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Apple Slashes Prices on iPhone 4/4S by 15-25% in Brazil

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macrumors bot
Original poster
Apr 12, 2001
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As noted by O Globo, Apple today made significant cuts to its pricing for the iPhone 4 and 4S in Brazil, lowering the price of the 8 GB iPhone 4 from R$ 1499 (US$741) to R$ 1099 (US$544) while dropping the 16 GB iPhone 4S from R$ 1999 (US$989) to R$ 1699 (US$840).

iphone_4s_brazil_1699.jpg
New iPhone 4/4S pricing in Brazil​
Apple's standard sales arrangement in Brazil includes financing of 12 monthly payments, but customers willing to pay in full with cash can order by phone for a 10% discount, bringing pricing down even further to R$ 989 (US$489) and R$ 1529 (US$756). It appears to be unclear if there have been any changes to iPhone 5 pricing, as Apple does not sell the device through its online store in Brazil.

In the United States, Apple sells the 8 GB iPhone 4 unlocked and unsubsidized for $450 before taxes, making Brazilian pricing fairly competitive with Apple's U.S. pricing. The 16 GB iPhone 4S is priced at $549 unlocked in the U.S., meaning that Brazilians are still paying a relatively significant premium for that device even with the 15% price cut.

iphone_4s_brazil_1999.jpg
Old iPhone 4/4S pricing in Brazil​
The report does not note the reason for the significant price cut, but it seems likely that Apple's partnership with Foxconn to bring iPhone and iPad production to Brazil in order to avoid extremely high import taxes may now be yielding benefits. Apple has, however, not yet reduced pricing on the iPad in Brazil.

Late last year, Apple began hiring for its first retail stores in Brazil, seeking to raise its profile in the world's fifth most populous country.

Article Link: Apple Slashes Prices on iPhone 4/4S by 15-25% in Brazil
 
Article Link
https://www.macrumors.com/2013/04/01/apple-slashes-prices-on-iphone-44s-by-15-25-in-brazil/
C

ChrisA

macrumors G5
Jan 5, 2006
12,578
1,694
Redondo Beach, California
thelink said:
Where's the free ones? We have 'em here in the US :cool:
Click to expand...

There are no free phones. Just try it. Go to the Apple store and ask for a free phone. They do not give it to you until after you sign a contract saying you will pay something like $2,000. It is pretty clear that loan payments are bundled with the air time.
 
tdtran1025

tdtran1025

macrumors 6502
Dec 26, 2011
275
0
At these prices in a poor country like B, Apple is doomed, losing out to Android sets from China. Cooks won't last 2 years.
 
Michael Scrip

Michael Scrip

macrumors 604
Mar 4, 2011
7,929
12,480
NC
tdtran1025 said:
At these prices in a poor country like B, Apple is doomed, losing out to Android sets from China. Cooks won't last 2 years.
Click to expand...

LOL... you forget about the 30-40 million iPhones they DO sell elsewhere around the globe every 3 months.

Android in China? Too many $150 phones sold in China that are basically sold as featurephones that just happen to be running Android?

Yeah... Apple is terrified of those :p

You summed it up with your first sentence... "prices in a poor country"

Nothing to see here... please move along... :D
 
B

Breinhar

macrumors newbie
Dec 10, 2010
3
0
skaertus said:
That simply doesn't exist here in Brazil...
Click to expand...

You sir, need to google sarcasm.

----------
irDigital0l said:
Its called a 2 year contract.

Its equivalent of selling you soul.
Click to expand...



You sir, need to google sarcasm.

----------
ChrisA said:
There are no free phones. Just try it. Go to the Apple store and ask for a free phone. They do not give it to you until after you sign a contract saying you will pay something like $2,000. It is pretty clear that loan payments are bundled with the air time.
Click to expand...

You sir, need to google sarcasm.
 
I

inlinevolvo

macrumors 6502
Jul 11, 2012
359
3
Michael Scrip said:
LOL... you forget about the 30-40 million iPhones they DO sell elsewhere around the globe every 3 months.

Android in China? Too many $150 phones sold in China that are basically sold as featurephones that just happen to be running Android?

Yeah... Apple is terrified of those :p

You summed it up with your first sentence... "prices in a poor country"

Nothing to see here... please move along... :D
Click to expand...

So then why is apple working on a lower cost option? Or why did they come out with the iPad mini. Competition from cheap android phones are fierce. And apple knows it. Android while younger already enjoys a larger worldwide market share. iPhones sell well in the US because of the contracts. They don't sell as well elsewhere.
 
Michael Scrip

Michael Scrip

macrumors 604
Mar 4, 2011
7,929
12,480
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inlinevolvo said:
So then why is apple working on a lower cost option? Or why did they come out with the iPad mini. Competition from cheap android phones are fierce. And apple knows it. Android while younger already enjoys a larger worldwide market share. iPhones sell well in the US because of the contracts. They don't sell as well elsewhere.
Click to expand...

When Apple announces this new lower cost iPhone then we can continue the discussion.

We're now talking about Apple dropping the price of the two-year old iPhone TO $544 in Brazil.

And you wonder why "Android" is "winning" in poor countries?

Anyway... congrats to Google for getting the highest number on the market share chart.

But market share based on ultra cheap hardware isn't exactly the trophy you think it is...
 
I

inlinevolvo

macrumors 6502
Jul 11, 2012
359
3
Michael Scrip said:
When Apple announces this new lower cost iPhone then we can continue the discussion.

We're now talking about Apple dropping the price of the two-year old iPhone TO $544 in Brazil.

And you wonder why "Android" is "winning" in poor countries?

Anyway... congrats to Google for getting the highest number on the market share chart.

But market share based on ultra cheap hardware isn't exactly the trophy you think it is...
Click to expand...

There are plenty of good android competitors to the iphone, sure cheap models exist but they posses no less hardware than the iphone 4, which currently serves as cheap iphone. Actually market share is all what google is about. Whether you have the latest quad core or a hamster and wheel in your phone are no concern to google because they make their money on search and selling advertisement, not on hardware. Apple relies more heavily on hardware. The more google handsets, the greater potential for those users to utilize google search.
 
S

Smartass

macrumors 65816
Dec 18, 2012
1,450
1,701
Plutonius said:
I believe that they are just trying to clear out the supply chain before introducing the new low cost phone.
Click to expand...
Yeah keep believing those stories. Their warehouses are full of these phones because nobody wants to pay a price THAT high for a 2 and 3 years old phones.
 
Plutonius

Plutonius

macrumors G3
Feb 22, 2003
9,033
8,404
New Hampshire, USA
Smartass said:
Yeah keep believing those stories. Their warehouses are full of these phones because nobody wants to pay a price THAT high for a 2 and 3 years old phones.
Click to expand...

The high price is almost entirely due to Brazilian tariffs / taxes (Brazilian electronics prices are some of the highest in the world). Even if the margins were 40%, they are now down to 15% (prices slashed by 25%). Apple always slashes the prices to sell off inventory before a new product comes out. Brazil, India, and China will get a new low cost phone.

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andrewlgm said:
Are these people insane? 1500 reals for an iPhone 4s?
Click to expand...

The Brazilian people really get screwed when buying electronics.
 
5

50548

Guest
Apr 17, 2005
5,039
2
Currently in Switzerland
komodrone said:
you can use that 15%-25% saved for BRAZILIAN BBQ!!!
Click to expand...

Brazilian steak is definitely the best in the world - as a Brazilian, I can only say this is always well-spent money. :D

thelink said:
Where's the free ones? We have 'em here in the US :cool:
Click to expand...

There are no free iPhones anywhere in the world; unless you disregard the long-term subscription plans which amount to more than what you are ever going to pay for a smartphone...

tdtran1025 said:
At these prices in a poor country like B, Apple is doomed, losing out to Android sets from China. Cooks won't last 2 years.
Click to expand...

Brazil is not a "poor" country; it is the 6th largest economy in the world, with a vibrant middle and upper class that, last time I checked, spent more holiday money than ANY other nationality in places like New York - time to update your information on the country, Sir.

Plutonius said:
The high price is almost entirely due to Brazilian tariffs / taxes (Brazilian electronics prices are some of the highest in the world). Even if the margins were 40%, they are now down to 15% (prices slashed by 25%). Apple always slashes the prices to sell off inventory before a new product comes out. Brazil, India, and China will get a new low cost phone.

----------



The Brazilian people really get screwed when buying electronics.
Click to expand...

This is in part true, of course, due to import taxes aimed at bringing local production and technology transfers to the country (and believe me, they are able to do that given the appeal of the huge domestic market). But taxes are NOT the only reason - Brazil also suffers from high logistical costs (despite recent improvements in infrastructure, there is still much to trickle down) and EXTREMELY high margins from car companies and technology behemoths like Apple, which are able to mask their profits under the guise of "high taxes" and the Brazilian consumers' willingness to pay.

One of the easiest examples concerns cars - EVEN when we take all applicable taxes out, you can see that big makers are able to charge much more for a car in Brazil than for the same car in Argentina or Europe. The same happens over here in Switzerland, where the average local consumer is still willing to pay more for the same crap that costs half the price in Germany or France. And this will only change once consumers get more and more aware of how much the same things cost abroad (yes, the Internet can really help us on this).
 
Michael Scrip

Michael Scrip

macrumors 604
Mar 4, 2011
7,929
12,480
NC
inlinevolvo said:
There are plenty of good android competitors to the iphone, sure cheap models exist but they posses no less hardware than the iphone 4, which currently serves as cheap iphone. Actually market share is all what google is about. Whether you have the latest quad core or a hamster and wheel in your phone are no concern to google because they make their money on search and selling advertisement, not on hardware. Apple relies more heavily on hardware. The more google handsets, the greater potential for those users to utilize google search.
Click to expand...

So basically... Google is an advertising company.

And Apple is a hardware company.

Didn't we already know this? :p

In that case... you can't really compare them.
 
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