A new study by Strategy
Analytics checks handset retail prices with time, suggesting that major brands
possess a positive impact on handset retail values.
Based on the research company, smartphones possess a retail life cycle of around two years after which most brands have reduced product retail pricing by 34% typically, although there are notable exceptions such as the original Samsung Galaxy S, Iphone 4 and HTC Wildfire.
Among the first super phones, Galaxy S was well positioned to carry its price through the early a part of its life cycle due to fewer competitors. Prices of Apple’s iPhone however tend not to become discounted as a result of tightly managed product branding strategy which concentrates on premium smartphones. Finally, the HTC Wildfire shows an extraordinarily low depreciation rate, despite the fact that it’s an entry-level smartphone.
The crop of second generation smartphones like the Samsung Galaxy S II, Nokia N8, LG Optimus and Necessities 3 8520 have similar price depreciation rates 12-24 months after their launches. Another influencing factor could be vendor’s handset portfolio refresh rate having an influence on the retail value of existing products and will also be the focus of a later study…
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