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Android & Chill
One of many internet’s longest-running tech columns, Android & Chill is your Saturday dialogue of Android, Google, and all issues tech.
Samsung spent just a few million {dollars} to indicate a few of its new merchandise this week. It was a typical tech occasion with executives telling us how nice the brand new stuff goes to be, how a lot we’ll adore it, and why the corporate is necessary sufficient so that you can spend an hour listening. What it did not inform you is that the corporate thinks you are a sucker.
That is the very first thing I believed when the mud settled as a result of Samsung thinks you will spend almost two thousand {dollars} on a telephone, and it is proper. No less than some of us will. I will not, and neither must you.
I am not going to inform you that you just should not pay extra money for a telephone that folds in half or how you need to spend your cash generally. Everybody spends cash on issues they do not want, together with me. I’m telling you that you just should not be shopping for your folding telephone from Samsung as a result of should you do nothing goes to vary. Particularly the pricing.
I am not likely faulting the corporate for including $100 to the worth. Every part is dearer, and the 5% bump ought to have been anticipated. It simply occurs to be 5% on a value that was too excessive to start with.
Analysts and tech writers have been saying how foldables will develop into extra accessible and cheaper for the previous 5 years or so. I am unable to discover wherever that Samsung truly mentioned it is undoubtedly occurring, however the firm fortunately goes together with the concept and has by no means stepped up and mentioned it is not going to occur. Samsung has gone as far as to say that it is making an attempt to make it occur, nevertheless it simply hasn’t finished it.
I get that making a elaborate hinge and a glass-plastic bonded display screen that folds in half will add to the prices, however take a look at what different firms are doing. Do you actually suppose that Samsung does not have a stronger provide chain or higher entry to supplies than OnePlus? Or Google? Or Honor? After all it does, if for no different purpose than most of the parts come immediately from Samsung itself. Why are Samsung’s foldables as costly — or dearer — than what different firms provide?
Possibly each single piece inside a Z Fold 6 is best than something a competitor is providing. Or possibly Samsung is aware of it may cost no matter it likes as a result of the individuals who have been going to purchase one will purchase it whatever the value. This, I feel, is what Samsung is relying on.
Samsung is aware of nearly no person buys foldable telephones and has even admitted that “most” of the individuals who do purchase one are individuals who have already got one. The corporate additionally is aware of that it now not sells the lion’s share of folding telephones. However does it care?
One strategy to acquire market share is to streamline manufacturing and promote cheaper telephones. A ten% revenue margin on thousands and thousands extra merchandise is as profitable as greater margins on issues that are not promoting. This might match proper in with Samsung’s message that everybody ought to desire a foldable as a result of they’re cool, and it is precisely how Samsung beats out Apple to promote essentially the most smartphones yr after yr. Provide extra, promote it for much less, and other people will purchase it.
An alternate plan is to not give a rattling about market share, cost as a lot as you possibly can, and rely on these repeat clients who you suppose are going to purchase your overpriced merchandise anyway. And sure, individuals who will purchase a brand new Z Fold, regardless of the worth, do exist. Too a lot of them, in reality.
The one factor we are able to do as shoppers is to not purchase overpriced merchandise; to cease being a sucker. If sufficient individuals vote with their wallets, we’ll get extra for our cash.
I do know I am not going to vary anybody’s thoughts by scripting this. In the event you suppose Samsung is charging an excessive amount of for a Fold 6, you do not want me to inform you. On the flip aspect, should you have been going to purchase one anyway, you will suppose I am silly and would possibly even take the time to let me know.
I do know I am no sucker and will not let Samsung deal with me like one.
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