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Topic # 89014 25-Aug-2011 01:33
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I was pricing up selling my iPhone 4 on Trade Me, and using my Palm Pre 2 until the iPhone 5 comes out. I am currently on a 24-month Smart1 for iPhone contract which was due to expire in September 2012. I was rather shocked with what I found out pricing wise (since Vodafone lowered the subsidy substantially from $504 to $174):
  • Resign:
    $150 Early re-sign fee
    $919 Phone (at current price)
    $1069 total
     
  • Outright:
    $1123
     
  • Difference:
    $54
I think what I will probably end up doing is just buying the iPhone 5 outright and swap the sim from my existing iPhone 4 to the iPhone 5 for an extra $54 rather than locking myself in for a further 2 years.

Any ideas?

Cody 

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  Reply # 511556 25-Aug-2011 06:15
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I'm unsure what you're finding surprising.

Right now you're still within a term contract, with the price of the phone in effect counting for a monthy fee from an accounting perspective. Why should any network offer you another significant discount when you haven't even paid off the last one - that's like double dipping from the lolly jar.



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  Reply # 511573 25-Aug-2011 07:50
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You may be waiting while before you can buy an iPhone5 outright. Aren't they normally an exclusive on contract purchase for about the first 6 months?

Whats exactly wrong with the iPhone4 anyway?





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  Reply # 511575 25-Aug-2011 07:51
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sbiddle: I'm unsure what you're finding surprising.

Right now you're still within a term contract, with the price of the phone in effect counting for a monthy fee from an accounting perspective. Why should any network offer you another significant discount when you haven't even paid off the last one - that's like double dipping from the lolly jar.

I understand that but when you look at it Vodafone decreased the subsidy for all of their customers (i.e. not just me) wanting to purchase an iPhone 4 from $504 to $174.



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  Reply # 511576 25-Aug-2011 07:57
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scuwp: You may be waiting while before you can buy an iPhone5 outright. Aren't they normally an exclusive on contract purchase for about the first 6 months?

Not if you buy straight from Apple Online. Of course, if that means that people buy all of them and they sell out for a while then yes, but that is possible with any new product.



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  Reply # 511922 25-Aug-2011 16:00
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I see Vodafone has put the price up a further $80 over night, nice. Not! It would now be cheaper for me to buy the phone outright then to re-sign on the contract. I also noticed that Vodafone has put the price up an extra $5 a month on the Smart1 plan.

Needless to say, I will not be re-signing with them when the time comes.

Yell 

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  Reply # 511953 25-Aug-2011 16:52
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codyc1515:
sbiddle: I'm unsure what you're finding surprising.

Right now you're still within a term contract, with the price of the phone in effect counting for a monthy fee from an accounting perspective. Why should any network offer you another significant discount when you haven't even paid off the last one - that's like double dipping from the lolly jar.

I understand that but when you look at it Vodafone decreased the subsidy for all of their customers (i.e. not just me) wanting to purchase an iPhone 4 from $504 to $174.

cody.  Why should I subsidise your smart phone purchase to the tune of $504 dollars when I only get a $100 discount off any other handset on a smart plan???

Its a marketing/pricing policy that is skewing the real cost of both the device and the service plan. 



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  Reply # 511955 25-Aug-2011 16:55
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oxnsox:
codyc1515:
sbiddle: I'm unsure what you're finding surprising.

Right now you're still within a term contract, with the price of the phone in effect counting for a monthy fee from an accounting perspective. Why should any network offer you another significant discount when you haven't even paid off the last one - that's like double dipping from the lolly jar.

I understand that but when you look at it Vodafone decreased the subsidy for all of their customers (i.e. not just me) wanting to purchase an iPhone 4 from $504 to $174.

cody.  Why should I subsidise your smart phone purchase to the tune of $504 dollars when I only get a $100 discount off any other handset on a smart plan???

Its a marketing/pricing policy that is skewing the real cost of both the device and the service plan. 

You tell me? If they hadn't have done it in the first place then they wouldn't have "skewed" our ideas of the pricing. 

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  Reply # 511970 25-Aug-2011 17:13
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codyc1515:
sbiddle: I'm unsure what you're finding surprising.

Right now you're still within a term contract, with the price of the phone in effect counting for a monthy fee from an accounting perspective. Why should any network offer you another significant discount when you haven't even paid off the last one - that's like double dipping from the lolly jar.

I understand that but when you look at it Vodafone decreased the subsidy for all of their customers (i.e. not just me) wanting to purchase an iPhone 4 from $504 to $174.


And they gave you signifncantly better value for money in terms of included bundle minutes.  



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  Reply # 511972 25-Aug-2011 17:17
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sbiddle:
codyc1515:
sbiddle: I'm unsure what you're finding surprising.

Right now you're still within a term contract, with the price of the phone in effect counting for a monthy fee from an accounting perspective. Why should any network offer you another significant discount when you haven't even paid off the last one - that's like double dipping from the lolly jar.

I understand that but when you look at it Vodafone decreased the subsidy for all of their customers (i.e. not just me) wanting to purchase an iPhone 4 from $504 to $174.


And they gave you signifncantly better value for money in terms of included bundle minutes.  

Not everybody wants more minutes, I think it was evidently clear people wanted more data: Didn't happen. They reduced the amount of data probably knowing that nobody would use the extra minutes, I for one don't.

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  Reply # 511993 25-Aug-2011 17:48
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codyc1515:
oxnsox:
codyc1515:
sbiddle: I'm unsure what you're finding surprising.

Right now you're still within a term contract, with the price of the phone in effect counting for a monthy fee from an accounting perspective. Why should any network offer you another significant discount when you haven't even paid off the last one - that's like double dipping from the lolly jar.

I understand that but when you look at it Vodafone decreased the subsidy for all of their customers (i.e. not just me) wanting to purchase an iPhone 4 from $504 to $174.

cody.  Why should I subsidise your smart phone purchase to the tune of $504 dollars when I only get a $100 discount off any other handset on a smart plan???

Its a marketing/pricing policy that is skewing the real cost of both the device and the service plan. 

You tell me? If they hadn't have done it in the first place then they wouldn't have "skewed" our ideas of the pricing. 

Marketing.  But it's good to see they're leveling things out now

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