Everyone is complaining about IPhone pricing here in NZ. Vodafone have achieved the $199 price point, but only on a $250/month 2 year plan. Which pushes the cost of the phone to about $6000 all up. Ouch.
So everyone is rightly panning vodafone for corporate greed. But the fascinating thing to me is the complete undermining of vodafones brand image. You know, the hip, cool, new, not a traditional telco, up-with-the-play, trendy brand. How many millions would they have spent developing that brand?
And now, their pricing plans are showing a lack of foresight, a lack of imagination. Securing the IPhone was a big coup for VF, but they seem to have almost completely failed to capitalise on it. The iphone fits perfectly into their ‘hip/trendy/cool’ brand, but that impact seems to have been nullified by the pricing plan debacle. How much would it have cost to blow the market open, lowering data rates, making a data hungry device like the iphone attractive to everyone? Did anyone actually do those sums?
A perfect lesson in turning a PR coup into a disaster.