10 Reasons Mobile Phone Pricing Might Vary

10 Reasons Mobile Phone Pricing Might Vary

How much does today’s smart phone cost? It depends upon how and where you buy the phone. The average price for a smart phone climbed to more than $400 in 2010, but there were many ways to lower that price. Careful shoppers can save hundreds of dollars by researching the market. Presented here are some things every consumer should pay attention to before buying a phone device.

1. Independent Purchase – The highest up-front phone pricing is for devices that are purchased unencumbered by any sales or use contracts. The theory is that the consumer can recapture the cost of the phone by negotiating better deals with service carriers.
2. Walmart – Retail giants like Walmart and Target not only have entered the mobile phone market, but now have “complete” packages that include both hardware and service plans.
3. Electronics Stores – Retailers such as Radio Shack and Best Buy are players in the mobile phone market; they typically have very low prices for phones and devices that the retailer then recoups through service plans that accompany the hardware purchase.
4. Auctions – Cell Phones are often included in online auction lots; initial cost may be very low, but devices are often sold without warranties, and customers still must find service plans.
5. eBay – Many vendors on sites like eBay promote discount electronics, but it is the responsibility of the consumer to verify that sellers are legitimate, and this can be difficult if parties live half-a-world apart.
6. Private Party – People sell used and unwanted phones on sites like Craigslist; prices are often attractive, but there are pitfalls in shopping online from unknown sources, and consumers need to be wary.
7. Varied Service – Cell phone companies can offer extremely attractive phone prices, but the kicker is that the deals come with contractual strings, and some of the service contracts run beyond the guaranteed life of many phones.
8. Rebates – Customers can often bring down the cost of a cell phone by paying attention to discount and rebate promotions, many of which simply involve mailing a post card.
9. Availability – Supply & demand play an important part in the price of a cell phone. When people just “gotta” have the brand-new SuperGizmoWhizBang 5000 6G prices will be high until production catches up with demand. It usually pays to be the second or third kid on-the-block to buy the new toy.
10. Volume – Discounts are often available to those who purchase more than one phone, or for those who set up multi-phone service plans.