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1598 posts

Uber Geek
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Topic # 93554 24-Nov-2011 00:44
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If you've seen any of my other posts you will know that I am not an Apple basher or a Vodafone basher, in fact, quite the opposite: I have an iPhone 4S on Vodafone. With that said I am a little annoyed (irony?) at how Apple/Apple users are being given some sort of "preferential" treatment over virtually any other brand of device. I have made a few comparisons here on a few different topics:

Subsidies
While arguably the phones normal costs are not the same ($899 vs. $699) the principal is the same: The subsidy is much higher for an iPhone on the same plan as any other device. A cheaper device, the Nexus S, costs $299 on the plan vs. a more expensive iPhone 4 for free, come on! Comparisons made on the 24 month, $85 Smart plan:
  • iPhone 4:
    • Normal Cost: $899
    • Subsidized Cost: $0
    • Subsidy: $900
  • Samsung Nexus S:
    • Normal Cost: $699
    • Subsidized Cost: $299
    • Subsidy: $400
Why is it that the iPhone gets an extra $500 discount over any other phone on the same given plan?

SIMs

  • iPad:
    • Credit: $20
    • Cost: $19.95
  • Non-iPad:
    • Cost: $29.95
    • Credit: $15
Vodafone make a 5c loss on each of the iPad Micro-SIMs? I find that a little hard to believe.. Also why is the Prepay Smart SIM $29.95 but only comes with $15 credit? There is very little difference in costs that I could see between a Smart SIM and a iPad Micro-SIM, both have the same "credit card" surround so the size difference is not going to fly here.

Data Plans


iPad: 3GB = $50
Non-iPad: 2GB = $59.99

How does this work? $9.99 cheaper for an extra GB? Its not exactly fair (I could use other words) to be charging a discounted price for one device and a higher price for everything else. There are a number of mechanisms in place to stop you getting the iPad plans unless you are absolutely one. For one thing it checks the HTTP User-Agent before even showing you the page, then it checks that you previously signed up onto an iPad plan otherwise it gives the following error: "Sorry, you are currently not on a Vodafone iPad plan." ... "If you wish to go on the Vodafone iPad plan visit an approved iPad reseller.".

/end rant

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Ultimate Geek
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  Reply # 549592 24-Nov-2011 20:25
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I had a similar rant on the phone with vodafone last week. I was willing to resign home BB (Naked $65), My Mobile (smart $65) and my wifes mobile (Smart $45) for up to 24 months (Total of $175 per-month). I wanted a free SGS II (long shot I know), or at least heavily subsidised SGS II.

Because I didn't want an iPhone they were willing to offer me a whopping extra $40 handset subsidy so total would be $340, had I gone for a iPhone 4S I would have gotten $500 just for me signing up plus $400 for the wife.

$200 for a 2 YEAR commitment on a $65 plan is just not enough for me to stay. I'd be better buying the phone outright on the internet and going pre paid, it works out the same price but with no commitment.

On a brighter note and a big thumbs up for Vodafone they did double my minutes for 3 months which did put a smile on the dial.

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Uber Geek
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  Reply # 549598 24-Nov-2011 20:55
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I don't like the whole handset subsidy thing either Cody, as it skews the value of the entire market.

To me it means if I select the $85 Smart plan, without a subsidy as I have my own handset, I'm effectively subsidising the folks with their $0 handsets. (And yes I know VF offer an incentive if you don't take the subsidy, and thats a good thing.)

Whilst I don't 'know' the answer to your question I suspect it all goes back to apple. The actual margins they offer resellers is very small, but I wouldn't be surprised to find they offer some type of 'rebate-scheme' that really only appears at the wholesale end of the channel.
That would explain it for me. Allows apple to keep tight control over retail prices, and gives wholesale channels incentives that let them tie subsidies to new connections.

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Uber Geek
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  Reply # 549634 24-Nov-2011 21:57
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From Telecom website Re: iphone pricing - "Special launch prices. Subject to change" and i suspect VF's pricing structure is equally temporary, it will all settle down and equalize again

Logic would suggest there would have to be some form of profit share (cost share?) between telco and supplier as it is advantagous to both parties

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  Reply # 549672 24-Nov-2011 22:54
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Ah people complain when some phones are favoured
People complain when the same phones aren't favoured.
You can't win!
http://www.geekzone.co.nz/forums.asp?forumid=40&topicid=89014




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272 posts

Ultimate Geek
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  Reply # 549676 24-Nov-2011 23:02
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coffeebaron: Ah people complain when some phones are favoured
People complain when the same phones aren't favoured.
You can't win!
http://www.geekzone.co.nz/forums.asp?forumid=40&topicid=89014


Haha touché, but the point that I think the OP is trying to make is why ONLY this Phone?

It feels like to get a good deal there is only one handset available. 



1598 posts

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  Reply # 549678 24-Nov-2011 23:03
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coffeebaron: Ah people complain when some phones are favoured
People complain when the same phones aren't favoured.
You can't win!
http://www.geekzone.co.nz/forums.asp?forumid=40&topicid=89014

I'm not complaining, in fact I brought my iPhone 4 when they were only $619 back in the day, nowadays they are around $1000 on the same plan. I think what would be fair is to offer the same discount on the same plan regardless of the phone. In the other thread the reason I complained was because it had been that price for nearly a year, then suddenly they dropped it, then they put it back again.

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  Reply # 549773 25-Nov-2011 09:19
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I have seen many varied deals. Certainly seen a few Nokia or Android deals with bigger subsidises than the rest too.
Like when I got my Nokia N8 for free




Chorus has spent $1.4 billion on making their xDSL broadband network faster. If your still stuck on ADSL or VDSL, why not spend from $150 on a master filter install to make sure you are getting the most out of your connection?
I install - Naked DSL, DSL Master Splitters, VoIP, data cabling and general computer support for home and small business.
Rural Broadband RBI installer for Ultimate Broadband and Full Flavour

 

Need help in Auckland, Waikato or BoP? Click my email button, or email me direct: [my user name] at geekzonemail dot com


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