iPhone 5C $549 vs 5S $649 - Makes NO SENSE

Discussion in 'iPhone' started by gagaliya, Sep 10, 2013.

  1. gagaliya macrumors 6502

    Joined:
    Feb 24, 2010
    #1
    What is apple thinking?! Isnt the whole point of the 5C to be a cheaper iphone to compete in the emerging markets and mid-priced segment?

    So then why is this thing priced at $549 only $100 cheaper than 5S? You lose the finger print sensor, better camera, better 64 bit processor, motion chip, the list goes on and on all to save $100?

    For emerging markets and the middle tier who cant afford a $649 phone, they still cannot afford a $549 phone when the market is at $300-$400 range.

    Besides who the hell will try to save $100 and lose all those additional features.

    The pricing of the 5C made absolutely NO sense to me. I was expecting $400 to be the highest price point, but $549? i think tim cook has finally lost his mind.

    W T F? someone explain...
     
  2. chabig macrumors 68040

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    Sep 6, 2002
    #2
    It's simple. Apple can't make an iPhone of sufficient quality that can sell for $300-$400.
     
  3. xAnthony macrumors 65816

    xAnthony

    Joined:
    Mar 2, 2010
    #3
    A lot of people don't care about specs, or features of the phone. They just want a phone that works, and is cheap.

    I could name a lot of family members & friends who would upgrade from their iPhone 3G/3GS for an iPhone 5C and save the $100.
     
  4. chabig macrumors 68040

    Joined:
    Sep 6, 2002
    #4
    No. That's not the point. "C" is for "Colorful". See http://www.apple.com/iphone-5c/
     
  5. shenan1982 macrumors 68040

    shenan1982

    Joined:
    Nov 23, 2011
    #5
    Hence why this phone will be no more successful in the rest-of-world's Android-dominated market than anything Apple has released thus far.

    Sad day for Apple.
     
  6. Hankster macrumors 68020

    Hankster

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    Location:
    Washington DC
    #6
    Okay, how many people are still using a 3 or 3GS?
     
  7. drb1992 macrumors 6502

    drb1992

    Joined:
    Oct 4, 2011
    #7
    They actually probably could sell the 5C for that cheap and still make a profit (even if the profit is small), but Apple is all about big profit margins.
     
  8. lozpop macrumors 6502

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    Mar 6, 2006
    #8
    What about the iPod touch? It's an iPhone without the antenna.
     
  9. gagaliya thread starter macrumors 6502

    Joined:
    Feb 24, 2010
    #9
    what is the point of wasting all the R&D to make the 5C then? because it is priced and targets the EXACT same set of buyers at the high end.

    Why not just add a few more colors to the 5S.

    The ONLY reason for 5C to exist is cheaper price, and yet it is not by any means.


    Look at the ipod, the nano is significantly cheaper not to mention the smaller size also plays a role for its existence. 5C at $549 should not exist because it's pointless.
     
  10. OneMike macrumors 601

    OneMike

    Joined:
    Oct 19, 2005
    #10
    I think they are thinking on contract price. $99 is 50% less than $199. That's a significant difference in price for a new phone.

    Retail price does suck though. For me i'll get iPhone 5S retail. 5S is not worth $549 when I can just get a used 5 for less.
     
  11. TacticalDesire macrumors 68020

    TacticalDesire

    Joined:
    Mar 19, 2012
    Location:
    Michigan
    #11
    The average consumer that walks into best buy to purchase a new phone usually doesn't give a damn about the little nitty gritty stuff. They see their friends showing off certain things, or an ad that intrigues them, and that's what they want. Little 23 year old sally walks into a store. Sees a pink phone that says "iPhone" and walks out with it for $99. She doesn't know what an A6 is let alone how it compares to an A7 or Snapdragon 600.
     
  12. GoCubsGo macrumors Nehalem

    GoCubsGo

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    Feb 19, 2005
    #12
    It is cheaper with a contract, which is how most people get new phones so frequently.
     
  13. xAnthony macrumors 65816

    xAnthony

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    Mar 2, 2010
    #13
    A lot, actually. Not everyone buys/wants the latest and greatest. Go out into the real world, and take a look around. You'll find lots.
     
  14. iBreatheApple macrumors 68020

    iBreatheApple

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    Sep 3, 2011
    Location:
    Florida
    #14
    How does it not make sense? Subsidized it's $100 less. Off contract it's $100 less. Apple's number one priority is to make a profit, not to sell phones at cost. Do you really think doubling flash storage really costs $100 more each step up? It's a standardized sales model.
     
  15. AJAAY macrumors regular

    Joined:
    Sep 29, 2012
    #15
    The 5C will sell VERY WELL. Especially with the pre-teen/teenager market. Probably will do better than the 5S in sales.
     
  16. gagaliya thread starter macrumors 6502

    Joined:
    Feb 24, 2010
    #16
    no, a major drive for the 5C is targeting emerging market like china, india etc..where the price of the phone is paid in full at once by the buyer. ONLY the usa offers those 2 year contract with subsidies, majority of the other countries dont.

    That's the point of the 5C, so the midsegment is those fast growing markets who can afford a $300-$400 smartphone can now buy an iphone, and be locked into apple's ecosystem. Yet they completely failed to do that by pricing the 5C at $549.

    Also just google some of the analyst responses, everyone in the market is scratching their heads going wtf, the immediate 2% aapl drop is a reflection of that.

    It makes NO SENSE.
     
  17. Stetrain macrumors 68040

    Joined:
    Feb 6, 2009
    #17
    The iPhone 5C is not targeting some new lower priced market that Apple hasn't targeted before.

    The iPhone 5C is a direct replacement for the iPhone 5 without all of the headache and expense of the aluminum enclosure.

    It should also be very easy to scale down price in the future since they will get cheaper to make over time. Next year the 5C will probably be $450/free-on-contract, the next year it might even stick around and be $350.

    Right now the 5C is about increasing margins, not about targeting a new cheaper market.
     
  18. joewillmott macrumors regular

    Joined:
    May 22, 2012
    Location:
    England
    #18
    The 5c is the equivalent of $740 in the UK. Off to buy a Nexus 4 (£159 new).
     
  19. HelloMikee macrumors 6502a

    HelloMikee

    Joined:
    Jun 16, 2009
    Location:
    San Diego
    #19
    It's targeted for new customers, a lot of which I think will be kids where a $99 dollar price tag to them (or parents) is more justifiable than $199+.

    I don't think majority of iphone buyers are crazy forum users who need the latest version and will shell out $$$ to buy off contract phones.

    I know friends who have the 4 and are ok with it and I'm like WTF!? lol.
     
  20. Dwalls90 macrumors 601

    Dwalls90

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    Feb 5, 2009
    #20
    They should have at least made the 8Gb 5C for $0 instead.
     
  21. Federico macrumors member

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    Feb 13, 2008
    Location:
    South Florida
    #21
    I'm not sure about it, they may like the colors, but they will ending up adding a color case anyways.
     
  22. AAPLinc macrumors 65816

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    Jul 27, 2012
    Location:
    Hollywood, CA
    #22
    The whole point of making the 5C was to SELL not offer for free. Why would they unveil a new phone (even though it's a re-cased 5) and offer for free. They wouldn't.

    If the 5C had LESS power or no LTE or anything less than the 5, then it would be cheaper, but they kept the 4S as the free phone. I said this so many times, despite everyone claiming the 4S was done.
     
  23. Tankmaze macrumors 68000

    Tankmaze

    Joined:
    Mar 7, 2012
    #23
    wow, $50 more than everyones expectation.

    looking at other iOS devices in pricing :

    ipod touch 5th gen no camera $229
    ipod touch 5th gen 32GB camera $299
    ipad mini 16GB 3G $459
    iphone 5C 16 GB $549
    ipad retina 16GB 3G $629

    even the ipad retina vs the mini the price difference is $170

    to be fair, when I follow the liveblog, tim or phil never mention this as the low cost device. but as a colorful iphone. tim said this :

    "In the past, when we introduced a new iPhone, we lowered the price of the old iphone."
    "This year, we're not going to do that."

    "This year, we're going to replace the iPhone 5."

    "With not one, but two new designs."

    I definitely need to see the event video.
     
  24. Stetrain macrumors 68040

    Joined:
    Feb 6, 2009
    #24
    Removing 8GB of flash saves Apple $5. The 5C is about maintaining margins at the $99 price point, not about selling to people who couldn't afford an iPhone before.
     
  25. GoCubsGo macrumors Nehalem

    GoCubsGo

    Joined:
    Feb 19, 2005
    #25
    You can write in caps all you want, it makes sense.
    Maybe not to you, but it makes sense.
     

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