Sidebar Sidebar
Become a MacRumors Supporter for $50/year with no ads, ability to filter front page stories, and private forums.

5C will not be cheap

I remember the days when people said Apple would never release a small tablet.

I remember the days when people said that apple would never change the aspect ratio of their phones.

There's always a lot of bold predictions on here about what Apple would or would not do....and most of the time they are wrong.
 
Minhimalism said:
Do you even understand that $400 off contract would be cheap if it was as good as an iPhone 5? Because an iPhone 5 off contract starts at $650. Samsung's flagship phones are $600 + as well, so I don't know why you are talking as if Apple produces the only expensive phones in the world, it makes your knowledge of the phone market seem very, very shallow.
Click to expand...

So is that what we're doing now? People just make up prices? My question is this: With basically the same components as the iPhone 5, why do people think that Apple is going to volunteer to take a 30% charge off on each iPhone sold?

What is it about the 5C make people think that is going to be cheap, when it has all the components that the iPhone 5 has?

The only thing we heard was from Chinese manufacturers who said that the iPhone 5C, which they referred to as LITE. They know nothing about Apple's pricing strategy.

Even if the 5C was made with low-quality materials, which it isn't, I just can't see Apple voluntarily providing a favor to frugal customers by dropping their phones to fire sale prices.
 
Last edited:
If Apple want to start challenging Android in the lower end of the market then releasing a $500+ phone with colored plastic backs is destined to fail.
 
josen said:
So is that what we're doing now? People just make up prices? My question is this: With basically the same components as the iPhone 5, why do people think that Apple is going to volunteer to take a 30% charge off on each iPhone sold?

What is it about the 5C make people think that is going to be cheap, when it has all the components that the iPhone 5 has?

The only thing we heard was from Chinese manufacturers who said that the iPhone 5C, which they referred to as LITE. They know nothing about Apple's pricing strategy.

Even if the 5C was made with low-quality materials, which it isn't, I just can't see Apple voluntarily providing a favor to frugal customers by dropping their phones to fire sale prices.
Click to expand...

They're not providing a favor to frugal customers.

They're trying to gain lots of customers in emerging markets and markets that generally pay less for phones then the US does.

Ex: The champagne color is aimed at China and perhaps India, because studies show they like the color gold quite a bit. Just like the 5C is aimed that way because cheaper phones are the majority of service in China. Apple is pushing very hard to gain space in China recently. These are all steps to increase their customer base.
 
It's odd that they didn't already have traction in China seeing as their products are manufactured there. :/

Of course I thought they always did, judging by the unprecedented 4S sales there.
 
Last edited:
josen said:
So is that what we're doing now? People just make up prices? My question is this: With basically the same components as the iPhone 5, why do people think that Apple is going to volunteer to take a 30% charge off on each iPhone sold?

What is it about the 5C make people think that is going to be cheap, when it has all the components that the iPhone 5 has?

The only thing we heard was from Chinese manufacturers who said that the iPhone 5C, which they referred to as LITE. They know nothing about Apple's pricing strategy.

Even if the 5C was made with low-quality materials, which it isn't, I just can't see Apple voluntarily providing a favor to frugal customers by dropping their phones to fire sale prices.
Click to expand...

I don't see what the point is in throwing around a subjective value word like "cheap" in this case. Noone's saying it's going to be cheap - only that it will have a lower price than the S models.

And it's a brilliant move. Less expensive materials, less capable camera, slower processor - lets them lower the price to help them get into the Chinese market. While using the less expensive plastic back to their advantage by adding color and so giving the now quite repetitive iPhone design a breath of fresh air. They're probably going to direct this one at younger users too. It's colorful, costs less cash for parents to shell out, and is less of a big deal to break/more durable because of the plastic.

So, a strategic move to offer a lower-price model that at the same time feels like a totally viable alternative because of its different looks. But cheap? Noone's saying its going to be cheap, or offered at a "fire sale price".
 
emptysoul said:
I suspect it will have LTE for 2 reasons.

1. LTE Radios are cheap as chips.

2. If the are going to be the same (internally) as the iPhone 5 it would make much more sense to keep the exact same manufacturing process as much as possible.
Click to expand...

You've made excellent points. The money saved on the price drop of LTE will allow Apple to keep its fat margins. The phone being so similar to the existing unit thats another profit booster for Apple. The "concept" of a less expensive iPhone is Apples typically brilliant marketing spin.

They also know what the customers want to hear and tell them that. Apples got consumers sold on the "image", the "status" and Apples storyline. It's a winning practice that they're not about to change.

Apple has customers convinced only the company knows what's best for them and their followers take it as fact without question. Everyone wins, Apple gets all the money & their followers get what Apple says is best.
 
Oohara said:
I don't see what the point is in throwing around a subjective value word like "cheap" in this case. Noone's saying it's going to be cheap - only that it will have a lower price than the S models.

And it's a brilliant move. Less expensive materials, less capable camera, slower processor - lets them lower the price to help them get into the Chinese market. While using the less expensive plastic back to their advantage by adding color and so giving the now quite repetitive iPhone design a breath of fresh air. They're probably going to direct this one at younger users too. It's colorful, costs less cash for parents to shell out, and is less of a big deal to break/more durable because of the plastic.

So, a strategic move to offer a lower-price model that at the same time feels like a totally viable alternative because of its different looks. But cheap? Noone's saying its going to be cheap, or offered at a "fire sale price".
Click to expand...

I'm just saying, Apple made plastic phones before. They turned out the be the most expensive iPhones there have ever been.

And gain traction in China...Apple had to halt retail sales in China due to riots for the iPhone 4S. How much more traction can they get?
 
josen said:
I'm just saying, Apple made plastic phones before. They turned out the be the most expensive iPhones there have ever been.

And gain traction in China...Apple had to halt retail sales in China due to riots for the iPhone 4S. How much more traction can they get?
Click to expand...

That was, how many years ago? The 5C will no doubt be cheaper than the 5S, not really that hard to figure out. But as cheap as people are thinking? No.
 
PDFierro said:
That was, how many years ago? The 5C will no doubt be cheaper than the 5S, not really that hard to figure out. But as cheap as people are thinking? No.
Click to expand...

That was years ago. And?

A fundamental idea in finance is that money that one has now is worth more than money one will receive in the future.

I guess you could say that prices have steadily dropped. But still. $30 Earpods?

This is a pricing strategy I'd have to see to believe take root.
 
You have the MacBook Pro and Air, one costs less than the other. Both expensive.
 
josen said:
You have the MacBook Pro and Air, one costs less than the other. Both expensive.
Click to expand...

Nobody is denying that. But basically what you seem to be trying to say is that the 5C will be 649 off-contract just like the 5, and people are explaining why it won't be.
 
I'm thinking like a Nexus 4 approach.

A single GSM only world phone that utilizes HPSA+ (no LTE) sold directly from Apple. Which is the reason the Nexus 4 is sold so cheaply. When you don't have to produce dozens of different models its reflected in the price. And the only reason Apple has to now is due to varying LTE bands.

Think about the hardware specs of the N4 vs the iphone 5 and you'll quickly realize how much money is saved in production cost by producing a single model. It has a quad core higher ghz CPU, twice the ram, wireless charging, NFC, larger battery, larger screen, etc and is currently for sale off contract for 199/249....

LTE is all but non existent in China. Also China mobile is the largest carrier on the planet. So why have an LTE phone for that market? Especially if a low cost is a priority?

That's my opinion anyway. And for anyone that says "oh you need LTE" or "it's a standard" we'll there will be a excellent option for you, the 5S.
 
I wouldn't say $649 off contract but it won't be cheap. And I don't even mind if it was, I'm just not getting my hopes up because I know that Apple isn't a nonprofit organization.

But I want to know who is in the market to buy a non LTE phone. We're getting into donation territory.
 
josen said:
That's exactly what they'll do.

1. Because it's Apple
2. Because they are an American corporation
3. Because it's not their style
4. Apple is money hungry

There is no way Apple is going to come out with an iPhone 5 variant that sells dramatically less than it's predecessor. If they can sell their cheap plastic Earpods at $30 a pop, if the 3G and 3GS sold at upwards of $400, you shouldn't dream of it in this day and age.

Apple will never come out with a cheap phone. Not even their cheapest one.

If you want a discounted phone you have choices. The iPhone 5 is $98 at Walmart that's as good as it gets.
Click to expand...

Lol, whatever you want to think :eek: I hope this thread gets bumped after the announcement.
 
There seems to be no rhyme or reason to what people are cherry picking that the phone will be deficient in so that they can maintain their mythical "low cost" of production materials.

One person says no Siri, one person says a low quality camera, another person says no LTE. How do you have a iPhone 5 variant with no LTE?
 
josen said:
I'm just saying, Apple made plastic phones before. They turned out the be the most expensive iPhones there have ever been.
Click to expand...

Right. And as someone has already said, at that time the plastic iPhones were the only iPhones. If the 5C was the only iPhone sold today, of course it too would be sold at the premium price. But it's not, is it? How is your argument relevant in any way whatsoever?

And gain traction in China...Apple had to halt retail sales in China due to riots for the iPhone 4S. How much more traction can they get?
Click to expand...

Yes, but they've since started losing market share to lower priced phones. If you haven't noticed, there's been a thing or two happening in the mobile market during the past two years.

This from the Financial Times:

Pricing will be key in China. The world’s largest smartphone market is also one of the most competitive, as it is flooded with cheap Android devices that sell for as little as Rmb1,000 ($160).

Mr Cook has said China may become Apple’s largest market, but in the last quarter sales fell 14 per cent compared with the year before. Despite iPhone sales rising 40 per cent in the year to date, it has lost share to local competition from Xiaomi, Coolpad and Lenovo.

The iPhone 5C could reverse Apple’s fortunes by bringing its latest gadgetry within reach of more Chinese consumers who, despite Apple-bashing in the state media, still adore the brand. A survey by Morgan Stanley and AlphaWise found that Chinese consumers would be prepared to pay as much as Rmb4,000 for an iPhone 5C, before they have even seen the device.

http://www.ft.com/cms/s/2/d1b5ad42-0e40-11e3-bfc8-00144feabdc0.html#axzz2e5JF9QJO
 
Oohara said:
Right. And as someone has already said, at that time the plastic iPhones were the only iPhones. If the 5C was the only iPhone sold today, of course it too would be sold at the premium price. But it's not, is it? How is your argument relevant in any way whatsoever?



Yes, but they've since started losing market share to lower priced phones. If you haven't noticed, there's been a thing or two happening in the mobile market during the past two years.

This from the Financial Times:

Pricing will be key in China. The world’s largest smartphone market is also one of the most competitive, as it is flooded with cheap Android devices that sell for as little as Rmb1,000 ($160).

Mr Cook has said China may become Apple’s largest market, but in the last quarter sales fell 14 per cent compared with the year before. Despite iPhone sales rising 40 per cent in the year to date, it has lost share to local competition from Xiaomi, Coolpad and Lenovo.

The iPhone 5C could reverse Apple’s fortunes by bringing its latest gadgetry within reach of more Chinese consumers who, despite Apple-bashing in the state media, still adore the brand. A survey by Morgan Stanley and AlphaWise found that Chinese consumers would be prepared to pay as much as Rmb4,000 for an iPhone 5C, before they have even seen the device.

http://www.ft.com/cms/s/2/d1b5ad42-0e40-11e3-bfc8-00144feabdc0.html#axzz2e5JF9QJO
Click to expand...

So basically Apple has to backtrack to get those consumers. Interesting enough. I wonder what they'll do next.
 
Okay OP lets talk numbers. How much will, in your opinion, iPhone 5C cost non subsidized full price?
 
Skika said:
Okay OP lets talk numbers. How much will, in your opinion, iPhone 5C cost non subsidized full price?
Click to expand...

An iPhone 5C, with LTE, $549.
A 5S, if there's one, $649.

I'm just a bit skeptical on the cheapness of the device. Apple's pricing strategy has always been predictable. Just like a sliding scale. Anything less than $549 is being generous.


Even the iPad mini costs more than the iPad 2.
 
josen said:
An iPhone 5C, with LTE, $549.
A 5S, if there's one, $649.

I'm just a bit skeptical on the cheapness of the device. Apple's pricing strategy has always been predictable. Just like a sliding scale. Anything less than $549 is being generous.


Even the iPad mini costs more than the iPad 2.
Click to expand...

Apple's iPhone lineup was always predictable, yet this is about to change.

iPad mini is cheaper than iPad 2.
 
You must log in or register to reply here.
Register on MacRumors! This sidebar will go away, and you'll see fewer ads.
Top Bottom
Back