERICAN IPHONE USERS IT WOULD BE UNTHINKABLE TO CHANGE THEIR IPHONE TO AN ANDROID DEVICE. THEY ARE LOCKED IN TO APPLE SERVICES.

TO MOST CHINESE IPHONE USERS THE IPHONE IS JUST A LUXURY PHONE. THEY HAVE NO SIGNIFICANT INVESTMENT IN APPLE’S SERVICES ECOSYSTEM

APPLE’S CHINA SERVICE ECOSYSTEM HAS BEEN SYSTEMATICALLY STRIPPED AWAY BY LOCAL COMPETITORS

IBOOKS / ITUNES

FROM APRIL 2016 IBOOKS AND ITUNES STORE HAVE BEEN BLOCKED IN CHINA. CHINESE AUTHORITIES ORDERED THEM TO BE TAKEN OFFLINE.

“THOSE 2 STORES* FOR THE MONTHS THAT WE HAD THEM OPERATIONAL, WHICH WAS SEVERAL MONTHS, THE REVENUE WAS LESS THAN $1 MILLION.” TIM COOK, JULY 2016

IBOOKS WAS AVAILABLE IN CHINA FOR APPROXIMATELY HALF A YEAR. IT MADE VIRTUALLY NO IMPACT ON THE CHINESE MARKET.

ITUNES MOVIE WAS SHUT DOWN IN LATE APR 2016 A SIMILAR STORY IN VIDEO. APPLE MADE LITTLE IMPACT.

iCloud

ICLOUD USAGE IS LOW. PRICING IS OUT OF LINE WITH LOCAL CHINESE COMPETITORS ICLOUD CHINA PRICING

APPLE MAPS

CHINESE PLAYERS DOMINATE THE MARKET WITH OFFERINGS TAILORED TO LOCAL TASTES.

APPLE PAY

“I WOULD RATE OUR FIRST-DAY PERFORMANCE (IN CHINA) AS 1,000, IF THE FULL SCORE IS 100.” JENNIFER BAILEY, VICE PRESIDENT OF APPLE PAY, COMMENTING ON APPLE PAY DEBUT IN CHINA APPLE PAY LAUNCH FEB 2016

PARTNERED WITH CHINA UNIONPAY, CHINA’S SOLE DEBIT CARD NETWORK WITH OVER 6 BILLION CARDS AND ACCEPTED ACROSS ALL MAJOR STORES AND MALLS IN CHINA. BACKED BY 19 MAJOR CHINESE BANKS, INCLUDING THE BIG FOUR. 3 MILLION CONSUMERS LINKED THEIR BANK CARDS TO APPLE PAY IN THE FIRST 2 DAYS, ACCORDING TO CHINA MERCHANTS BANK. * CHINA BANK CARD INDUSTRY DEVELOPMENT REPORT (2017) APPLE HAD AMPLE REASONS TO BE OPTIMISTIC

PAYMENT METHODS IN CONVENIENCE STORES: BEIJING ZHONGGUANCUN CASH UNION PAY CREDIT+DEBIT CARDS APPLE PAY ALIPAY + WECHAT PAY QR CODE PAYMENTS CHINACHANNEL.CO A YEAR LATER…

SOLID UNDERSTANDING ONLY CASHIER UNDERSTANDS NO COMPREHENSION CONVENIENCE STORE STAFF UNDERSTANDING OF APPLE PAY

MOBILE PAYMENT APPS (E.G. WECHAT PAY) CASH DEBIT & CREDIT CARDS SMARTPHONE BUILT-IN PAYMENT TOOL (E.G. APPLE PAY) DATA: TENCENT PENGUIN INTELLIGENCE SURVEY PLATFORM 1ST TIER CITIES (BEIJING, SHANGHAI) 2ND TIER CITIES 3RD TIER CITIES 4TH TIER CITIES & BELOW APPLE PAY CLEARLY STRUGGLING

CHINESE MOBILE PAYMENT MARKET SHARE Q4 2016 ALIPAY 54.1% TENPAY 37.02% SMALL PLAYERS 7.85% OTHERS INCLUDING APPLE PAY 1.03%

IMESSAGE

REASONS WHY IMESSAGE IS HARDLY USED IN CHINA 1. NON CROSS PLATFORM: CHINA MARKET DOMINATED BY ANDROID DEVICES 2. EASY TO BE SPAMMED: BLACK MARKET IN SELLING PHONE NUMBERS A SERIOUS ISSUE IN CHINA 3. USER HABITS: LOT OF USERS CONFUSE IMESSAGE WITH SMS OH, AND 1 MORE THING…

WeChat

TIME SPENT ON MOBILE IN CHINA DATA SOURCE: QUESTMOBILE, TRUSTDATA AND HILLHOUSE ESTIMATES 45% 35% 10% EVERYTHING ELSE 10% TENCENT OTHER

50% OF USERS SPEND 90 MINUTES PER DAY IN WECHAT SOURCE: WECHAT TEAM

TIME SPENT IN WECHAT 2015 VS. 2016 DATA: QUEST MOBILE (DEC 2016)

APPLE MUSIC

LATE TO THE (CHINA) MARKET WITH AN INFERIOR PRODUCT THAT IS OVERPRICED” ROBERT LYONS, VISITING LECTURER AT NORTHEASTERN UNIVERSITY IN BOSTON, APR 2017

TOP MUSIC APPS IN CHINA, MAR 2017 MILLIONS OF MONTHLY ACTIVE USERS

APP STORE

THE APP STORE IS APPLE’S ONLY BRIGHT SPOT IN SERVICES CHINESE APPLE USERS HAVE NO CHOICE BUT TO USE IT REVENUE FROM CHINA’S APP STORE IS INCREASING FAST

GLOBAL APP STORE REVENUE YEAR OVER YEAR GROWTH

“STRONG PURCHASING POWER AND CULTURAL FACTORS WILL HELP CHINA ACCOUNT FOR A STAGGERING 41% OF MOBILE APP STORE CONSUMER SPEND (BOTH IOS AND ANDROID) BY 2021.” APP ANNIE, MARKET FORCAST, 2016-2021

DATA: APPLE & APP ANNIE *2021 ESTIMATES ACROSS ALL MOBILE APP STORES ALL DATA IS CALENDAR YEAR.

GAMES ACCOUNT FOR THE MAJORITY OF IOS REVENUE ESPECIALLY IN CHINA

ALMOST HALF OF CHINESE MOBILE GAME REVENUE COMES FROM TENCENT. CHINESE MOBILE GAME REVENUE

“WE HAD EXTREMELY STRONG SERVICES GROWTH DURING THE QUARTER (2017 Q1) IN CHINA.” TIM COOK, MAY 2017

TENCENT’S MOBILE GAME REVENUE GROWTH

Q1 2017 WAS DRIVEN HEAVILY BY THE SMASH HIT TITLE “HONOR OF KINGS” WITH 50+ MILLION DAILY ACTIVE USERS

CONCLUSION: APPLE’S CHINA SERVICES ECOSYSTEM IS VERY WEAK WHEN COMPARED WITH OTHER MAJOR MARKETS. THEY HAVE CONSISTENTLY FAILED TO LOCALIZE THEIR OFFERINGS TO LOCAL TASTES. 2 SERVICES (ITUNES, IBOOKS) HAVE BEEN OUTRIGHT BLOCKED, MOSTLY LIKELY DUE TO INABILITY OR UNWILLINGNESS TO MEET LOCAL GOVERNMENT REQUIREMENTS. THE DATA SHOWS THAT NEITHER OF THESE SERVICES HAD ANY SIGNIFICANT IMPACT ON THE LOCAL MARKET DURING THEIR TIMES OF OPERATION. THE SINGLE BRIGHT SPOT SEEMS TO BE IN APP PURCHASE REVENUE FROM APPS DOWNLOADED THROUGH THE APP STORE. IT’S CLEAR THAT A SIGNIFICANT PROPORTION OF APPLE’S STRONG CHINA SERVICE GROWTH IN 2017 IS BEING DRIVEN BY TENCENT’S MOBILE GAMES SUCH AS THE SMASH HIT TITLE ‘HONOR OF KINGS’.

PART 2 CHINESE PUBLIC OPINION

KNOCK OUT APPLE! ARTICLE FROM TECH INDUSTRY INFLUENCER KESO

“ANDROID DEVICES KEEP GETTING BETTER AND BETTER, BUT I FEEL APPLE LITERALLY MAKES NO PROGRESS. SOONER OR LATER I BELIEVE ANDROID WILL EXCEED IOS” CHINESE NETIZENS’ COMMENTS

A TRICKY RELATIONSHIP

2 MILESTONE EVENTS HAD HUGE IMPACT IN SHIFTING PUBLIC OPINION WECHAT LAUNCHED MINI PROGRAMS WECHAT FORCED TO SHUT DOWN A REWARD FEATURE FOR IOS USERS

IN JAN 2017 WECHAT LAUNCHED ‘MINI PROGRAMS’ A FORM OF LIGHT APPS RUNNING WITHIN WECHAT WECHAT TEAM ANNOUNCED THE IDEA A YEAR PREVIOUS UNDER THE NAME ‘APP ACCOUNTS’.

“APPLE DIDN’T ALLOW US TO CALL THEM APP ACCOUNTS. PERHAPS IT’S A GOOD THING.” PONY MA, FOUNDER & CEO OF TENCENT MINI PROGRAMS ARE COMMONLY PERCEIVED AS A LONG TERM THREAT TO APP STORE

THE LAUNCH DATE OF MINI PROGRAMS WAS DELIBERATLY TIMED… ALLEN ZHANG, THE FATHER OF WECHAT, POSTED ON WECHAT RIGHT BEFORE THE LAUNCH OF MINI PROGRAMS, AS A RESPECT TO STEVE JOBS AND THE 10TH ANNIVERSARY OF IPHONE.

APPLE APP DEVELOPER ECOSYSTEM

WECHAT MINI PROGRAM DEVELOPER ECOSYSTEM

USERS CAN TIP CONTENT CREATORS VIA WECHAT WALLET WITH NO CHARGE FROM WECHAT WECHAT SHUT DOWN ITS REWARD FEATURE TO IOS USERS IN APR 2017 REWARD AMOUNTS USUALLY LESS THAN $1

APPLE DISALLOWED WECHAT TO CONTINUE USING THE FEATURE THROUGH WECHAT PAY, INSISTING THE REWARD SHOULD GO THROUGH IN-APP PURCHASE (IAP) WHICH MEANS APPLE WOULD RECEIVE 30% OF ALL REWARDS. MASSIVE DISCUSSION FOLLOWED ON CHINESE MEDIA.

“FOLLOWERS WANT TO TIP THEIR FAVORED AUTHORS, NOT APPLE. BUT APPLE INSISTS TO IMPOSE 30% CUT VIA IAP* ANYWAY. THIS IS ROBBERY” KESO, CHINESE TECH INDUSTRY INFLUENCER APR 2017 * IAP: IN APP PURCHASE

AN EASY AND OBVIOUS WORK-AROUND AFTER WECHAT’S ANNOUNCEMENT TO DISABLE THE REWARD FEATURE FOR IOS USERS, CONTENT CREATORS SIMPLY SWITCHED TO USING QR CODES TO GET AROUND PAYING THE 30% TO APPLE.

CHINESE CONTENT CREATOR’S INCOME STRUCTURE 2016 ADS E-COMMERCE TIPPING REWARDS 3.80% OTHER DATA: IIMEDIA TIPPING REWARD MONEY IS SMALL CHANGE FOR CHINESE CONTENT CREATORS.

APPLE ESSENTIALLY SHOT THEMSELVES IN THE FOOT 1. IT MADE THEM LOOK GREEDY. 2. THEY PISSED OFF THOUSANDS OF INFLUENTIAL CONTENT CREATORS ACROSS CHINA. 3. THE CONTENT CREATORS EASILY FOUND A WAY TO AVOID USING IAP.

RECENTLY, APPLE HAS STARTED SENDING OUT WARNING EMAILS TO MANY CHINESE DEVELOPERS. THIS SPARKED WIDE SPECULATION THAT WECHAT MIGHT BE DELISTED FROM APP STORE. THE QUESTION IS: DID WECHAT TEAM ALSO RECEIVE THIS WARNING EMAIL? THE SITUATION GETS WORSE

DO YOU WISH WECHAT WOULD DEVELOP THEIR OWN OPERATING SYSTEM? 20K+ RESPONDENTS

MENTIONS OF THE PHRASE “WECHAT DELISTED FROM IOS” HAVE SPIKED RECENTLY ON WECHAT MAY 26TH

“THERE’S NO WAY THAT APPLE COULD TAKE ON WECHAT IN CHINA, DELISTING WECHAT FROM THE APP STORE IS EQUAL TO APPLE KICKING THEMSELVES OUT OF CHINA. USERS WILL SWITCH TO ANDROID IN THE BLINK OF AN EYE.” CHINESE NETIZENS’ COMMENTS

CHINESE IPHONE USERS: WHAT WOULD YOU DO IF WECHAT WAS DELISTED FROM THE APP STORE? I’D USE ANOTHER MESSENGER APP I’D IMMEDIATELY CHANGE TO ANDROID I’D FIND A WAY TO JAILBREAK MY IPHONE ONLINE SURVEY 4,000+ RESPONDENTS

ANDROID USERS: IF WECHAT WAS DELISTED FROM THE IPHONE APP STORE…

IF YOU HAD TO CHOOSE BETWEEN WECHAT AND APPLE, WHICH ONE WOULD GO WITH? 500 RESPONDENTS WECHAT 88% APPLE 4% NEITHER 6%

CONCLUSION: APPLE HAS BLUNDERED RECENTLY AND DAMAGED THEIR IMAGE IN CHINA. THE MOVE TO BLOCK REWARD FEATURES REVEALED THEM TO BE OUT OF TOUCH WITH THE LOCAL MARKET. APPLE’S OFFICIAL RESPONSES TO CRITICISM WERE POOR. CHINESE USERS ARE FAR MORE LOYAL TO LOCAL PRODUCTS SUCH AS WECHAT THAN APPLE. WECHAT IS CONTINUING TO EXPAND BEYOND MESSAGING INTO DIRECTIONS THAT IN THE LONG TERM MAY POTENTIALLY PLACE IT INTO COMPETITION WITH THE APP STORE.

PART 3 LOCAL CHINESE SMARTPHONE BRANDS INCREASING IN STRENGTH, SOHISTICATION AND LOCAL MARKET SHARE

U.S. SMARTPHONE MARKET SHARE TOP FIVE IN 2017 Q1

CHINA SMARTPHONE MARKET SHARE TOP FIVE IN 2017 Q1

IPHONE SALES MARKET SHARE IN CHINA IS SHRINKING FAST

“(CHINESE CUSTOMERS) TIRE OF LAST YEAR’S, OR EVEN LAST MONTH’S, MODEL. ONE OF APPLE’S PROBLEMS IN CHINA IS ITS PRODUCT REFRESHES… OR LACK THEREOF.” BRYAN MA, TECHNOLOGY INDUSTRY ANALYST AT IDC, AUG 2016

CHINA IS JAMMED FULL OF LOCAL COMPETITORS

TOP 5 SMARTPHONE VENDORS’ MARKET SHARE IN CHINA: 2011-2016 DATA: IDC QUARTERLY MOBILE PHONE TRACKER 2012 APPLE LED THE PACK

TOP 5 SMARTPHONE VENDORS’ MARKET SHARE IN CHINA: 2011-2016 DATA: IDC QUARTERLY MOBILE PHONE TRACKER 2017 Q1 LOCAL BRANDS ARE RACING AHEAD

XIAOMI’S RAPID RISE AND FALL STUNS MANY

IPHONE RETENTION RATES (%)

SMARTPHONE BRAND LOYALTY CHINA MARKET BRAND RETENTION RATE (%)

HUAWEI IS THE NUMBER 1 BRAND CHINESE IPHONE USERS DEFECT TO

LOCAL PLAYERS HAVE BIG AMBITION

“WE HOPE THAT IN 3 YEARS (2019) OUR MARKET SHARE CAN BE TOP 2 AND IN 5 YEARS (2021) OUR MARKET SHARE CAN BE TOP 1.” RICHARD YU, HEAD OF HUAWEI CONSUMER DIVISION, FEB 2016.

MANY HUAWEI PHONES ARE NOT CHEAP! CHINACHANNEL.CO HUAWEI MATE 9 PORSCHE DESIGN TYPICAL CHINA RETAIL PRICE $1,300 USD (8,999 RMB)

“PEOPLE LOVE OUR HIGH END SMARTPHONES, AND WE CAN’T WAIT TO TAKE ON DIRECT COMPETITION WITH APPLE (GLOBALLY)” RICHARD YU, HEAD OF HUAWEI CONSUMER DIVISION, NOV 2016

TOP 3 SMARTPHONE VENDORS GLOBAL MARKET SHARE 2012-2016

LOCAL PLAYERS HAVE BIG AMBITION

“OPPO IS LARGELY UNKNOWN IN THE WESTERN WORLD, BUT ITS BRAND IS WILDLY POPULAR IN CHINA AND GROWING RAPIDLY ACROSS INDIA.” NEIL MAWSTON, EXECUTIVE DIRECTOR AT STRATEGY ANALYTICS

OPPO’S FLAGSHIP MODEL CHINACHANNEL.CO OPPO RS9 TYPICAL CHINA RETAIL PRICE $405 USD (2,799 RMB) NEVER HEARD OF IT? CHECK OUT THE NEXT SLIDE…

BEST SELLING PHONE MODELS WORLDWIDE Q1 2017

WHY ARE OPPO PHONES SO POPULAR? THE SECRET SAUSE

MARKETING SLOGAN “5 MINUTES CHARGING FOR A 2 HOURS PHONE CALL” REACHING CONSUMERS’ PAIN POINTS IN AN EASY TO UNDERSTAND AND REMEMBER WAY. A PHONE WITH NO POWER IS A CHINESE CONSUMER’S WORST NIGHTMARE. INTENSE TV AND METRO ADVERTISING CAMPAIGN.

OPPO MARKETING: THE BEST CAMERA FOR SELFIES. TARGETING YOUNG FEMALES

OPPO’S COMMISSION SYSTEM INCENTIVIZES BOTH DISTRIBUTORS AND SALES STAFF TO STAY HIGHLY MOTIVATED, ENHANCING THE IN-STORE EXPERIENCE.

OPPO SPENT A FORTUNE TO UPHOLD ITS BRAND. SIGNING UP A-LIST STARS AND SPONSORING POPULAR TV SHOWS, OPPO IS PERCEIVED AS A PREMIUM BRAND, ESPECIALLY IN CHINA’S DEVELOPING AREAS.

OPPO HAS 200,000+ DISTRIBUTION STORES IN CHINA OFFLINE STORES CONTRIBUTE 90%+ SALES

APPLE OPERATES 40 CHINA APPLE STORES

“I HONESTLY DON’T THINK APPLE UNDERSTANDS THE LOCAL CULTURE ENOUGH TO ACHIEVE LOCAL PENETRATION (IN CHINA)” KITTY FOK, MANAGING DIRECTOR OF THE CHINA GROUP AT IDC, APR 2017

VERY RECENTLY APPLE HAS REALIZED THE IMPORTANCE OF LOCALIZATION AND SET UP 4 CHINESE R&D CENTERS IN 2017

“WE ARE LOOKING FORWARD TO WORKING WITH MORE LOCAL PARTNERS AND ACADEMIC INSTITUTIONS THROUGH THE EXPANSION OF R&D CENTERS IN CHINA.” DAN RICCIO, SENIOR VP OF HARDWARE ENGINEERING AT APPLE, MAR 2017.

THIS YEAR’S WWDC SAW APPLE INTRODUCE SOME CHINA LOCALIZATION FEATURES

APPENDIX APPLE OFFICIAL DATA FOR CHINA

APPLE REVENUE GROWTH BY REGION Q1 2017

YEAR ON YEAR REVENUE GROWTH APPLE GLOBAL GROWTH BY REGION CHINA ALL OTHER REGIONS 5 CONSECUTIVE QUARTERLY REVENUE DECREASES YEAR ON YEAR

APPLE REVENUE BY REGION Q2 2017

CONCLUSION: APPLE IS UNQUESTIONABLY DOING VERY WELL GLOBALLY BUT CHINA POSES A TOTALLY DIFFERENT ENVIRONMENT. CHINESE SEE THE IPHONE AS A LUXURY PHONE RATHER THAN AN ECOSYSTEM, WHICH MAKES IT MUCH HARDER TO LOCK THEM IN. THIS IS REFLECTED IN POOR CHINA IPHONE RETENTION RATES. APPLE’S SERVICES ECOSYSTEM IS WEAK WITH REVENUE GROWTH MOSTLY BEING DRIVEN BY A 30% CUT FROM IN APP MOBILE GAME PURCHASES THAT ARE DEVELOPED BY LOCAL PLAYERS SUCH AS TENCENT. THE PERCEPTION OF APPLE’S BRAND IS SHIFTING, THEY ARE INCREASINGLY BEING PERCEIVED AS ANTI-INNOVATORS: A COMPANY ABUSING THEIR PRIVILEGED POSITION OF POWER TO BULLY OTHERS. LOCAL SMART PHONE BRANDS ARE CLOSING THE GAP THROUGH BETTER AND BETTER HARDWARE TOGETHER WITH EXCEPTIONALLY STRONG MARKETING AND SALES. WE CAN STILL FORESEE A SALES SURGE ON THE RELEASE OF THIS YEAR’S HOTLY ANTICIPATED NEW ANNIVERSARY IPHONE. HOWEVER, IF THIS HARDWARE CENTRIC BUSINESS PATTERN DOESN’T CHANGE, CONTINUED TURBULENCE IN CHINA FOR APPLE IS A CERTAINTY. MUCH DEEPER LOCALIZATION OF FEATURES IS A MUST FOR APPLE TO COMPETE.

SAMIN SHA SENIOR ANALYST AT CHINA CHANNEL SAMIN PREVIOUSLY HELD POSITIONS AT HUAWEI INTERNATIONAL MARKETING AND LATER AT ADWO, ONE OF CHINA’S LARGEST CHINESE MOBILE AD PLATFORMS. WITH 10+ YEARS OF CHINA INTERNET INDUSTRY EXPERIENCE SAMIN HEADS UP RESEARCH AT CHINA CHANNEL.

Apple in China Report

APPLE IN CHINA REPORT MATTHEW BRENNAN & SAMIN SHA CHINACHANNEL.CO

Contact us at info@chinachannel.co to get a PDF version of this report and/or for speaking equiries.