Apple's iPhone dumped by 'big three' Russian carriers over subsidies, marketing costs

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Comments

  • Reply 41 of 87
    nelsonxnelsonx Posts: 278member


    This is just the beginning. In Romania, 3 years ago, I was able to buy an iPhone 4 for 200 Euro with contract. Now you can buy an equivalent iPhone 5 for 350-400 Euro with contract. That is from all 3 major carriers. At the same time you can buy an equivalent Android phone, Galaxy 4, OneX, for 200-250 Euro with contract. The result is that the iPhone 5 is almost extinct from the market. There is only one solution for Apple if they want to survive in the future: Give up the insanely margin, be less greedy!

  • Reply 42 of 87
    poksipoksi Posts: 482member


    This "news" is very poor, therefore stupid comments, full of prejudice, made by years of no-brains propaganda don't surprise...


     


    First of all, you can buy and iPhone in Russia without any kind on problem in APple stores and Svyaznoy retail chain. 


    Second, I strongly believe Apple wanted this kind of outcome, since this is a very good opportunity for them to start a new sales model without mobile providers as sellers. They are unreliable and can always be bribed by personal sales bonuses from other manufacturers.


     


    Russia is very important and successful market for Apple, so if Apple would believe their sales is in danger, they would make deals with mobile providers. The only conclusion is that Apple expect better profits and sales without them. Perhaps not in a shortest terms, but who cares about that, except WS pundits...

  • Reply 43 of 87
    poksipoksi Posts: 482member

    Quote:

    Originally Posted by NelsonX View Post


    This is just the beginning. In Romania, 3 years ago, I was able to buy an iPhone 4 for 200 Euro with contract. Now you can buy an equivalent iPhone 5 for 350-400 Euro with contract. That is from all 3 major carriers. At the same time you can buy an equivalent Android phone, Galaxy 4, OneX, for 200-250 Euro with contract. The result is that the iPhone 5 is almost extinct from the market. There is only one solution for Apple if they want to survive in the future: Give up the insanely margin, be less greedy!



     


    that is nonsense. S4 costs app same as iPhone 5, both unlocked. You should ask your local or regional Apple representatives or distributors about price problems.  


     


    what is insane margin is another story. For me it is insane that such low quality device as S4 is sold for the same price as iPhone 5.

  • Reply 44 of 87
    cash907cash907 Posts: 893member

    Quote:

    Originally Posted by ksec View Post





    This.



    The problems with Russia Carrier dropping them has absolutely nothing to do with iPhone demands. They are simply far too expensive compared to black market ones.


     


    LOL. Ebay = Black Market. Yeah, ok.

  • Reply 45 of 87
    cash907cash907 Posts: 893member

    Quote:

    Originally Posted by poksi View Post


     


    that is nonsense. S4 costs app same as iPhone 5, both unlocked. You should ask your local or regional Apple representatives or distributors about price problems.  


     


    what is insane margin is another story. For me it is insane that such low quality device as S4 is sold for the same price as iPhone 5.



     


    Actually, I've found the S4 to be a high quality device that is popular among it's users. It's not my cup of tea, but that doesn't mean it's not perfectly drinkable.

  • Reply 46 of 87
    poksipoksi Posts: 482member

    Quote:

    Originally Posted by Cash907 View Post


     


    Actually, I've found the S4 to be a high quality device that is popular among it's users. It's not my cup of tea, but that doesn't mean it's not perfectly drinkable.



     


    Really? How did you find that? Here, in my office the only S4 that hasn't a broken glass is the test one. There are 3 other colleagues with same problem and one actually stopped working after 1 week of usage. Friend called to customer support continuously for 7 hours!!! After that they took phone back and told him he has to wait for all one month an half to get it "repaired", which means getting some demo used unit back. Since this happen to him also with S3, he switched to iPhone 5.


    There are 7 different iPhones, none had ever had broken glass, at least not by simply carrying it around pockets.


     


    There is absolutely nothing in terms of quality that is comparable to iPhone. HTC One is much better in terms of look and feel, but S4 is just good looking when taken fresh out of box. Quality? Please...

  • Reply 47 of 87

    Quote:

    Originally Posted by NelsonX View Post


    This is just the beginning. In Romania, 3 years ago, I was able to buy an iPhone 4 for 200 Euro with contract. Now you can buy an equivalent iPhone 5 for 350-400 Euro with contract. That is from all 3 major carriers. At the same time you can buy an equivalent Android phone, Galaxy 4, OneX, for 200-250 Euro with contract. The result is that the iPhone 5 is almost extinct from the market. There is only one solution for Apple if they want to survive in the future: Give up the insanely margin, be less greedy!



    Apple is a business and they need to charge the most they can sell the product for. That's the hard part about being a for-profit business. It sucks, but even Apple has to make their investors happy.


     


    At the same time, you can't make your product so expensive that you lose sales and marketshare and eventually profits.


     


    Apple isn't there yet, but my very very humble opinion is that the smartphone market is beginning to make a shift. When computers first came out they were priced so that only the wealthy could own them. Over time, it became easier and cheaper to make computers and the cost came down. I think smartphones are going to begin that trend soon. The technology in them has just become much more common than 5 years ago.


     


    I don't think that Apple will go for the low end, it is Apple, but they will make a more affordable iPhone. Just like they did with macs. They're still known for making the best computers but they now sell one starting at a $1000. Much lower than the $2500 price tag of the Macintosh 128k.

  • Reply 48 of 87
    phone-ui-guyphone-ui-guy Posts: 1,019member
    jfanning wrote: »
    Russians illegally imported and used the first-gen iPhone when it wasn't available in their country.

    Illegally imported? It was against Russian law to import a first gen iPhone? Wow, that is interesting, can you provide a link for this?

    Yes, they illegally import them to avoid the taxes. If the buy them from outside of Russia legitimately and legally import them, they have to pay the import taxes which sort of ruins the point of importing them in the first place. So it isn't that importing them is illegal, but how they import them is.
  • Reply 49 of 87

    Quote:

    Originally Posted by am8449 View Post



    Isn't it interesting that all three dropped the iPhone around the same time? Maybe they are trying to gain some leverage by working in concert.



    I wonder how the Russian consumer will react to this. Perhaps they'll switch carriers in droves.


     


    It doesn't affect consumers at all, because almost no one in Russia buys phones from carriers anyway (which is also the reason why they decided to stop committing to sell iPhones). In Russia carriers just provide you service, and the phone you obtain separately from any retail store.

  • Reply 50 of 87
    denmarudenmaru Posts: 208member


    Duties and taxes are also higher than normal for Europe...


     


    Dear Americans,


     


    would you please for the love of (your) god learn some geography? Russia is NOT a part of Europe. I believe I already told AI about that mistake about a year before. It's Europe | Baltic and Balkan | Russia.3


     


    Thank you,


    someone who actually lives in Europe.

  • Reply 51 of 87
    crowleycrowley Posts: 10,453member

    Quote:

    Originally Posted by Denmaru View Post


     


    Dear Americans,


     


    would you please for the love of (your) god learn some geography? Russia is NOT a part of Europe. I believe I already told AI about that mistake about a year before. It's Europe | Baltic and Balkan | Russia.3


     


    Thank you,


    someone who actually lives in Europe.



     


    Eastern Europe ends at the Ural mountains, so a significant part of Russia is in Europe.  In fact, even just the bisected part makes it the biggest country in Europe by land area.


     


    Europe is not the EU.


     


    Thanks,


     


    Someone else who lives in Europe.

  • Reply 52 of 87
    poksipoksi Posts: 482member

    Quote:

    Originally Posted by Crowley View Post


     


    Eastern Europe ends at the Ural mountains, so a significant part of Russia is in Europe.  In fact, even just the bisected part makes it the biggest country in Europe by land area.


     


    Europe is not the EU.


     


    Thanks,


     


    Someone else who lives in Europe.



     


    Great job, mate! image  You were quicker than myself. 

  • Reply 53 of 87
    blitz1blitz1 Posts: 438member
    In
    Russians illegally imported and used the first-gen iPhone when it wasn't available in their country.

    They'll do the same now.

    The telecoms have only screwed themselves. So screw 'em. Who cares?

    TS has spoken again, exposing his unflawed logic

    Indeed, it is much easier to sell unsunsidized iPhones without distribution channel of interest than to sell subsidized iPhones through 3 distribution channels representing over 80% of the market.

    Time to buy Aeroflot shares. They'll make a killing flying all the people to the nearest Apple store.
  • Reply 54 of 87
    helicoilhelicoil Posts: 27member

    Quote:

    Originally Posted by Jessi View Post


    iPhones will now be an even more elite status symbol in russia.



     


     


    The Russians will view them as the rest of the (sensible) world does, as little more than fashion accessories or as above -a "status" symbol.

  • Reply 55 of 87
    ksecksec Posts: 1,569member
    cash907 wrote: »
    LOL. Ebay = Black Market. Yeah, ok.

    Sarcasm? Yeah. Ok.
  • Reply 56 of 87
    asdasdasdasd Posts: 5,686member

    Quote:

    Originally Posted by Irving Muller View Post


    Apple is a business and they need to charge the most they can sell the product for. That's the hard part about being a for-profit business. It sucks, but even Apple has to make their investors happy.


     


    At the same time, you can't make your product so expensive that you lose sales and marketshare and eventually profits.


     


    Apple isn't there yet, but my very very humble opinion is that the smartphone market is beginning to make a shift. When computers first came out they were priced so that only the wealthy could own them. Over time, it became easier and cheaper to make computers and the cost came down. I think smartphones are going to begin that trend soon. The technology in them has just become much more common than 5 years ago.


     


    I don't think that Apple will go for the low end, it is Apple, but they will make a more affordable iPhone. Just like they did with macs. They're still known for making the best computers but they now sell one starting at a $1000. Much lower than the $2500 price tag of the Macintosh 128k.



     


    Good post.


    Quote:

    Originally Posted by Suddenly Newton View Post


     


    You mean, "can I imagine something that isn't true?" Why? I worry about real things.



    Lol. Non-answer. He was comparing the current model - which they are going to abandon - with a similar type Mac model. And of course you can imagine things which aren't true. Like a unicorn.Which you just did imagine.

  • Reply 57 of 87
    No matter how you look at this, Apple needs a growth strategy in three rather populated countries - China, Russia and India.
  • Reply 58 of 87
    hudson1hudson1 Posts: 800member

    Quote:

    Originally Posted by StruckPaper View Post



    No matter how you look at this, Apple needs a growth strategy in three rather populated countries - China, Russia and India.




    Are you implying Apple doesn't have one?  If so, I would find that hard to believe.

  • Reply 59 of 87

    Quote:

    Originally Posted by Hudson1 View Post




    Are you implying Apple doesn't have one?  If so, I would find that hard to believe.



    You know very much that's not what I implied. But I understand that's how people troll.


     


    Could I have written my post better so that you can't find an easy opening? Perhaps. But I just think it's not particular intelligent to spend too much time dwelling on this. If you enjoyed a moment of satisfaction from being able to snark on my remark, then you can thank me later in private.

  • Reply 60 of 87
    freshmakerfreshmaker Posts: 532member
    Quote:
    Originally Posted by wakefinance View Post

     

    Where are those customers going to go?  The top three carriers are no longer selling the iPhone, so it's not like people can jump ship from one to the other.  Had only one of them done this it would be a different story.

     

    Exactly. Folks that still want the iPhone will just import it and activate it on the carrier of their choice. The carrier still gets the customer with none of the subisdy cost. It's a win-win for the carriers.
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