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For me $100 on contract is extremely affordable. If you don't do contracts its not.

The marginal difference between a 16GB 5c and a 5s over a 2-year $2,000+ contract is less than 5% - I wouldn't categorize that as "extremely affordable". Some of the pre-release speculation was that this phone was targeted at the emerging markets where carrier subsidies were not the norm - and the announced price point is nowhere near what was predicted was a good entry level for those markets.
 
The marginal difference between a 16GB 5c and a 5s over a 2-year $2,000+ contract is less than 5% - I wouldn't categorize that as "extremely affordable". Some of the pre-release speculation was that this phone was targeted at the emerging markets where carrier subsidies were not the norm - and the announced price point is nowhere near what was predicted was a good entry level for those markets.

It seems like people are saying Apple should not have bothered with a "mid range phone" at all. Based purely on specs, this isn't a budget device. The specs are competitive now with top end phones.
 
It seems like people are saying Apple should not have bothered with a "mid range phone" at all. Based purely on specs, this isn't a budget device. The specs are competitive now with top end phones.

The 5C is priced more in line with a high end phone, at best it could be categorized a higher end "mid range" phone starting at $550, no subsidy.
 
$399 retail, $0 contract for 16GB
$499 retail, $99 contract for 32GB

That would make sense to me, but Apple of course wants the highest profit margin possible.
 
IMHO, they should have made it free on contract. But who knows if they cut that much cost just by replacing a single component (the shell). I'm sure apple has done tons of very sophisticated analysis and decided this course was the best way to maximize profit.

Though personally, I wish we could have had some more adult colors. Black, navy, or maybe gray would have been great.

But what would the perception be of releasing a "new" phone that was free? Usually when something is free its because its not that great. The problem is the subsidy Apple gets from AT&T and Verizon. The subsidy for a 16GB 5C is $450. That essentially sets a floor on the unlocked price. And if Apple doesn't think it's a good idea brand/marketing wise to sell a "new" phone free on contract well that just bumps up the unlocked price $100. I wish the phone was $100 less. And maybe charge $50 less up front. $450 might even be too much off contract but we don't know how much initially Apple is saving by going to the plastic back.
 
Actually, what Apple did with the 5C was pure marketing genius. Think about it. Normally, when Apple normally releases a new model iPhone, they keep the previous model around, and drop the price by $100 or so. So what does that do for sales for that old model? Not a ton. Maybe a little uptick in the old model, but that's it. Because there's a stigma to the old model that it's just that. The Old Model. The budget conscious consumer that was likely on the fence about buying that model before may go out and get it, but that's about it. Just steady sales continuing.

Now, this time, they've taken the old model (in this case, the 5), kept it pretty much exactly the same, except slapped a cheaper to make plastic back on it, lower the price by the $100 they normally do, but rebranded it as a new device. What happened this time? It's a launch event, with pre-orders that are selling out of some variant models. Although we haven't seen actual numbers yet, I'm thinking we'll see a large surge of these units sold, compared to what the "old models" have done in previous new model releases.

And people are gobbling them up, because they are not the "old model", they are the new 5C model. And on top of it, I'm sure it's even a little cheaper for Apple to make these with the plastic back compared to the aluminum.

So what have they done?
Taken the old device, made it for a cheaper price, with cheaper materials, rebranded it, and resold it at the price they would have normally sold it for had they not changed it, likely in record volumes, by creating an image that it's a new device.

Pure genius. I honestly think that in the distant future, Apple will become the case study in colleges for Economics and Marketing classes. They've become masters at feeding off of human emotion to drive sales. "Don't sell them the old device as an old device. Sell them the old device, at a better profit margin, as a new device."

It may be pure genius if this marketing trick works. If it doesn't than someone will get fired and get fired very soon.

Frankly on a bigger scale. Apple knows what it's doing. Steve Jobs probably left some type of "road map" for the next 5 years. iPhone 5S was already in the map before he died. iPhone 5C maybe or maybe not.

We all know iPhone 2014 will bring about a bigger screen. It's pretty much a given. So 2013 is really a take a deep breath step back for Apple and also for Samsung.

The S4 and Note 3 aren't "huge" changes compared to the already solid S3 and Note 2. Sure 1080p is great but 720p was still excellent. Maybe Note 3 will benefit the most since its a bigger screen. (Note 3 will be my next phone).

But smartphones have reached a maturation point. The biggest growth was from 2009-2011.

Only HTC gave is a "wow" design with their ONE phone in 2013. But unfortunately for HTC, consumers are still flocking to Apple and Samsung.
 
The marginal difference between a 16GB 5c and a 5s over a 2-year $2,000+ contract is less than 5% - I wouldn't categorize that as "extremely affordable". Some of the pre-release speculation was that this phone was targeted at the emerging markets where carrier subsidies were not the norm - and the announced price point is nowhere near what was predicted was a good entry level for those markets.

The difference is greater at purchase time so your point is only valid if you do prepaid. Otherwise, it's $100 cheaper.

In regards to your other point , that's what you get for listening to a bunch of know-nothing analysts who knew nothing. You probably expected an iWatch or iTV as well.
 
The difference is greater at purchase time so your point is only valid if you do prepaid. Otherwise, it's $100 cheaper.

You should consider the total cost over expected lifetime of service. Otherwise, you would be a marketer's dream come true - you would believe every transient pricing (introductory offer) as the final cost of your purchase.

In regards to your other point , that's what you get for listening to a bunch of know-nothing analysts who knew nothing. You probably expected an iWatch or iTV as well.

I just had a different opinion when it came to the 5C being characterized as "extremely affordable" when compared to the iPhone 5S.

The speculation was that this phone was going to be the entry level phone in emerging markets - its pricing does not seem to indicate that it is meant to be so. But, Apple has proven everybody wrong before..
 
The speculation was that this phone was going to be the entry level phone in emerging markets - its pricing does not seem to indicate that it is meant to be so. But, Apple has proven everybody wrong before..

People don't seem to understand that an "entry level phone" would have to have inferior components relative to the iPhone 5 and probably even the 4S in order to maintain respectable profitablity levels (Apple has never sold products at cut rate margins ina ny of its segments). This phone would have been a non-starter in US when the iPhone 4S is free on contract. Given people wanted this phone to be released globally, there is essentially a quality floor on the product. Maybe people expect Apple to release an emerging markets only phone.
 
You should consider the total cost over expected lifetime of service. Otherwise, you would be a marketer's dream come true - you would believe every transient pricing (introductory offer) as the final cost of your purchase.
With AT&T, my monthly costs do not decrease if I pay full price for the iPhone, so I might as well take advantage of the subsidy. Therefore the 5C would cost me $100 less at time of purchase. I fully understand that the discount, amortized over the life of the contract is a lot lower. But I don't pay for my phone with monthly payments, I pay for it at purchase time.


I just had a different opinion when it came to the 5C being characterized as "extremely affordable" when compared to the iPhone 5S.

The speculation was that this phone was going to be the entry level phone in emerging markets - its pricing does not seem to indicate that it is meant to be so. But, Apple has proven everybody wrong before..

Apple never said it would be a cheap phone, the internet did. If you expected that you need to stop believing everything you read on the internet. At least the smartwatch the internet promised will cost less than the 5C.
 
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With AT&T, my monthly costs do not decrease if I pay full price for the iPhone, so I might as well take advantage of the subsidy. Therefore the 5C would cost me $100 less at time of purchase.

True.. where I differed from your opinion was in that being characterized as "extremely affordable". $100 is still $100... but its a modest discount when put in perspective of a 2 year contract.

Apple never said it would be a cheap phone, the internet did. If you expected that you need to stop believing everything you read on the internet. At least the smartwatch the internet promised will cost less than the 5C.

Maybe.. who knows? ;)
 
IMHO, they should have made it free on contract. But who knows if they cut that much cost just by replacing a single component (the shell). I'm sure apple has done tons of very sophisticated analysis and decided this course was the best way to maximize profit.

Though personally, I wish we could have had some more adult colors. Black, navy, or maybe gray would have been great.

Yes, they should have at least released a black shell, IMO.
 
I was hoping for a £350ish device, not a £469 one. Maybe if they downgraded components like the camera, processor etc. I was thinking 4S internals while keeping the 4" retina display and Lightning connector. It could've shaved more off the price.

I feel that this should've been targeted at the price-conscious market and not the spec-orientated market. Most people wouldn't care if it had a 5mp camera versus a 8mp one - it takes photos. End of story. (For most people, obviously not many on MR.)

I think it's a missed opportunity for Apple to sell loads and loads of these while still keeping it a fast, easy to use and competitive product. It certainly won't flop, but I just don't think it'll be a runaway success.

The phone has a 300-400% profit margin. The decision to price it at $99 was pure greed.
 
It is simply a one year old phone in a plastic case. I don't understand why it should cost as a top end phone. This allows to say it is the worst top end phone available on the market, tecnologically speaking
 
It is simply a one year old phone in a plastic case. I don't understand why it should cost as a top end phone. This allows to say it is the worst top end phone available on the market, tecnologically speaking

By that logic the iPhone 4S is currently priced as a "top end" phone, and was priced as a top end phone last year. The iPhone 4S last year was not considered the "worst top end phone available" on the market, it was preferred by many to the best offered by many Android developers.
 
A lot of people are criticizing the iPhone 5C for various reasons... I'm curious as to what Apple should have released instead in their view. Let's say Apple wanted to release a mid range product at $99/$199 price (for whatever reason, Apple wasn't ready to release a new free product at this time). How would you have built the phone? Would you not have built it? Would you have added more features to the 5C (upgraded it a bit more from the 5)? I'm not understanding how people would have wanted Apple to approach this. I personally would have liked an even bigger battery...

The only "complaint," feedback rather that I have is off contract pricing is not great.
 
By that logic the iPhone 4S is currently priced as a "top end" phone, and was priced as a top end phone last year. The iPhone 4S last year was not considered the "worst top end phone available" on the market, it was preferred by many to the best offered by many Android developers.

The 4S design was more unique and desirable than the 5, although more brittle.

The 5c is just a medium-range plastic phone that works well, too expensive.
 
. How would you have built the phone? Would you not have built it?

The issue isn't the build but the price. The ANALysts got it in their heads that Apple needs to release a $199 off contract phone. Despite history, despite Schiller saying that Apple doesn't do cheap.

So no matter what Apple creates if it's not dirt cheap pricing it's a fail and apple is doomed.

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It's all relative - of course they'll sell well, but they're just not cheap enough to take buyers away from the mid-range Android market.

From what I can see Apple doesn't give a flip about getting sales by being cheaper. They want folks using Apple stuff because they want to use Apple, the software and ecosystem. So they aren't going to price under just to win a cost war.
 
I need to replace my iPhone 4 which is currently on life support following an impromptu swim last summer .... and I had initially been planning to replace it with a 5C.

Two points changed my mind about that. First, as many others have noted, there aren't any grown-up colours in the 5C's palette. And second, it's only C$120 less than the 5S -- and that $120 will get me a WAYYYY better phone.

For me, it wasn't so much the price of the 5C. It was the fact that the difference between the specs of the 5S vs the 5C was substantial - and the difference between their price tags was not. A significant difference in the specs, compared to a negligible difference in the price tags, basically killed the 5C as an option for me.

And if that means I need to spend an extra month saving up for this, so be it .... I didn't want to stand in line on launch day anyway :p
 
The way it should have been done, was put the 4S to bed and have the 5C at $0.

If anything, perhaps now customers are looking at the 4S rather than a 5C if they want to save money.
 
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