or Connect
AppleInsider › Forums › Mobile › iPhone › Reports: UK consumers slow to adopt Apple's iPhone
New Posts  All Forums:Forum Nav:

Reports: UK consumers slow to adopt Apple's iPhone

post #1 of 87
Thread Starter 
While Apple hasn't released official numbers on early sales of its iPhone in the UK, new reports suggest the company may face difficulty replicating the level of success it experienced with the US launch of the handset back in June.

According to a recent report by the Register citing reliable channel sources, exclusive UK iPhone carrier O2 has activated just 26,500 iPhones since its launch two weeks ago, well below expectations of about 100,000 units.

"Carphone Warehouse, the main retail outlet for Apple's hot item [in the UK], had taken stock of 50,000 iPhones, but had only managed to shift around 11,000 in the first weekend," the report states. "O2 has over 400 stores and Apple just 12 in the UK. Phone industry sources estimated that 25,000 units might have shifted in that first weekend - but that now seems optimistic."

The Register observes that the number of activations may not actually represent the number of iPhones sold, as some may have been set away as gifts and have not yet been activated. Still, the publication said, "the gross is unlikely to be significantly higher."

One factor potentially limiting the adoption of iPhone in the UK may be the handset's steep price of 269 pounds. Market research firm GfK Group recently polled 500 people across the country and found that, outside of "Apple cult" fans, uptake in the wider public is likely to be limited due to the unusually high cost of the device.

Of those surveyed, a large 72 percent said that they would not buy one due to the price.Â*This includes 26 percent who said they like the look of the iPhone but found it too expensive, in addition to another 46 percent who said they were "never going to buy it at that price."

Only 2 percent of respondents to the survey said they were even considering adding the Apple handset to their Christmas list, indicating that the package on offer has not hit the spot for UK consumers.

"AppleÂs history proves that it has the magic touch when it comes to product development and marketing, however the iPhone has yet to capture the imagination of the UK public," said Richard Jameson, a representative for GfK NOP. "We must take into account that the UK mobile marketÂs success has been down to subsidised handsets, therefore the iPhoneÂs price really stands out and consumers are not used to paying in excess of 200 pounds for a phone."

Jameson added that "Apple needs more than cuttingÂedge design to penetrate this market and will have to work much harder in the UK than it did in the US to make iPhone a mass-market proposition."

Still, iPhone topped GfK NOP's rankings in brand awareness for specific features, with 78 percent of survey respondents associating the iPhone with music and 65 percent mentioning it in accordance with email and web surfing.
post #2 of 87
Crap network at a crap price. Why aren't they getting this?
post #3 of 87
post #4 of 87
IMHO Apple has done a poor job of educating consumers that the price of iPhone with its service plan is actually less than the so-called competition. Furthermore, the average consumer doesn't need mobile Internet so badly that they will pay the higher service fees associated with unlimited data, but for people who do need mobile Internet (and Internet applications that actually work), the iPhone works best and costs less. Only the initial cost for iPhone is higher than for most (but not all) smart phones.
post #5 of 87
Quote:
Originally Posted by tomozj View Post

Crap network at a crap price. Why aren't they getting this?

The whole system actually works well, unlike the so-called competition.
post #6 of 87
Quote:
Originally Posted by Foo2 View Post

IMHO Apple has done a poor job of educating consumers that the price of iPhone with its service plan is actually less than the so-called competition. Furthermore, the average consumer doesn't need mobile Internet so badly that they will pay the higher service fees associated with unlimited data, but for people who do need mobile Internet (and Internet applications that actually work), the iPhone works best and costs less. Only the initial cost for iPhone is higher than for most (but not all) smart phones.

It's not cheaper than the competition. Not by a long shot.
post #7 of 87
Quote:
Originally Posted by aegisdesign View Post

The Poll...

http://www.gfknop.com/customresearch.../index.en.html

The European marketing is obviously less pronounced than the US. Even my parents know about the iPhone, but 12% of people on the UK who took an internet poll have never heard of it. 12% doesn't sound high, but 12% of people who took the time to do an internet poll does.
Dick Applebaum on whether the iPad is a personal computer: "BTW, I am posting this from my iPad pc while sitting on the throne... personal enough for you?"
Reply
Dick Applebaum on whether the iPad is a personal computer: "BTW, I am posting this from my iPad pc while sitting on the throne... personal enough for you?"
Reply
post #8 of 87
I have needed mobile data for a long time email etc but nothing has really hit the spot all too expensive and horrible to use + no mac synching.

The iPhone does it all for me. However for a person who wants to makecalls listen to music etc you can get a free phone. Apple need to understand this.

However I have the feeling they do understand this and to watch for the iPhone 2 as I imagine thi sis here to "cream" from those, like me who are prepared to pay for something that works and works with my mac.

For me it is cheaper than any rival, and I came of a good deal, over 3 hours of surfing a day (on the train)
post #9 of 87
Quote:
Originally Posted by solipsism View Post

The European marketing is obviously less pronounced than the US. Even my parents know about the iPhone, but 12% of people on the UK who took an internet poll have never heard of it. 12% doesn't sound high, but 12% of people who took the time to do an internet poll does.

Where does it say it was an internet based poll? I suspect it wasn't given NOP's history.
post #10 of 87
I don't care about the rest of the UK.. I love my iPhone!

Granted if it was cheaper and on a better network (Orange), then I'd probably buy one for my Mrs and Dad too. I think the UK are too used to having half decent handsets for free with their £35 / month contracts, let alone a £45 or £55 / month contract. The general public don't seem to grasp the benefits of the inclusive unlimited data within the tariff.

Everyone that sees my iPhone wants to have a look. They always ask how much it cost. When I reply "just over £250" they say "oh, that's not too bad. I thought it was more than that". The media like to sensationalise everything and one of those things is the cost. In reality it's not much, it just depends how you say it!
post #11 of 87
Apple's adverts are shiny, but they need to tell the consumers more than how the device is quite funky and looks nice.

The package clearly isn't attractive enough, or people aren't informed enough. For instance, the free wifi via The Cloud is a very nice feature that people simply don't know about. O2 aren't the most popular carrier, and maybe people are hanging on for 3G.

Also there isn't so much spare money about to spend on whims like a phone, Christmas is approaching with the associated costs, the tax burden isn't nice, the housing market is stalling, ...

If it was launched in June like in the US, it could have done better. People instead are going for subsidised phones (cheap *now*, regardless of overall cost) like the Nokia N95. In a very mature market for mobile phones Apple is going to have to do a much stronger job of informing the consumer why they want an iPhone.
post #12 of 87
This isnt really surprising. I even made a thread about this long time before this article haha.

Apple cant expect to throw their weight around the UK and get away with it in the phone market.

If the phone itself was up to standards with the other market leaders then they wouldnt have any problem as they would have the attention of the real phone enthusiasts.

Hopefully this will be a lesson to them.

And for those saying the public arnt educated enough about the tarrif come off it please they arnt dumb. Its the fact that the phone lacks basci functions that all other phones have coupled with the price which has put of majority of the rest.

Apple made a mistake and now they have to admit it and either cut the price or lose out on sales.
post #13 of 87
Quote:
Originally Posted by Sedicivalvole View Post

I have needed mobile data for a long time email etc but nothing has really hit the spot all too expensive and horrible to use + no mac synching.

I've had an SE p910i for about 3 years now. Perfect syncing over bluetooth with a Mac and I can use it as a 2G/HSCSD modem with my Mac. Apple even supply an iSync plugin for it.

If you want 3G data then T-mobile will give you a free USB 3G modem if you sign up to their Webn Walk contract for £15 a month.

You can't do any of that with an iPhone or as cheaply.
post #14 of 87
I agree with SpinDrift - and the response I've had from people has ranged from "That's not too expensive, when you think it's also an iPod" right up to "I'm soooo jealous!". I think it's a bloody miracle that Apple have managed to sell ANY considering the near endless bad press that has been drummed up ever since the US launch.

Sheesh - here's is something that actually, for once, feels like something you'd expect to be using in the 21st century, and all people can do is bitch and moan !

I do think that the iPhone is not for everyone - especially if you just want a cheap phone just to make phone calls on - but I also think that for a surprising number of people it's really the first true convergence device that you can actually use.

Kinda weird. Now that the Mac is finally making serious inroads, we're seeing the whole pattern repeated with the iPhone....
post #15 of 87
The real problem (certainly from my point of view) isn't the cost of the iPhone. I don't think the price is too unreasonable - certainly when compared to an iPod. The aspect that totally puts me off is O2's god awful iPhone specific tariffs. Let's be fair: it's bad enough having to pay for the phone (when you can get any other for free), but after shelling out all that, then being stuck with having to pay £35 for 200 mins and 200 texts! What rubbish. I'm on O2 now and I pay £20 for 600 mins and 800 texts. There is no phone in world that is cool enough to persuade me to change to a tariff that drastically different!

If O2 allowed current customers to simply buy an iPhone and continue with their current contract I think sales would improve. But only a fool (or someone who has enough money to burn) would buy an iPhone when stuck with the awful selection of tariffs O2 has put on offer.
post #16 of 87
Quote:
Originally Posted by Hattig View Post

Apple's adverts are shiny, but they need to tell the consumers more than how the device is quite funky and looks nice.

The package clearly isn't attractive enough, or people aren't informed enough. For instance, the free wifi via The Cloud is a very nice feature that people simply don't know about. O2 aren't the most popular carrier, and maybe people are hanging on for 3G.

Also there isn't so much spare money about to spend on whims like a phone, Christmas is approaching with the associated costs, the tax burden isn't nice, the housing market is stalling, ...

If it was launched in June like in the US, it could have done better. People instead are going for subsidised phones (cheap *now*, regardless of overall cost) like the Nokia N95. In a very mature market for mobile phones Apple is going to have to do a much stronger job of informing the consumer why they want an iPhone.

Yep. At the moment there's also adverts for SE Walkman phones (available free mostly) and LG Viewty with it's excellent 5mp autofocus, image stabilising camera. And it looks nicer than the iPhone advert.
post #17 of 87
Its nothing to do with people not knowing properly how it works. Thsi is probabaly the most hyped phone in history. I think everybody knew how it worked after the US launch let alone the UK one.

When are you people going to realise that a overated fashion phone with a handful of nice features isnt enough to succeed in the UK market. We arnt easily suckered into buying phones as you are let alone at extortionate prices.
post #18 of 87
Activations do not equal sales by a long shot. During the first 30 hours of sales in the US, there were some 140,000 activations but 270,000 actual sales. This being the holiday shopping season, it only makes sense that lots of iPhones are being bought as gifts for loved ones. Imagine the activation rate on Christmas day and beyond.
post #19 of 87
Quote:
Originally Posted by hahjr View Post

The real problem (certainly from my point of view) isn't the cost of the iPhone. I don't think the price is too unreasonable - certainly when compared to an iPod. The aspect that totally puts me off is O2's god awful iPhone specific tariffs. Let's be fair: it's bad enough having to pay for the phone (when you can get any other for free), but after shelling out all that, then being stuck with having to pay £35 for 200 mins and 200 texts! What rubbish. I'm on O2 now and I pay £20 for 600 mins and 800 texts. There is no phone in world that is cool enough to persuade me to change to a tariff that drastically different!

If O2 allowed current customers to simply buy an iPhone and continue with their current contract I think sales would improve. But only a fool (or someone who has enough money to burn) would buy an iPhone when stuck with the awful selection of tariffs O2 has put on offer.


I agree, the problem mostly is the prices linked with the contract - with a contract it averages at £50 per month for the cheapest contract - not so good for 200mins & 200texts. Yes, there's the unlimited data, but I don't think this is what Apple intended?

On 3, I can get unlimited 3G data for £5 as an add-on to my Mix&Match contract (min £12) - I mean, with a free phone, isn't that the kind of deal we're looking for in the UK?

As a phone however, the iPhone beats anything I've ever tried before. In Cardiff we have 1 O2 shop and 2 CWs on one street, and it'll take you ~20 min to get a go on one of the things.
post #20 of 87
Quote:
Originally Posted by hahjr View Post

If O2 allowed current customers to simply buy an iPhone and continue with their current contract I think sales would improve. But only a fool (or someone who has enough money to burn) would buy an iPhone when stuck with the awful selection of tariffs O2 has put on offer.

I've heard tales that O2 allow that to happen in certain cases. Maybe talking to O2 will help?
post #21 of 87
Quote:
Originally Posted by aegisdesign View Post

Where does it say it was an internet based poll? I suspect it wasn't given NOP's history.

You're right. I assumed it was an internet based poll because I'm used to seeing so many damn internet polls.
Dick Applebaum on whether the iPad is a personal computer: "BTW, I am posting this from my iPad pc while sitting on the throne... personal enough for you?"
Reply
Dick Applebaum on whether the iPad is a personal computer: "BTW, I am posting this from my iPad pc while sitting on the throne... personal enough for you?"
Reply
post #22 of 87
Quote:
Originally Posted by hahjr View Post

If O2 allowed current customers to simply buy an iPhone and continue with their current contract I think sales would improve. But only a fool (or someone who has enough money to burn) would buy an iPhone when stuck with the awful selection of tariffs O2 has put on offer.

Got it in one. The iPhone is not competing adequately because it makes two fundamental errors, it's way more expensive than much of the competition and lacks features the competition already have. Something has to give - either the price/tariffs or the functions (3G, MMS etc.).
post #23 of 87
Quote:
Originally Posted by Gee4orce View Post

I agree with SpinDrift - and the response I've had from people has ranged from "That's not too expensive, when you think it's also an iPod" right up to "I'm soooo jealous!". I think it's a bloody miracle that Apple have managed to sell ANY considering the near endless bad press that has been drummed up ever since the US launch.

Sheesh - here's is something that actually, for once, feels like something you'd expect to be using in the 21st century, and all people can do is bitch and moan !

I do think that the iPhone is not for everyone - especially if you just want a cheap phone just to make phone calls on - but I also think that for a surprising number of people it's really the first true convergence device that you can actually use.

Kinda weird. Now that the Mac is finally making serious inroads, we're seeing the whole pattern repeated with the iPhone....

I agree with you. Why does the UK press have such a negative attitude the Apple. Seems to have always been like this ...
From Apple ][ - to new Mac Pro I've used them all.
Long on AAPL so biased
"Google doesn't sell you anything, they just sell you!"
Reply
From Apple ][ - to new Mac Pro I've used them all.
Long on AAPL so biased
"Google doesn't sell you anything, they just sell you!"
Reply
post #24 of 87
Personally, I decided to wait with my purchase of the iPhone for the two reasons:

(1) You are stuck with the contract (and phone) for 18 months and the hardware is already 6 months old - probably an updated iPhone will be released over the next 6-9 months, I prefer to make that commitment on new hardware only. Most significant will be the software updates of course, but even adding another 8 Gb to the memory will make a difference worth waiting for, especially with the new software around the corner when the SDK is released early next year.

(2) It's all nice to have unlimited UK data access, but for those of us who travel the roaming data rates are far too high, > 6 pounds per Mb (that's almost $12) in continental Europe, so the benefits of the iPhone are totally lost once you're outside this geographically small country, unless you are willing to pay those data rates. This is less of an issue in a country as vast as the U.S. where you can roam with unlimited data from coast to coast, a much, much larger area. They (O2) have to come up with attractive data roaming packages. Normally I have a number of sim cards in my wallet which I change when crossing the border, but obviously that doesn't work in this case...
post #25 of 87
Quote:
Originally Posted by Fotek2001 View Post

Got it in one. The iPhone is not competing adequately because it makes two fundamental errors, it's way more expensive than much of the competition and lacks features the competition already have.

mmm ... well the list of features it has, that nothing else has, is far longer! An avid Blackberry user sat with me yesterday and watched me do stuff on my iPhone and turned green before my eyes. He is going to get one today
From Apple ][ - to new Mac Pro I've used them all.
Long on AAPL so biased
"Google doesn't sell you anything, they just sell you!"
Reply
From Apple ][ - to new Mac Pro I've used them all.
Long on AAPL so biased
"Google doesn't sell you anything, they just sell you!"
Reply
post #26 of 87
Quote:
Originally Posted by digitalclips View Post

mmm ... well the list of features it has, that nothing else has, is far longer! An avid Blackberry user sat with me yesterday and watched me do stuff on my iPhone and turned green before my eyes. He is going to get one today

That's not difficult. Blackberries are pretty feature-lite too.
post #27 of 87
Quote:
Originally Posted by bavlondon2 View Post


Apple made a mistake and now they have to admit it and either cut the price or lose out on sales.

I was going to bet that you'd then be condemning Apple for screwing their users with a price cut, but looked up your threads and see that you were supportive of Apple on that one.
Pays to research before posting, huh?

I just tend to think that the initial 'Tickle Me Elmo' phase has passed, and the iPhone will float on its own merits. Not too worried about that.
post #28 of 87
Quote:
Originally Posted by aegisdesign View Post

It's not cheaper than the competition. Not by a long shot.

At the same service levels, it is cheaper.
post #29 of 87
I know a few people who bought one in the UK and the reaction from others seems to be the same as people have been saying here. The iphone has impressed people in the UK but the people I knew had to either buy out contracts or wait until they ran out, sometimes at great expense.

O2 certainly isn't the best network around either.

But on top of that, Apple does seem to be viewed quite negatively in general. I often meet PC users - even ones who don't know much about computers - being quite outspoken against Apple because of their rip-off prices and incompatibility. Apple seems to have developed a bad reputation and I think there are a number of reasons.

First of all, the extra charges they put on products compared to the US. Other manufacturers manage to keep their prices in check:

Picked a random machine-

Dell US Optiplex 755 = $517
Dell UK Optiplex 755 = £279

If you take the exchange rate from $517, you get £250 + 17.5% VAT = £295 so Dell are making their machines cheaper over here.

Apple US Macbook Pro = $1999
Apple UK Macbook Pro = £1299

The exchange means it's £970 + 17.5% = £1139. Even £1199 would be ok but a £160 charge for not being an American is insulting.

Then there's the fact that special features come to the US first like itunes movies or the Apple TV.

If they treat people outside the US as second class citizens then they shouldn't be surprised when that favor is returned.

They don't seem to understand that if they treat customers better, they will be rewarded with better support from them. They seem to think that by making a great product gives them a right to behave however they please with exclusive contracts and high pricing. Sony made this mistake too and look how much of a beating their PS3 has taken. Oh sure they said, it doesn't matter if the PS3 is priced high, people will still buy it. Oh really, so why now release a cheaper 40GB version with features cut out?

The UK iphone should have cost at most £199 with such an expensive contract, it should have been 3G and should have had a fully fledged developer kit. Not to mention free ring-tones and a few other things.
post #30 of 87
I'd LOVE an iPhone, and I'm the sort of person that will go out and buy things and think about the cost later.

In this case it's the tariff with 02. My past dealings with them have been awful and so I won't touch it while you have to sign up with them.

18 month contracts are actually still quite rare in the UK, with most going for 12 months, or if you go for 18, it's because you're getting a really good deal on the phone too.

My work colleagues ALL say they would like an iPhone, there is no doubt about that, but the cost is just too prohibitive.
post #31 of 87
The £269 price doesn't really bother me. I WANT an iPhone and am willing to pay that to get one. Heck, I'd even pay a bit more. So what has stopped me getting one? The tariffs. They suck. My monthly expenditure would go up bigtime if I got an iPhone. Who knows - if the wife gets me a surprise one for Christmas I'll probably give in and sign up ...
post #32 of 87
Quote:
Originally Posted by aegisdesign View Post

It's not cheaper than the competition. Not by a long shot.

Actually it IS cheaper than the competition... by a long shot.

Looking at the price plans alone, and ignoring the "features" of the phone, you get unlimited data and Wifi thrown in for free. Unlimited data on any other phone on O2, or any other network is going to cost at least £7.50 a month if you're lucky, most likely £12.50. So far so good. Add in Wifi, and you're looking to add another £5.00 at least, a month. SO that's around £15 on top of the tariff of minutes.

Look at Vodafone's unlimited data - don't do one, Oranges - don't do one, T-Mobile (£7.50 or 12.50), or 3 - £5.00 at least, or "unlimited" data with limits.

The cost of the iPhone is more expensive than other phones, but this also has plenty of features that are actually useful, like the touch screen, and the excellent software which is being improved all the time (3 upgrades so far in the US), whereas other networks phones from Nokia often don't get an upgrade at all, and buying unbranded doesn't always help.

All in all the iPhone's UI, with the features that are useful - hello Safari - and for the first time no worry that the data bill might be extortion, is frankly life changing.

I'm sure we all regret it not having 3G, but no matter how good it was, and no matter how many features they'd crammed in, someone would always call it a dud. Just like they did with iPod!
post #33 of 87
Apple's products are always overpriced outside of the US. Seriously, 269 GBP is completely unreasonable when they're selling it for $399 in the US. Just like 1299 GBP is a crazy price for a 1999 USD MacBook Pro.
post #34 of 87
Too expensive, two missing key features, and a duff spec for the camera.

For us the missing key features are the lack of 3G / HSDPA, and the ability for phone to provide a data link for laptop over bluetooth. The dud spec is the camera resolution (we use the camera in our phones to capture work-in-progress).

The tariff is expensive too. We don't care so much about purchase price - we are heavy phone users and our monthly usage cost is far bigger issue than initial transaction cost.

Right now we've got N95s, and they are doing very well for us. We'll wait and see what iPhone2 (or EuroiPhone) looks like should one appear (we assume 3G / better camera spec version is only weeks away...). But unless O2 start offering competitive tariff terms, can't see us moving any time soon.
post #35 of 87
Quote:
Originally Posted by henryblackman View Post

Actually it IS cheaper than the competition... by a long shot.

Looking at the price plans alone, and ignoring the "features" of the phone, you get unlimited data and Wifi thrown in for free. Unlimited data on any other phone on O2, or any other network is going to cost at least £7.50 a month if you're lucky, most likely £12.50. So far so good. Add in Wifi, and you're looking to add another £5.00 at least, a month. SO that's around £15 on top of the tariff of minutes.

Look at Vodafone's unlimited data - don't do one, Oranges - don't do one, T-Mobile (£7.50 or 12.50), or 3 - £5.00 at least, or "unlimited" data with limits.

The cost of the iPhone is more expensive than other phones, but this also has plenty of features that are actually useful, like the touch screen, and the excellent software which is being improved all the time (3 upgrades so far in the US), whereas other networks phones from Nokia often don't get an upgrade at all, and buying unbranded doesn't always help.

All in all the iPhone's UI, with the features that are useful - hello Safari - and for the first time no worry that the data bill might be extortion, is frankly life changing.

I'm sure we all regret it not having 3G, but no matter how good it was, and no matter how many features they'd crammed in, someone would always call it a dud. Just like they did with iPod!

Excellent points. A couple of questions/observations:

1) What is the share of iPods in the UK? Is it as high as that in the US?

2) How do these sales compare to those of comparable 'smart'phones (e.g., N95) in the UK? (I have never seen any numbers on them, yet the tech-literati in forums like these are always praising them, and talking about how feature-lite the iPhone is).

3) How many phones is 1% of the UK mobile phone market? (The survey shouldn't be troubling as long as it says that 1% of consumers are interested every year?)
post #36 of 87
Quote:
Originally Posted by aduzik View Post

Apple's products are always overpriced outside of the US. Seriously, 269 GBP is completely unreasonable when they're selling it for $399 in the US. Just like 1299 GBP is a crazy price for a 1999 USD MacBook Pro.

Here we go again, without understanding or pointing out the difference between pre-tax and post-tax numbers!
post #37 of 87
Quote:
Apple's products are always overpriced outside of the US. Seriously, 269 GBP is completely unreasonable when they're selling it for $399 in the US.

Before the price drop and after taxes I payed 313 pounds for the iPhone. My mobile service is 34 pounds.

Quote:
If they treat people outside the US as second class citizens then they shouldn't be surprised when that favor is returned.

You are probably right. It doesn't seem Apple has worked as hard to establish a relationship with other markets as it has done in the US.
post #38 of 87
The promised O2 advertising blitz just didn't happen. You would have imagined our big Champions' League (Pan-European) soccer matches would have been ideal but were ignored. The U.K. 'I'm a Celebrity', get me out of here , (another big crowd puller) wasn't used - and most other popular mainstream programmes such as the X factor and our big soap operas would have been great - however these have been largely if not completely ignored. Instead they seem to have decided that their demographic was represented by the minority Channel 4 ( and I've only seen a handful of the ads on there) - not enough to make a breakthrough. Now maybe I've just missed them but I definitely think they could have advertised more effectively!
post #39 of 87
No 3G, in a 3G savvy market=current iPhone sales

Still, I love mine and am V.Happy
post #40 of 87
I have worked with Apple in the past and know they originally intended a more ala-cart MVNO model for the Iphone. I think that it was a cash generation decision to partner up. Originally T-Mobile was the preferred partner for the whole of Europe back in 2005 when i was involved.

I'm not a power phone user and i understand the phone segmentation in the UK better than most. The iphone is a great product, but for me the ratio for success is a good mixture of hardware and tariff.

I left o2 last week after 18 months. The service was unremarkable and the customer service pretty average. o2's faults to my mind have always been their back end systems which are poor/ terrible net-billing system integration ( its never worked for me ) and an inflated tariff structure.

As a Apple nut everyone was quite surprised when i turned up in the office sporting a 3 Skype phone. Sure its on an 18 month contract but the phone was free, and it comes with 4,000 Skype minutes over the voice network so its very good, 300 anytime minutes and then 300 3-3 user minutes. I also get unlimited 3G web all for £21.00 all in with VAT.

o2 simply can't compete. Its not really about the hardware, in the end i bought a touch. The UK market really is more about the networks and the pricing of tariffs. Yes we are used to fully subsidised phones and why would we want to change now.

The best thing Apple could do in my opinion is get the new Iphone out in Feb not May and get more flexibility in the tariffs with bolt ons and a cheaper price of entry!
New Posts  All Forums:Forum Nav:
  Return Home
  Back to Forum: iPhone
AppleInsider › Forums › Mobile › iPhone › Reports: UK consumers slow to adopt Apple's iPhone