There is a lot to be said for consistency when it comes to pricing a phone. Take Apple, they announce a new phone (or any device) and that is the price for the next 12 months until the new model appears. Quite simply, you know where you stand. The Apple pricing model also helps maintain second hand prices.
Now lets look at the rest of the market. Samsung, Sony, Nokia and many many other companies release a new phone at a premium, often with anything from £50 to £100 extra in the first month at least. During the 12 month period the phone’s pricing can vary, often downwards. So for example the Samsung Note 3 at launch was sim free £650. Now it can be bought for under £500. In fact, my personal favourite online tech company Clove Technology is selling the Note 3 for £374.16 plus VAT. Link – http://www.clove.co.uk/samsung-galaxy-note-3
So lets take another example. The new Sony Xperia Z2. On the market for a launch price of around £550-560. Then Three UK offered it on their network for £470. And now after a few weeks Three UK are selling it at £549. WTF. How does a phone increase in value or vary by such a margin and within such a small time frame. Surely that is not right. Using Clove Technology again as an example, they have consistently offered the Z2 at £450 plus VAT. Link – http://www.clove.co.uk/sony-xperia-z2 . They also happen to offer it with one of the best deals at the moment. The deal includes a free £120 wireless speaker & noise-cancelling headphones bundle plus £80 digital content bundle. Very tempting I must say.
I just think it would be better if all manufacturers followed Apple’s example of leading with a fair price in the beginning and keeping it price accordingly.
Just one last point. Have you ever noticed that when a newer model is due to be released, the older model pricing is temporarily increased. I am sure this is partially due to trying to justify the higher priced newer model when released, so that there appears not to be such a large price differential between the old and new model.
What’s your thoughts?
Gavin's Gadgets & Photography 
From Mike
Price increases of old stock just prior to a new model; yes Gavin we’ve touched base on this before.
‘The Justification Tactic’, a subject I abhor, prominently found in smartphone sales.
Driven by pure greed and no respect to the individual it is the sellers last communication and offers you nothing back in return.
As to prices going up and down throughout the term, I have always called this ‘the yo-yo effect’.
It is maddening, all based on a persons logic for a sale.
Initially great when put in to practice correctly, but psychologically it destabilises the system and sends our minds into a money frenzy chasing offers and vouchers leaving you unsure “have I made the right decision?”.
There is a lot of common sense in what Apple do. I would call this ‘the Calming’ Effect’. You always know no matter what day it is or wherever you go the price will remain the same. It is an harmonious exchange where both parties are at peace with each other, a logical acceptance.
End Of……..
All the best mate
Mike
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