Vodafone NZ Apple iPhone prices: just wrong
What is Vodafone thinking?
Not only because $250 per gigabyte is an absurd amount of money when you can go as low as $1 per gigabyte on fixed plans with the top ISP in the country. Even taking in consideration that this is mobile data, Vodafone really got their heads in the clouds.
According to some calculations, if you buy the cheapest iPhone 3G and add the lowest allowance data plan (250 BM) we are still talking about $2,469.00 over two years. And if you decide that you will use 1 GB then your total price jumps to $6,349.00. Unbelievable.
Vodafone announced yesterday prices would be up on their website 10am today. At 10am their website crashed under the volume of visitors - and even Geekzone got a bit slow withthe number of visitors, and mainly with the number of new comments on this Vodafone iPhone plans being posted.
I am yet to see a happy comment...
UPDATE: Someone is happy and contacted me to make his thoughts known - a bit rude I have to say, but here we go. He thinks this is a great deal... A You Choose 600 plan ($224.95) plus mobile broadband 1 GB plan ($49.95) plus 600 SMS ($12.9). All this for $250 instead of $287.85... So he sees it as a great deal.
I see it as Vodafone not giving their customers options. Why shall customer A get a Choose 600 plan if 600 voice minutes a month is to much? Why not allow mix of voice and data plans? Your money, your choices.
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Comment by Talkiet, on 8-JUL-2008 12:50
Well, fortunately there's a simple, straightforward way to deal with the new pricing.
If, in your opinion, it represents a reasonable exchange of $$$ for product and services, then buy it.
If it doesn't, then don't buy it.
It's not like it's the only mobile phone available.
Cheers - N
Comment by RedJungle, on 8-JUL-2008 12:55
What a shame. There's a great opportunity to introduce the masses to the joys of regular daily data usage, but not at those price points.
Comment by barnaclebarnes, on 8-JUL-2008 12:58
And if you decide that you will use 1 GB then your total price jumps to $6,349.00. Unbelievable.
Actually that isn't quite correct. You can get the $80/month version and add 1GB of data for $49 which makes it circa $130/month, not $250/month.
I agree though, the plans are expensive. I would have expected a 'game changer' which for NZ would have been 1GB data + calls for less than $100/month.
Comment by barneyc, on 8-JUL-2008 13:04
to my mind the actual cost of the phone isn't too out of line with other high end phones in nz but that data costing is just bizarre.
I'm mobile right now so can't easily look it up but how does the data price compare to the $1 a day deal announced a couple of weeks back?
Comment by destined, on 8-JUL-2008 14:30
It is a bit sensationalist to claim that it is $250 for 1 Gb of data. I may not agree with what Voda are offering, but it is $250 for a package which includes 600 minutes of calling and 600 text messages as well as 1Gb of Data. When you factor in that Vodafone already charge about $225 for 600 minutes (You Choose 600) and texts (with the TXTer offer), that means you are only paying $25 for 1Gb of data which isn't so horrific.
Now $225 for 600 minutes and 53c per minute over is a bit of a rort, but that is another rant for another time!
Comment by grimwulf, on 8-JUL-2008 14:40
I wholeheartedly agree with you Mauricio.
Perhaps not unbelievable, given Vodafone's track record in this country and the position of mopolistic power it finds itself in (with not only the only 3G network, but also the only one with an apple deal), but sickening is the way I describe it.
Sickening for NZ, in an area where we have the opportunity to catch up with the rest of the world - a 3G network, a brand new device with industry changing capabilities.
Sickening for Apple fans in NZ, to have their only conduit to the Apple experience sullied by such pure greed.
Sickening for the international launch of the 3G Iphone - the whole world will be watching at 12.01 Thursday evening, expecting to see throngs of people queueing (given that NZ is the first in the world to see the release) - and what will they see? Tumbleweeds.
I truly fail to see how a global company like Vodafone cannot see the wood for the trees. Selling something cheaply to millions is far more profitable than selling something overpriced to a few.
With this action, Vodafone, you have alienated a huge market - a market who not only want to buy this type of product, but also want to use the services behind it.
If I were a Vodafone shareholder, I would be taking a seriously long hard look at the board that presumably ok'd these prices... someone has to be accountable.
When the rest of the world is crowing about the dollars the Iphone is raking in, and Vodafone NZ is scratching their heads at the cents on thier ledger, we'll know why.
Comment by thotplickens, on 8-JUL-2008 14:47
I can't get my head around the huge price difference between plans offered in the states and vodafones fantasy plans here. A two year plan in Texas costs around $70 US per month including unlimited data and email, 450 peak minutes and 4000+ off-peak. Oh and 200 txts. The 8gb model costs $199 and $299 for the 16gig. you can add around 20% to cover the higher value of the US dollar which would give you a total cost of NZ 2,016 for a two year period plus purchase price. Rough maths for sure but close enough. Compare for yourselves on the AT&T website. I reckon Apple and Vodafone need to have a rethink here.
Comment by mobygeek, on 8-JUL-2008 15:21
Is the 601st minute really 53cents? What about overage on data? The prices really skyrocket then...
Comment by destined, on 8-JUL-2008 15:30
Data overage is not too bad (comparatively) on this plan - 3c per Mb, or $30 per Gb, so comparative to the initial cost ($25 for a Gb based on the You Choose pricing), and better than the 50c per Mb overage on the plus plans, so really I think that the data pricing (on the top iPhone plan) is reasonable compared to the current market.
I agree with your additional sentiments Mauricio about removal of choice. Why couldn't Vodafone have introduced 3 data plans for the iPhone and allowed customers to pick their You Choose plan and add the data on from there? Then customers who want the large data and small calls would be happy. But then sometimes too much choice can be a bad thing!
Comment by stuart, on 8-JUL-2008 16:22
Good on you for taking a stand - lots of people are just saying "oh well, Vodafone's other plans were expensive anyway so what do you expect?"
The problem, as you mentioned, is that you can't customise your plan like you can with current phones. If you want 120 minutes talk time and 1GB data, you're out of luck.
Comment by tristan, on 8-JUL-2008 17:07
maybe they have a supply problem...
Maybe they don't have many to sell and they want to price some people out of the market untill they can secure more...
not a defence in my opinion but thats what they might be trying to do
Comment by Kezzainc, on 8-JUL-2008 17:52
Hahaha... Take that you Apple lovers!
Funny part is your all moaning that you want one of the lastest phones for very little money. Crazy logic. When does that happen!? As the same as adding 2 years of service together to wack out the price! And just saying you only get 1gig per month for $6k over 2years is simply rubbish. Put all that talk time in too!! 600mins is a HUGE part to the plan. 600x24 = 14400 mins!!!!!
I payed $1799 for my Imate Jasjam open plan because I made a choice to get the lastest phone.
For me i see most people have missed the whole point... Buy it plan free for $1129!! For a 16gig fone with Wifi, HSDPA etc I thought was a good deal. It should be more about that price and not with plans.
Sorry but anyone who wants this phone deserves to be ripped off anyway. Apple Suckers!! ha ha ha! I find it to be bloodly funny....
Comment by Paul, on 8-JUL-2008 18:32
For me it's the data that's crippling.
As mentioned, the phone is about right with the rest of the world, but when O2 can offer unlimited data and Vodafone thinks 1GB is big (like their broadband offer), someone in Vodafone isn't a user (pusher?).
Who can affort $250 a month, I mean you can buy a nice car cheaper, leave the iphone and the web at home and drive around the country cheaper than viewing the NZ flickr page.
The iphone is a killer machine, but the data rates are just silly, and they know it, the John Campbell interview was painful.
Comment by coffeebaron, on 8-JUL-2008 18:34
I'm hoping I can have an iphone plan on a non iphone phone. These plans will save me $30-40 per month
Comment by Simone, on 8-JUL-2008 19:51
I guess Vodafone is upset for not having been included in any of the bundle with Apple, so now is treating the iPhone as any other internet enabled mobile device.
These horrible rates are the same in Italy and Portugal, and I guess in any other country where Vodafone is present
Comment by foobar, on 8-JUL-2008 19:56
What is Vodafone thinking?
I think I know what they are thinking: The iPhone is bought by people who really, really love Apple or the latest and greatest gadgets. Since these people are "fans", they will be willing to pay "fan/collector/special" prices.
If the iPhone would not have been so hyped, would not be from Apple with its huge fan(boy?) following, Vodafone would never dare to charge that much.
But in the end: People will just have to have the latest and greates, the shiny new thing, from Apple no less. So they will be willing to pay.
You charge as much as the market is willing to bear. And if you notice that the market doesn't accept it, well then it's always easy to lower the prices. Happend with the original sales price of the iPhone when it came out. Wasn't it significantly dropped in price a few weeks/months later? Screw the ones who were true believers and bought it right when it came out!
Same here. They will charge as much as they can get away with.
Comment by Sam D, on 8-JUL-2008 21:29
I have $1000 burning a hole in my pocket for an Apple iPhone. I was going to buy one first thing Friday morning - until i saw the data prices.
I am thinking of keeping my current crappy phone and waiting until Telecom New Zealand comes out with the iphone too - and then the prices will plummet.
I was going to change from Telecom to Vodafone to get the Apple iPhone - but now i realize vodafone think nothing of ripping me off so i am sticking with telecom for now - to see how their plans will match up.
Vodafone has dropped the ball on this one - and gained a lot of ill will that may take a long time to get back - if ever.
Telecom has a great opportunity to win some major amount of customers if they have sensible plans.
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Comment by manhinli, on 8-JUL-2008 12:41
"I am yet to see a happy comment..."
... and we won't for a long time. I've got a long list of comments on my blog article - also turning Vodafone down.
They should have really followed closely to what others have done too. Optus' ones now don't look too bad at all.
I also don't like the huge price jump for the subsidised iPhones... $549... $449 and then $199. That's just not fair for people who need a lower cost plan, but there is a huge price barrier.