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Poor iPhone 5C sales could mean higher prices for everyone


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Old 03-12-2013, 09:57
Syntax Error
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A poor selling Apple product?

This must be a first!

Did people not see all the adverts & hype beforehand?
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Old 03-12-2013, 10:07
swordman
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But surely Apple make a bigger %tage profit on the 5C (if it was selling of course) on account of it basically being the year old iPhone 5 in a Primark frock?
Oh I am sure they do, phones don't come much cheaper than the 5c. I am sure increasing profits was some of the reasons behind it, however as you say I had to sell first.
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Old 03-12-2013, 10:07
konebyvax
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Cruel as it may seem, the problem is they can no longer bring back Jobs should they hit stormy waters...
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Old 03-12-2013, 10:19
kidspud
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Really?
Here there is no real data given. It might even mean survey sales fell YOY for all we know.
What is quite apparent via that Japan trend is that not that many buy the phone. It simply comes with the network contract.
So when you buy from a network in Japan, you do not have a choice if which phone you have? Wow, I didn't know that.
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Old 03-12-2013, 11:03
alanwarwic
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Indeed it was.

It is a very good example of how by restricting choice you create pent up demand.
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Old 03-12-2013, 13:44
kidspud
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Indeed it was.

It is a very good example of how by restricting choice you create pent up demand.
It was, or is?

The DoCoMo website looks pretty much like any sales site over here, in that you choose a phone and a package.

I don't see how that restricts choice.
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Old 03-12-2013, 14:33
enapace
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I think it perfectly safe to say that the iPhone 5C was a massive failure even Apple have unofficially said that as they have significantly slowed production down, it wasn't priced specially in the UK on sim free or on contract at a price where it even looked tempting with the 5S being only slightly more.

Apple need to realise if you going to offer a mid tier device which even according to Apple this was with the 4S being the budget device you can only really price it around the £200-300 mark. On contract around the high 20's to low 30's it may have sold better than.
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Old 03-12-2013, 14:51
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For all those that having IOS and/or being seen with iPhone isn't a must, the Motorola Moto G renders the 5C completely redundant. The 5C's price is actually embarrassing when pitted against a phone like the Moto G, the equivalent model of which can be had for £350 less. I mean, it wasn't selling BEFORE the Moto G saw the light of day. Now what?
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Old 03-12-2013, 15:03
enapace
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For all those that having IOS and/or being seen with iPhone isn't a must, the Motorola Moto G renders the 5C completely redundant. The 5C's price is actually embarrassing when pitted against a phone like the Moto G, the equivalent model of which can be had for £350 less. I mean, it wasn't selling BEFORE the Moto G saw the light of day. Now what?
I'm fairness the Moto G doesn't have LTE support which to me is quite a valuable feature with Three launching 4G. But I completely agree with you there is far better devices to get for your money than the 5C.
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Old 03-12-2013, 15:38
alanwarwic
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I don't see how that restricts choice.
That sudden availability of the iPhone ensured massive network sales in Japan.

If you consider that world iPhone market share was 33% higher just 12 months ago the new markets are important for Apple.
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Old 03-12-2013, 16:19
qasdfdsaq
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Really?
Here there is no real data given. It might even mean survey sales fell YOY for all we know.
What is quite apparent via that Japan trend is that not that many buy the phone. It simply comes with the network contract.
Guess you haven't been following recent market reports then:

http://tctechcrunch2011.files.wordpress.com/2013/11/screen-shot-2013-11-14-at-09-57-58.png?w=638&h=197
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Old 03-12-2013, 16:21
kidspud
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That sudden availability of the iPhone ensured massive network sales in Japan.

If you consider that world iPhone market share was 33% higher just 12 months ago the new markets are important for Apple.
I'm now not sure what you meant earlier. You seem to be claiming the success of the iPhone sales in Japan were due to the customer having no choice and that the phone was forced on them as part of the package.

Now you seen to be saying that the success of iPhone sales in Japan is because it is now available.

That to me would imply customers are choosing the iPhone and it isn't being forced on them..

Do you think new markets aren't important to google? Of course, the big market of China doesn't seem to have been good news for google if the report is to be believed.
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Old 03-12-2013, 21:25
tdenson
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I find it amusing that amidst all the doom and gloom about Apple and the 5C in particular on this thread, the Apple stock price has risen from $460 to $560 since they started selling the 5C. Furthermore analysts are advising customers to buy Apple stock as they consider it is still well undervalued.
Most of this doom and gloom I'm afraid, is wishful thinking.
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Old 03-12-2013, 21:51
Stiggles
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I find it amusing that amidst all the doom and gloom about Apple and the 5C in particular on this thread, the Apple stock price has risen from $460 to $560 since they started selling the 5C. Furthermore analysts are advising customers to buy Apple stock as they consider it is still well undervalued.
Most of this doom and gloom I'm afraid, is wishful thinking.
The stock is very good. However, that doesn't take away the fact the 5C is a global disaster. An ad on here just now advertising it for 40% off! I saw a report the other day saying the 5S is outselling the 5C 5 to 1 i think. That's embarrassing for them.

Don't get me wrong, its not a bad phone, its just vastly, in fact hideously overpriced by about £200.
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Old 03-12-2013, 22:02
Steven L Hunter
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But remember it's unapologetically plastic
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Old 04-12-2013, 00:14
tdenson
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The stock is very good. However, that doesn't take away the fact the 5C is a global disaster. An ad on here just now advertising it for 40% off! I saw a report the other day saying the 5S is outselling the 5C 5 to 1 i think. That's embarrassing for them.

Don't get me wrong, its not a bad phone, its just vastly, in fact hideously overpriced by about £200.
I haven't forgotten that I said I would eat my words and agree it was a failure if Apple reduced the price before it was due a refresh. I am still waiting - although I may yet be proved wrong, I agree it has not been an overwhelming success
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Old 04-12-2013, 01:27
swordman
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The already large and further potential for stock purchase has an effect on stock price.

So all the retailers slashing prices doesn't make you very word hungry then? How about the desperate trade in programmes in India say to help the 5c sell, that make you peckish?
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Old 04-12-2013, 02:41
JCR
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Three were sending out texts yesterday offering the 5C with no upfront costs and 5000 texts/500 minutes/unlimited data for £37 a month for 2 years.

I'd assume it's going to get cheaper as they try to get rid of them.
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Old 04-12-2013, 06:47
konebyvax
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Yes, the price cuts will inevitably come via the contract route as they are easier to 'hide' compared to just reducing the PAYG/SIM free price. Expect 5C contracts to get cheaper and cheaper from now on...but still not cheap enough imo when you can purchase a 15gb Moto G from Tesco for as little as £119 (so less than £5/mth over 24 months) then use it with a 30 day The One Plan at £18/mth, so total £23/mth for a superb package with just a 30 day commitment as opposed to a 24 month one.
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Old 04-12-2013, 06:58
kidspud
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Price drops within contracts happen to all phones including every iPhone.

It's interesting that the moto g can be had for £100. I'm surprised some on here have not concluded that this price drop on a phone that has been out less than a month means it is a sales disaster
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Old 04-12-2013, 07:09
konebyvax
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Price drops within contracts happen to all phones including every iPhone.

It's interesting that the moto g can be had for £100. I'm surprised some on here have not concluded that this price drop on a phone that has been out less than a month means it is a sales disaster

OK. The Moto G is a sales disaster and never goes out of stock at Tesco. Ever. Happy now?
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Old 04-12-2013, 07:15
kidspud
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OK. The Moto G is a sales disaster. Happy now?
Is it? That's not good
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Old 04-12-2013, 07:23
Aye Up
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I think over the next 2/3 years you will see these retrictive practises from Apple either outlawed or in the least reduced. There is change a foot within the EU in terms of roaming costs and related domestic. Networks are going to find being able to subsidise what is in effect mid tier device(s) and operate a reasonble margin of profit. I understand EE is already waving its cock at Apple to extract a more equitable agreement, being the biggest network here Apple have no choice to at least listen. I wouldn't be too surprised in the next 12 months if the networks got together and forced concessions out of Apple, its long overdue I think. The way Apple operates actually reduces competition in the longer term, I have heard tidbits that the EC is looking into sales practises of some mobile manufacturers (specifically Apple and Samsung) with a view to launching a full probe. As much as we whinge about the EU/EC they are not frightened of taking on big American companies and cutting them down to size.
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Old 04-12-2013, 07:44
kidspud
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I think over the next 2/3 years you will see these retrictive practises from Apple either outlawed or in the least reduced. There is change a foot within the EU in terms of roaming costs and related domestic. Networks are going to find being able to subsidise what is in effect mid tier device(s) and operate a reasonble margin of profit. I understand EE is already waving its cock at Apple to extract a more equitable agreement, being the biggest network here Apple have no choice to at least listen. I wouldn't be too surprised in the next 12 months if the networks got together and forced concessions out of Apple, its long overdue I think. The way Apple operates actually reduces competition in the longer term, I have heard tidbits that the EC is looking into sales practises of some mobile manufacturers (specifically Apple and Samsung) with a view to launching a full probe. As much as we whinge about the EU/EC they are not frightened of taking on big American companies and cutting them down to size.
Do you not think that would be a restrictive practice?
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Old 04-12-2013, 08:53
KieranDS
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Three were sending out texts yesterday offering the 5C with no upfront costs and 5000 texts/500 minutes/unlimited data for £37 a month for 2 years.

I'd assume it's going to get cheaper as they try to get rid of them.
That's only a few pounds cheaper than my 4G iPhone 5S contract. I wouldn't class that as being cheap.
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