The problem in pricing here is the same duality of BB needs for more than 5 years. And BB has failed to balance these at any time in 5 years. I don't expect this time will be any different.
BB has 2 needs - USERS (get the devices in as many hands as possible - build brand identification and re-build some brand loyalty and familiarization.); and PROFIT.
The problem over the last 5 years has been the failure of BB to realize where that line has gone. At this point, I'd put the PRIV as close to a 'lost leader' as there has ever been for them. Success can not be measured by profit here. It must be measured entirely by sales numbers. BB can hold on another 2-3 quarters the way they have held on the last few years (dropping revenues every quarter). What they can't do, is continue to become irrelevant in hardware.
A success with the Priv, in my eyes, would be to double PP sales within the first quarter, even at a loss.
If the Priv is widely applauded in early reviews, and the price point beats the pants off the other high end contenders, then sales will follow.
This sets up the next device to make a deminimus profit, again off of increasing sales. And then a 3rd device if well done and widely acclaimed, can ask a better price point.
This is a new product line. Not a new product. Understanding the difference is the line between success and failure in hardware.
That's just too much for an underdog in an arena full of wanna be flagship killer Androids.
The Blackberry name isn't what it use to be. Telling people you paid $700 for a Blackberry and they'll laugh. $399 is my limit on this phone.
Good luck waiting 1 or 2 years to buy one in 2nd or 3rd hand lol. Did you even have a glance at the spec sheet?.. I think you didn't, no Priv for you I guess
The problem in pricing here is the same duality of BB needs for more than 5 years. And BB has failed to balance these at any time in 5 years. I don't expect this time will be any different.
BB has 2 needs - USERS (get the devices in as many hands as possible - build brand identification and re-build some brand loyalty and familiarization.); and PROFIT.
The problem over the last 5 years has been the failure of BB to realize where that line has gone. At this point, I'd put the PRIV as close to a 'lost leader' as there has ever been for them. Success can not be measured by profit here. It must be measured entirely by sales numbers. BB can hold on another 2-3 quarters the way they have held on the last few years (dropping revenues every quarter). What they can't do, is continue to become irrelevant in hardware.
A success with the Priv, in my eyes, would be to double PP sales within the first quarter, even at a loss.
If the Priv is widely applauded in early reviews, and the price point beats the pants off the other high end contenders, then sales will follow.
This sets up the next device to make a deminimus profit, again off of increasing sales. And then a 3rd device if well done and widely acclaimed, can ask a better price point.
This is a new product line. Not a new product. Understanding the difference is the line between success and failure in hardware.
It seems to me that BlackBerry does not see a big future in manufacturing handsets (and hasn't for quite a while), and don't wish to use any cash reserves to support it.
They've dabbled with hardware only to buy time and stay relevant while they have been making investments in software, security, IoT and Cars.
I do understand that there is synergy between devices and the other parts of the business, but BlackBerry seems to place less value on that as I would have thought.
I see the Priv as the last chance for devices, but BlackBerry stills seems a bit "meh" about it. Maybe they feel the other facets of the business are starting to make headway, and they wish to keep its cash for that.
Ideally, they probably want to do well enough with the Priv to create value in licencing the keyboard and the BlackBerry Experience Suite to others.
BB is not a top brand in the smartphone market anymore, they cant price the phone like a Samsung or even a LG phone, most of the people in the market dont go for PKB so why pay more for something you are not going to use?, I will buy a Samsung or Sony flagship as my next phone if this price is right, I will buy this phone for U$499 and only to support BB, because I dont need the PKB.
BB is not a top brand in the smartphone market anymore, they cant price the phone like a Samsung or even a LG phone, most of the people in the market dont go for PKB so why pay more for something you are not going to use?, I will buy a Samsung or Sony flagship as my next phone if this price is right, I will buy this phone for U$499 and only to support BB, because I dont need the PKB.
If you're not looking for a PKB, you're clearly not the target market.
I expect the India price to be Rs. 49,990. Though if they really want traction it should be priced at Rs. 39,990. By the time it launches here all the other flagships will be available at a discount to launch price.
While BB was extremely popular here 3 - 4 years ago the user base has shrunk considerably in the last 2 years. For a lot of people the last BB they owned was the 9900. They migrated away to Android or to the iPhone instead of to BB10 products when it came time to upgrade. It will take a lot of (good) word of mouth publicity to get some of the old loyalists back. Best way to do that is price it aggressively.