I must admit, I do not see the market Apple is intending to target with the 5C. In the contract free world, it's too expensive for most (especially outside the US). At most it seems like the close price point will just canibalize sales from the 5s.
Seems to me the only thing the 5C brings to the table is colors. It might also increase supply if they can pump these out faster than the 5 and avoid impinging on the 5s lines.