New WP7 Strategy Suggestion

damielrohie

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I think that like many of its other products, Microsoft should offer discounted phones to students. They offer office, Windows, xbox, and kinetic at reduced prices for students to hook them. i think that they should do the same thing on the phones. specially with the nokia phones since the partnership is much more lovey dovey. I think that if students know they could easily get discounted phones on or off contract it would entice them more to try and buy windows phone. also because I am still a student going on 14 years now and I think I deserve some deals.
 

dkp23

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I think that like many of its other products, Microsoft should offer discounted phones to students. They offer office, Windows, xbox, and kinetic at reduced prices for students to hook them. i think that they should do the same thing on the phones. specially with the nokia phones since the partnership is much more lovey dovey. I think that if students know they could easily get discounted phones on or off contract it would entice them more to try and buy windows phone. also because I am still a student going on 14 years now and I think I deserve some deals.

Lumia 710s are $50 or essentially free on tmobile
900 will likely be $99
Titan is a penny
Focus Flash is like $50 - under
Focus S is like 199 still, but you can find a deal somewhere

I got the Focus s for a penny in November...

I think the prices on these phones are already cheap, now sure how much cheaper you want. They still run a business and their goal is to make money. You are not going to find many LTE phones for $99
 

damielrohie

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True but that is all on contract price. if you want to students to adopt your phone and build a larger user base you have to get them right away and not wait till their 2 year contract is up. or offer unlocked phones at a reduced price. all the phones out now are locked to a single carrier but what about if you buy an unlocked phone and then can grab the carrier that gives you the best deal. I am not saying directly under cut the carriers and lose money but for example the Lumia 800/710 unlocked should have a student discount. that way kids that want to try a windows phone without a large investment ie using up their contract discounted price.
 

dkp23

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MS has no incentive to do that because majority will enter into a contract which allows you to get the pricing.

Going discount on unlocked phones doesnt make much sense as the demand for that isnt high enough. Of course if you decrease the price, the demand will grow, but at what cost? The cost of margin's on MS's side. In addition, you are taking business away from the carrier and that will not make them happy. Verizon/Sprint done even want WP7 phones at this point, ATT/Tmobile can easily pull wp7 support if MS decides to sell unlocked for like 100 bucks or more off and take business away.
 

damielrohie

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MS has no incentive to do that because majority will enter into a contract which allows you to get the pricing.

Going discount on unlocked phones doesnt make much sense as the demand for that isnt high enough. Of course if you decrease the price, the demand will grow, but at what cost? The cost of margin's on MS's side. In addition, you are taking business away from the carrier and that will not make them happy. Verizon/Sprint done even want WP7 phones at this point, ATT/Tmobile can easily pull wp7 support if MS decides to sell unlocked for like 100 bucks or more off and take business away.
True but look at the support for updating the phones to begin with. How many phones arent updated both Android and WP7? so with an unlocked phone you are always able to get the updates. and with you still needing a carrier to actually use your phone it isnt like the carrier is going to lose business. what will happen is that carriers will have to compete on pricing instead of phone exclusivities. why do you need the carrier to support your phone is it set up to work with the networks? I have flashed different radios and ROMS on my phone and still never had a problem with carrier support. MS also gets a cut for almost every Android phone sold. at the end of the day, MS could make a better go at customer support and selling phones directly instead of having the carriers constantly cripple their phones which is happening now.
 

dkp23

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You are thinking in a personal or consumer standpoint not business standpoint for MS.

Verizon, ATT, Sprint, Tmobile are the four main carriers in the u.s in that order.

Verizon/sprint have not invested in wp7 heavily. That leaves you with ATT/Tmobile wanting new devices.

Lets use the lumia 900 for example. This phone can be used unlocked. Now look at MS's standpoint, would it make sense to go have this phone primarily on ATT or Tmobile? ATT because of the larger base and if MS decides to sell unlocked phones for cheap, ATT is not going to be happy and not heavily invest in wp7. Right now, MS needs to push the platform as much as possible since they hve a small market share. They are not going to grow market share in the industry by selling unlocked phones and full retail or at $300-$400. They are going to get these phones out through the carriers because it will be cheaper out of pocket UPFRONT to do it that way. Not only that, they are going to get the phones in the consumer's hand through the carrier with the higher customer base. Since Verizon is not investing, the largest customer base goes to ATT.

Do you think normal consumers will pay for a $300-400 phone? yes of course, but only a small percentage. The typical normal consumer will see the out the door price and dont even think about the monthly cost which essentially is paying for the phone. Get the phones in the consumers hand with the cheapest price possible OUT THE DOOR through the carrier.

You reasoning is solely based on a consumer's point of view, how it will benefit me which in turn should benefit MS. Corporate America doesnt work that way.
 

damielrohie

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actually I am thinking how most of Europe works. In Europe a lot of people buy unlocked phones because they are available and easily accessible. So to assume that only a small percentage would opt for this isn't necessarily true since other markets do support that aspect. Also if only a small percentage of people would go this route why do Verizon, sprint, T-Mobile, and att fight tooth and nail to maintain carrier locked phones, locked bootloaders, and locked everything. The carriers know that unlocked phones mean that consumers would actually easily change ship to better plans. Right now they have a monopoly by only offering locked phones which they will do anything to protect, suggesting that the threat of unlocked phones is much higher than a small percentage.

You are right I am thinking for a consumer stand point but I am also thinking about how the general consumers are going to buy phones. Who would by a buggy phone, disappearing keyboard, sms exploit, with potentially no hope of fix ie att not offering the 8107 update. So by kissing att corporate behind Microsoft is allowing att to jack up their platform. So now Microsoft still can't get a fair shake. And if you offer unlocked phones you can attract those customers who want the platform even though their carriers don't carry it. With the high probability of att screwing up the platform by blocking updates and loading up bloatware soon no carrier will want windows phone. Or already ending phones life, focus s and titan, about one year after they are released. But who knows maybe the 900 shall be such an amazing phone that no matter what it shines through.

but Microsoft does offer the 800 unlocked with the entertainment bundle. So they should at least offer that to students for a discount since no carrier wants to carry it even if they don't offer any of the other phones.
 

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