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BlackBerry Z10 prices dropped by U.K. retailers

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BlackBerry Z10 prices dropped by U.K. retailers
The BlackBerry Z10 broke records in Canada. In its hometown, BlackBerry sold 50% more units during the launch of its first BlackBerry 10 device than any other 'Berry launched in Canada ever. But in the U.K., where initial sales were said to be strong, the excitement has died down and the all-touch model has been cut in price by some top U.K. retailers. Carphone Warehouse, which originally offered the phone for free with a monthly two year plan of £36 per month ($54.43 USD) is now selling the phone for £29 ($43.85 USD) with a £29 per month data plan. That works out to a total lay out of £725 ($1,096.13 USD) vs. a total cost of £864 ($1,306.28 USD) with the earlier plan. That works out to savings of about £139 ($210.15 USD) with the new pricing, over the two years of the contract.

Also cutting its pricing plan for the BlackBerry Z10 is carrier Vodafone. The latter has a web only deal offering the BlackBerry Z10 for just £33 ($49.89 USD). a £72 ($108.86 USD) savings over the 24 months of the contract. James Faucette, an analyst at Pacific Crest, says that the price cutting does not bode well for the successful turnaround of BlackBerry. Faucette says that the price cuts position the Z10 as a mid-range handset rather than a top-shelf model that would go head-to-head with the Apple iPhone 5 or the Samsung Galaxy S III. The analyst noted that the top end of the market is where the profit margins are the widest.

A study done for BlackBerry showed that one third of BlackBerry Z10 buyers were not coming to the model from another BlackBerry phone. That is a good stat for BlackBerry as the company usually depends on sales from its loyal followers. The price cuts pour fuel on the fire for those who claim that the strong launch of the BlackBerry Z10 that was claimed by BlackBerry CEO Thorsten Heins was based on small supplies given to retailers instead of strong demand for the model.


source: Telegraph via Pocketlint

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