"BlackBerry better not screw up the pricing..."
- In my opinion they should price it slighlty above costs so that each sold PRIV generates a small profit:
1. Assumed they can produce the PRIV at reasonable costs that would result in a reasonable selling price which would attract buyers.
2. The more they sell the higher the revenue, which will please investors (since they are focusing on revenues at Blackberry at the moment) and will change the perception of the public and the media of Blackberry being a loosing company. With a changed perception they could eventually charge higher prices for their next phones.
3. Since would be selling each phone at a small profit the bottom line would improve significantly since curently the hardware segment has a negative margin. This would also please the investors.
4. As a result of 2. and 3. the share price could increase significantly changing the perception among big corporations and therefore making it easier to sell BES12 solutions to big coporations. It would also improve employees' morale since their shares and options would have value
Posted via CB1009-30-15 07:46 AMLike 0 - Maybe have a limited time introduction cost to get sales going, and then bump up to Passport price?
Posted via CB1009-30-15 07:58 AMLike 0 - And then people refrain from purchase until the inevitable price slash. In mobile tech, you never price up after launch because spec depreciation from the short generational interval means a phone loses value from the day of release.09-30-15 08:30 AMLike 0
- You guys are dreaming if you think this phone will be in the $400-500 range. It will be $650-750. with or without discounts on launch.
Once you start at a low price you can NEVER go up. What do you think would happen if they sold it at say $500 then the had a 5-10% return or warranty? Or they want to price next year's "flagship" at $800?
.....and you want BlackBerry to spend millions on advertising?
BlackBerry don't need that customer that buys cheap. Better to make $1000 on ten phones than $1000 on 100 phones. You have no idea on what it takes to sell 10x more to make the same profit.
Wake up no business thinks like you guys.
BlackBerry has a "plan" they're not going to disclose it to their competition. If you can't see their "plan"..... well I don't need to say it.
PIN 829A "You're only known for the worst thing you do" DSO 1978Last edited by Mr4aces; 09-30-15 at 08:45 AM.
09-30-15 08:34 AMLike 0 - Well it sounds like you've been running BlackBerry all along. Because they are great at selling 10 phones.
Me? I'd rather they sell 2 million phones at 550 dollars than 10 phones at 1000. But what do I know?
Z30STA100-5 / 10.3.2.2639 / T-Mobile USA09-30-15 08:42 AMLike 0 -
Maybe that is why your not running a billion dollar company?
If the phone cost $500 and you sell it for $550. You already lost 30-40% to wholesale vendors.
It going to increase you company's operational cost if you move 2 million phone OR do you plan to have volunteers donate their time? Logistic? BlackBerry can not move 2 million phone in 3 months even if they wanted to. How is BlackBerry going to pay for 2 million phones? Growth has to be structured otherwise it is a recipe for failure.
This "pricing" is not as easy as you think. Only BlackBerry can determine this. It is based on far to many things that we do not know about.
PIN 829A "You're only known for the worst thing you do" DSO 1978Last edited by Mr4aces; 10-01-15 at 06:39 PM.
09-30-15 08:53 AMLike 0 - Maybe that is why your not running a billion dollar company?
If the phone cost $500 and you sell it for $550. You already lost 30-40% to wholesale vendors.
It going to increase you company's operational cost if you move 2 million phone OR do you plan to have volunteers donate their time? Logistic? BlackBerry can not move 2 million phone in 3 months even if they wanted to. How is BlackBerry going to pay for 2 million phones? Growth has to be structured otherwise it is a recipe for failure.
This "pricing" I not as easy as you think. Only BlackBerry can determine this. It is based on far to many things that we do not know about.
PIN 829A "You're only known for the worst thing you do" DSO 1978JeepBB likes this.09-30-15 09:15 AMLike 1 - Clarification: maybe that's why he's not running a company whose war chest is mostly from an opportunistic cash infusion, that has not managed to make money on a single phone since 2012, and whose reputation in the industry and consumer market is like that of the kid with the shaved head playing by himself at recess.
Define make money on a single phone?
Since 2012 during the RIM/ML/TH? I could write pages but not going there.
This admin has slowed the bleeding down. Don't you see their "vision"?
PIN 829A "You're only known for the worst thing you do" DSO 197809-30-15 09:26 AMLike 0 - Lol, yeah you might have defined BlackBerry. But they set that look long ago.
Define make money on a single phone?
Since 2012 during the RIM/ML/TH? I could write pages but not going there.
This admin has slowed the bleeding down. Don't you see their "vision"?
PIN 829A "You're only known for the worst thing you do" DSO 1978
By make money on a single phone, I mean that they have not failed to lose money on the production of a single phone since they introduced BB10. That's a fact. As for slowing the bleeding, that can happen when you discharge all of the people that develop your OS and put said OS on a cyanide drip. Decreasing expenditures is not the same thing as fixing the company. It appeases shareholders briefly, but that's all.
As for their 'vision', there isn't one as such, beyond the nebulous daydream of making BBRY relevant to consumers again. Of course, none of the truly salient steps, like competitive pricing for handsets, is palatable to them which is why, ultimately, the vision will fail. Nothing about the handset division has innate value any longer, beyond the name BlackBerry to a few tens of millions that seem to love rooting for the underdog. They've essentially shuttered their unique OS, and relinquished their security laurels and rollout of updates in the bargain, and their MDM software and productivity solutions are going to be platform-agnostic in this next fiscal year.JeepBB likes this.09-30-15 09:48 AMLike 1 -
- Lol, yeah you might have defined BlackBerry. But they set that look long ago.
Define make money on a single phone?
Since 2012 during the RIM/ML/TH? I could write pages but not going there.
This admin has slowed the bleeding down. Don't you see their "vision"?
PIN 829A "You're only known for the worst thing you do" DSO 1978
BBM with Channels was going to be the next big social media "thing".
BES12 was what all the Enterprise world was waiting for.
IoT was worth Billions and BlackBerry was getting in on the ground floor.
Doctors would be able to use the Passport of all sorts of medical applications.
BlackBerry Classic was what the Enterprise world was waiting for.
Selling patents is the key to long term growth.....
The hardware division has lost BILLIONS over the last four years.... the only reason they haven't shut the hardware business down (like I think Chen wanted from the beginning), is because without it - their software revenues would be a 1/2 of what they are now. And that simply isn't sustainable no matter how many people you lay off.
As for the PRIV pricing... if they are still focused on enterprise, then the BlackPhone2 is their competition.
If they hope to return to the consumer market... well as no one else thinks there is a keyboard market, they really don't have any competition right now. So if the keyboard is a "must have" feature than $700 isn't going to be an issue. If it's not a "must have" feature... then sales are gong to flop regardless of the price.
But as part of a "good will" promotion, it sure wouldn't hurt to give BB10 owners a substantial trade-in allowance for a short period of time.....JeepBB likes this.09-30-15 10:01 AMLike 1 - It would have to fairly high value. A better strategy might be to try to match Google's offer of $50 credit to the Google Play Store. That's a nominal cash savings at point of sale and they might be able to negotiate reduced cost with Google by demonstrating their real intention to proliferate an Android device.anon4226395 likes this.09-30-15 10:03 AMLike 1
- RIM/ML/TH lost billions not BlackBerry. It was the same type of thinking they should sell 2 million phone that put them in financial crisis. BlackBerry is almost there, they will be here for a while.
So all those people that think they should sell for $550 or under can keep dreaming. It's not going to happen. In addition to what I have already said, they would have to preorder large qualities in anticipation of moving product. Do you really think that will happen after the BB10 launch?
I have an idea what their "vision" is. It has been said by others. Don't need to go here on this thread.
Give a trade in allowance on BB10 phone? Would be telling the world the phones are crap. MG BlackBerry just said they will have 10.3.3 in March to calm the troops down. What rumors do you think would come up if they did a trade in?
PIN 829A "You're only known for the worst thing you do" DSO 1978Last edited by Mr4aces; 09-30-15 at 11:11 AM.
09-30-15 10:48 AMLike 0 - It would have to fairly high value. A better strategy might be to try to match Google's offer of $50 credit to the Google Play Store. That's a nominal cash savings at point of sale and they might be able to negotiate reduced cost with Google by demonstrating their real intention to proliferate an Android device.
PIN 829A "You're only known for the worst thing you do" DSO 197809-30-15 10:49 AMLike 0 - It would have to fairly high value. A better strategy might be to try to match Google's offer of $50 credit to the Google Play Store. That's a nominal cash savings at point of sale and they might be able to negotiate reduced cost with Google by demonstrating their real intention to proliferate an Android device.09-30-15 10:54 AMLike 0
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- I think a good price for The Priv in the UK is �300-350 on PAYG and �35/month on a 18 month contract, that's a competitive price here for mid range devices, if The Priv is successful with that price tag then BB may think about developing a new line of hybrid OS devices, also at some point a possibility of re-imaging and relaunching OS10 with 10.3.4 to sway those for whom The Priv is the first BlackBerry they've owned?
In terms of marketing campaign, maybe get Mercedes-AMG to earn their sponsorship, they're top of the F1 tree just now, product optics should be exploited, "BlackBerry, the phone of champions!" should be The Priv's tagline with Lewis and Nico BBMing each other on Privs in a global ad campaign kinda thing right ?
Posted via CB10anon4226395 likes this.09-30-15 11:21 AMLike 1 - 09-30-15 03:38 PMLike 0
- Pricing, due to inflation here in Canada is going to really hurt them. When the Classic and Passport came to market, we saw $100+ over US pricing... Seeing has how the dollar is so f***ing low right now, I think we (Canadians) are going to get sticker shock...
This is actually happening with everything right now... current iPhones priced over $1000?! Yikes... hell nah! Didn't pay even close to that for my iPhone 6 Plus. Not paying that price for any smartphone.09-30-15 09:00 PMLike 0 - Pricing, due to inflation here in Canada is going to really hurt them. When the Classic and Passport came to market, we saw $100+ over US pricing... Seeing has how the dollar is so f***ing low right now, I think we (Canadians) are going to get sticker shock...
This is actually happening with everything right now... current iPhones priced over $1000?! Yikes... hell nah! Didn't pay even close to that for my iPhone 6 Plus. Not paying that price for any smartphone.
PIN 829A "You're only known for the worst thing you do" DSO 197809-30-15 09:07 PMLike 0 -
Don't try to convert that in dollars because you're going to get a crazy number, taxes are high here09-30-15 09:15 PMLike 0 -
Also, buying the device in the USA doesn't make a difference, one would need to still convert Canadian funds to US funds and the price would still be a little much. Right now, $699 USD converts to $929 CAD.... BEFORE TAX!
california governor and eyesopen1111 like this.09-30-15 09:20 PMLike 2 - Bottom line, the pricing needs to be what the market can bear, as is the case with virtually every commodity. Personally, $699 max is likely the right price point for outright purchase. (although bringing it in at the $549 price point would be a better move-even if its the break even price) It's gonna take price to sell the Priv along with the fact it's Android based. The BlackBerry name unfortunately doesn't mean a lot anymore to the majority of the population ( I am an avid BlackBerry user btw). It is considered not relevant in today's market. This phone has the potential to change that perception - the shot at Apple was a good move from a marketing perspective. It's going to get people talking, it's going to get people curious which is exactly what BlackBerry needs. A great marketing campaign will go a long way to success (remember the pet rock?...) I own a BlackBerry Leap right now and love it, but although I'm not a big Android fans I'm really curious to see what BlackBerry has come up with.
Posted via CB1009-30-15 09:24 PMLike 0 - To compare: retail prices in PL in polish zloty - new iphons 6S 3000 - 4000 PLN, samsung S6 3500 - 4000 PLN, nexus 5x (32 GB) 2000 PLN, BB priv - final price +- 3500 PLN.09-30-15 10:48 PMLike 0
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