Phones Samsung Flagship Prices Fall After Launch

Stacked

macrumors regular
Original poster
Oct 9, 2012
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I'm curious as to why Samsung phone prices seem to fall quickly compared to Apple flagships. Is it the supposed luxury perception that Apple seems to carry?
 

Klyster

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Dec 7, 2013
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The Note 5 is still the full retail price here in NZ.
You can buy cheaper online but the only cheap retail store versions here in NZ are parallel imports.
 

GadgetSN

macrumors 6502
Sep 7, 2014
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Yes, it's because of its lesser class brand and competition from other Android flagships. You have to remember how much junk Samsung brings out in addition to its nice flagship device.

S7 edge is already much cheaper to buy than 6S when it's true comparison should be with the upcoming iPhone 7.
 

MRU

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I'm curious as to why Samsung phone prices seem to fall quickly compared to Apple flagships. Is it the supposed luxury perception that Apple seems to carry?
There are a mix of factors.

1. Samsung release more than 1 flagship, and with the bi annual flagship releases, it means the current flagship is perceived 'old' before it's time. The galaxy S5 only came out in 2014, but is now subsequently behind a larger number of subsequent released Samsung flagships models including the S5 active, note 4, s6, s6e, s6e+, S6 active, note 5, S7, S7e.

Compare that to the iPhone 6/6+, which has only 6S/6S+ subsequently in front of it. (well the SE too now I guess).

2. Mix that with the myriad of other android handsets and plethora of OEM's competing in the Android marketplace and your 12-18 month old device has been superseded (more over consumer led desire wise than hardware specs wise) by a myriad of competing handsets.

Whereas if you want IOS you have only one option/oem.

3. This increased competition, and bi-annual flagship release schedule (or more) by many OEM's means that the resale/second-hand marketplace is eventually swamped with 'nearly new' android devices every few weeks and with more & more to choose from, the resell value inevitably becomes less on these relatively 'new' handsets compared to the iPhone.

4. This resale value drop is NOT indicative of a poorer quality device, but merely the greater choice and accelerated release schedules of the OEM's. Which means there is always something 'newer' & 'better' just a couple months (6-8weeks) after any one OEM releases their new android device.

5. So as I say the end results = great choice for those willing to wait and buy a device later, but early adoptees and enthusiasts will have to get used to seeing their android device value drop like a tank very quickly.
 
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cube

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May 10, 2004
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Not just about phones, I would say I see the price of Samsung products usually fall to about 50% across categories within a year from release.
 
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mountain

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Dec 17, 2007
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Apple just in general holds better value and buyer is willing to pay. Though I believe they are both overpriced.
 

LIVEFRMNYC

macrumors 604
Oct 27, 2009
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Most Apple consumers don't have that fast paced upgrade to the next mentality. Carriers like T-mobile did not create Jump OnDemand due to iPhones.
 

lazard

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Jul 23, 2012
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Most Apple consumers don't have that fast paced upgrade to the next mentality. Carriers like T-mobile did not create Jump OnDemand due to iPhones.
I have to disagree. The iPhone is the sole reason why US carriers created Jump/Next/etc.
 
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macfacts

macrumors 68040
Oct 7, 2012
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I'm curious as to why Samsung phone prices seem to fall quickly compared to Apple flagships. Is it the supposed luxury perception that Apple seems to carry?
Competition. If someone has some paid Android apps, they are not locked into Samsung if they want to continue to use those paid apps.

If someone has some paid iOS apps and want to continue to use them with their next smart phone, they have to buy an iPhone.
 

Klyster

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Dec 7, 2013
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Not just about phones, I would say I see the price of Samsung products usually fall to about 50% across categories within a year from release.
Really?

I find that very hard to believe. I would agree parallel imports are cheaper but I can't imagine a 50 percent retail drop in price in all categories, let alone flagship mobiles.
 

spinedoc77

macrumors G3
Jun 11, 2009
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4. This resale value drop is NOT indicative of a poorer quality device, but merely the greater choice and accelerated release schedules of the OEM's. Which means there is always something 'newer' & 'better' just a couple months (6-8weeks) after any one OEM releases their new android device.
Part of it is quality, or the perception of quality. Consumers just give more value to the iphones and that translates to better resale value. I agree with your other points for sure, but you can't discount consumer perception. Android phones continue to get better and better, but there was a time when they were pretty crappy and the iPhone was the epitome of quality.
[doublepost=1460679216][/doublepost]
Really?

I find that very hard to believe. I would agree parallel imports are cheaper but I can't imagine a 50 percent retail drop in price in all categories, let alone flagship mobiles.
Id say that's pretty conservative, seriously. I just went on swappa to look up my Note 5, the average sold price is $438 for the 32 gb version, which when brand new was I believe $739 and that's what, 7 1/2 months after release.
 

mrex

macrumors 68040
Jul 16, 2014
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I'm curious as to why Samsung phone prices seem to fall quickly compared to Apple flagships. Is it the supposed luxury perception that Apple seems to carry?

Quess what would happen to apples luxury prices if samsung could produce ios devices?

A simple answer: nothing to do with the luxury, just a competition and new products in the same playground.
 

Klyster

macrumors 68000
Dec 7, 2013
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Part of it is quality, or the perception of quality. Consumers just give more value to the iphones and that translates to better resale value. I agree with your other points for sure, but you can't discount consumer perception. Android phones continue to get better and better, but there was a time when they were pretty crappy and the iPhone was the epitome of quality.
[doublepost=1460679216][/doublepost]

Id say that's pretty conservative, seriously. I just went on swappa to look up my Note 5, the average sold price is $438 for the 32 gb version, which when brand new was I believe $739 and that's what, 7 1/2 months after release.
Yeah I'm talking retail with overheads and non parallel imports. Not used phones.
I guess little old NZ isn't comparable with the rest of the world.
For example, I paid 1100 nz for my 32gb note 5. The cheapest I can find a new note 5 here, including parallel imports from online retailers, is 865 nz.


http://pricespy.co.nz/product.php?p=3286576

I've yet to see anything as dramatic as a 50 percent price drop over a year in any category without some kind of extraneous reason (firesale/runout, tempoary loss leader etc).

Not that I wouldn't mind,I could wait a year to get a good product cheaply.
 

GadgetSN

macrumors 6502
Sep 7, 2014
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Yes retail prices may not fall that much so quickly but private brand new phones do.

Brand New S6 egde plus (rekeased less than 1 year ago) can easily be bought for £350 in the UK. Samsung wanted a silly £800 ish on release date.

S7 edge could be bought new 2 weeks after release from private sellers for £450. Thats a drop from £639 in 2 weeks.
 
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617aircav

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Jul 2, 2012
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Not just about phones, I would say I see the price of Samsung products usually fall to about 50% across categories within a year from release.
Can you link to a Samsung phone that fell 50 percent in 12 months?
 

617aircav

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Jul 2, 2012
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Part of it is quality, or the perception of quality. Consumers just give more value to the iphones and that translates to better resale value. I agree with your other points for sure, but you can't discount consumer perception. Android phones continue to get better and better, but there was a time when they were pretty crappy and the iPhone was the epitome of quality.
[doublepost=1460679216][/doublepost]

Id say that's pretty conservative, seriously. I just went on swappa to look up my Note 5, the average sold price is $438 for the 32 gb version, which when brand new was I believe $739 and that's what, 7 1/2 months after release.
Swappa is not a retailer, it's a used phone market. What's the pricing at retailers like bestbuy, Walmart.
 

GadgetSN

macrumors 6502
Sep 7, 2014
338
104
You need to stop buying at retailers. I thought we only used them to look and handle devices. Didnt realise so many clued up fok actually bought from there.

In short retail prices mean jack.
 

admob71

Suspended
Feb 13, 2014
903
538
MANCHESTER, ENGLAND.
Brand New S6 egde plus (rekeased less than 1 year ago) can easily be bought for £350 in the UK. Samsung wanted a silly £800 ish on release date.

On eBay the cheapest new edge plus right now Is 410, and they were 625 when new from Samsung, get your numbers right please. Not a mega drop considering a new model came out, and no one buys direct from the manufacturer
 

Klyster

macrumors 68000
Dec 7, 2013
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Try getting a repair done on a parallel import.
I've learned this the hard way. I'll only buy retail.

Retail prices are retail prices, parallel prices are always cheaper generally. They do mean jack in the sense that they make parallel prices seem attractive.

So, the 50 percent price drop over all categories over a year?
Yeah, nah....at least not here in New Zealand. :)
 
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admob71

Suspended
Feb 13, 2014
903
538
MANCHESTER, ENGLAND.
Try getting a repair done on a parallel import.
I've learned this the hard way. I'll only buy retail.

Retail prices are retail prices, parallel prices are always cheaper generally. They do mean jack in the sense that they make parallel prices seem attractive.

So, the 50 percent price drop over all categories over a year?
Yeah, nah....at least not here in New Zealand. :)
I bought my tab S off ebay, had an issue, took it to Samsung repair centre, repaired for free, no issues at all.
 

GadgetSN

macrumors 6502
Sep 7, 2014
338
104
If ebay is £410 then take away a further 20 to 30% and that is what the typical price is privately. Who actually still buys anything from ebay? Ebay is one of the most expensive places to buy stuff especially when there are so many people bidding silly money just to save £1 off RRP.

And no you should get your numbers right. Samsung wanted over £800 for the edge plus initially. It was a big discussion on here. They dropped the price about 1 month after.
 

cube

Suspended
May 10, 2004
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I look at pricing history graphs when I shop for something, so what I said applies mostly to online shopping. B&M is many times out of touch. But a few times you can find a special amazing deal there that is better (and more convenient, and community friendly, triple win).

Examples of things I took advantage of:

One model of SUHD TV: 50% in less than a year (best deal B&M)
Samsung digicams: models falling 50% in a year
Galaxy Pro 12.2: Tab WiFi: special deal online within months, Note LTE: special deal B&M after a year - These models were not replaced, so now back up to high prices
Other Tabs: huge drops also happen
Laptops in general, except Apple: huge price drops
Smartphones in general, except Apple: huge price drops
SSDs: huge drops at technology milestones

On the other hand:
Hard drives: the drops here are gradual over a long cycle
RAM: gradual price decrease, and then back up a lot at standard EOL
 
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