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have more super phones available on 3 year term


i love the fact that koodo offers phones and plans with no contract on the tab. This works great for mid range phones that retail only cost $250-300, because with the tab you would only pay $100-150 upfront. But in the case of super phones like the iPhone 5 and Samsung s3, even with the tab the phone cost several hundred dollars. I know the iPhone is available with a 3 year term, and its great because you get the phone for much cheaper. But it would be awesome if the android was as well! oh and one more thing, for the iPhone, it would be great if you could still get a 3 year term but still custom bulid your own plan, i find the iPhone plans are not very flexible and other companies such as bell and rogers offer the iPhone on contract with more flexible plans at a lower cost. Thanks for listening. (p.s. I'm very happy with koodo, always great customer service and decent plans for a college student)

19 replies

Userlevel 7
Badge +4
Koodo is a no commitment company, that's their whole thing so I can't see them doing this. The thing is Koodo plans are cheaper than the other providers contracted plans so your better off to pay the extra for the phone up front from Koodo or bring your own you paid full price for. When I was looking at the Galaxy Note 2 I was thinking of leaving Koodo so I could get the phone cheaper, but I crunched the #s and it was cheaper in the long run for me to buy it from an online retailer and bring it to Koodo. The phone paid for its self in a very short period of time because of the savings on my service from Koodo. So its the same for phones offered from Koodo, pay a little more upfront and enjoy the savings in your plan. Plus your not tied into a contract and or plan. With Koodo you can change your plan whenever you want if a better one comes along, some providers you are stuck with the plan tied to your contract. Crunch the #s yourself and you'll see the savings, what looks good at first isn't really in the end.
Userlevel 1
Paul "Kid Android" Deschamps wrote:

Koodo is a no commitment company, that's their whole thing so I can't see them doing this. The th...

All valid points, I just wish koodo was thing about alternate ways of reducing the upfront costs for phones. Other than through contracts.
Userlevel 7
The only reason Koodo offers the iPhone on a 3 year term is because Apple makes them otherwise Apple won't let them sell the iPhone at all.
Ahmad wrote:

The only reason Koodo offers the iPhone on a 3 year term is because Apple makes them otherwise Ap...

That is wrong. Koodo can sell the iPhone to whatever terms they want. They know many people want the iPhone, and the goal is to hook them on a very long 3 year commitment. A better idea for Koodo: be the first company in Canada that does not offer a 3 year commitment!
Ahmad wrote:

The only reason Koodo offers the iPhone on a 3 year term is because Apple makes them otherwise Ap...

but to cover the cost of the phone, your initial purchase price would have to be higher so that koodo could recoup their subsidy within the 1 or 2 year commitment you are proposing. if i wanted an iphone (and I don't) I don't know that I would be willing to pay ~$450-600 just to have a 1 yr committment...
Ahmad wrote:

The only reason Koodo offers the iPhone on a 3 year term is because Apple makes them otherwise Ap...

If you cannot afford the phone, you should not get it. All these plans to subsidize the phone force you in plans that are usually beyond what you need and very expensive. In the long term, you could end up paying for a few phones (without actually getting the phones 🙂 )! Also 3 years is a lifetime in phones. What phones from 3 years ago you would still want today? Try to get a slightly used or older model, you could save a lot of money.
Userlevel 7
Ahmad wrote:

The only reason Koodo offers the iPhone on a 3 year term is because Apple makes them otherwise Ap...

First company in Canada that does not offer a 3 year commitment... You mean what Fido has been doing for years (with optional 3 years, only forced into those on iPhone 4S and 5)? Or you can get upwards of 6 different phones on Telus on 2 year terms?
Userlevel 2
Ahmad wrote:

The only reason Koodo offers the iPhone on a 3 year term is because Apple makes them otherwise Ap...

Theirs a bunch of random information in this thread... Firstly, their isn't really such a thing as a traditional three year contract anymore. I mean, their is, but you can cancel anytime you want without it being a burden. The early cancellation fee on Rogers, for example, is a standard $12.50. It doesn't matter if you have 1 month remaining or 35 months, you can cancel whenever you want and it'll only cost you $12.50. This of course, is assuming you already have a phone and haven't taken one on subsidy. If you've taken one on subsidy, then you're obviously required to repay that subsidy, in addition to the fee of $12.50. The calculation is as follows: Hardware Savings / # of months in term X # of months remaining in the term + $12.50. This is essentially the exact same way Koodo operates. If you want to leave you're free to do so, but if you have an outstanding tab balance then you're obviously still responsible for it. So the suggestion to "have more super phones on 3 year terms", if I may paraphrase, is really "offer an option for larger subsidies on superphones", which is what the other guys do. This can easily be accomplished by just increasing the tab. Whether Koodo wants to do that is another story.
Userlevel 7
Ahmad wrote:

The only reason Koodo offers the iPhone on a 3 year term is because Apple makes them otherwise Ap...

The problem with increasing the Tab is the % taken off it every month. 10%. Even a $60 plan (which not everyone is willing to do/afford, that's one of the reasons people go to Koodo) still takes 2 years to pay off. It sounds awesome not being "locked in" (which nobody does that anymore but we've already covered that) but any Tab that would be $200 or higher takes way longer than 3 years to pay off at the current % payback. Yes it's still cheaper, technically, but if the % taken off every month was higher, then a bigger Tab would make more sense.
Userlevel 7
Badge +4
Ahmad wrote:

The only reason Koodo offers the iPhone on a 3 year term is because Apple makes them otherwise Ap...

@Marco Polo - Ahmad is correct. Apple sets the rules regarding iPhone subsidies. No contract, no iPhone.
Ahmad wrote:

The only reason Koodo offers the iPhone on a 3 year term is because Apple makes them otherwise Ap...

@Jonathan What I meant was Koodo to be the first company that has no 3 year commitments whatsoever. @Philosoraptor Apple does not set rules that you have to have subsidies, and for how long! Many companies sell it with no commitment, 2 years commitment, 3 years commitment, etc. Koodo chose to create a 3 year commitment plan for the iPhone! In the recent CRTC hearings, the biggest complaints customers had is the 3 year commitment imposed by many companies for certain phones! 3 years is illegal in many parts of the world. I believe Canada is the only country that still has the 3 years commitment plans because of the low competition in the wireless industry...
Userlevel 7
Badge +4
Ahmad wrote:

The only reason Koodo offers the iPhone on a 3 year term is because Apple makes them otherwise Ap...

How do you know that Apple does not force Koodo to offer the iPhone on a set term? Do you work for Koodo?
Userlevel 2
Ahmad wrote:

The only reason Koodo offers the iPhone on a 3 year term is because Apple makes them otherwise Ap...

If not being "locked in" is someones primary concern, then the simple solution is to just buy your phones outright. Then you're pretty much free to do whatever you want, come and go as you please, and the biggest potential fee you could be hit with is $12.50. So simple. Regarding raising the Tab, I buy my phones outright so I'm really not too bothered personally, but I don't see how it can hurt. Nobody is forced to use the tab, it's a choice, and from a purely consumer standpoint, its obviously nicer to have more choices. If someone wants to put $50 on their tab, cool. If someone else wants to put $400, cool as well. Let the consumer decide what's best for them (credit score will obviously dictate potential subsidy amount). High end phones are expensive, and if you expect them to be highly subsidized, then it's obviously going to take a longer time to pay off. The alternative is to not get a high end, highly subsidized phone.
Userlevel 7
Badge +4
Ahmad wrote:

The only reason Koodo offers the iPhone on a 3 year term is because Apple makes them otherwise Ap...

Apple does indeed dictate how the iPhone is priced. In fact Samsung is trying to shed some light on this in Australian court: http://www.mobileburn.com/17453/news/australian-court-forces-apple-to-reveal-carrier-partnerships-in-samsung-case Apple may not directly state how long a contract is, but they do dictate how much has to be subsidized. It's been reported that carriers pay as much as $600 per iPhone and then have to offer them for $179. That's a far bigger subsidy than any other flagship phone, so then carriers are forced to lock you in to crappier "iPhone plans", which is why I've never purchased a subsidized iPhone.
Ahmad wrote:

The only reason Koodo offers the iPhone on a 3 year term is because Apple makes them otherwise Ap...

I do not work for Koodo. It would be interesting if any Koodo employee can claim that Apple imposes a 3 year term plan to sell the phone! Rogers, Bell, Telus, Virgin, even Koodo sell the iPhone 5 with no contract! What are we talking about 🙂 ?
Ahmad wrote:

The only reason Koodo offers the iPhone on a 3 year term is because Apple makes them otherwise Ap...

Marco, Koodo employees on this forum have stated that Apple requires a 3 year term option in order for the Iphone to be sold.
Userlevel 3
Ahmad wrote:

The only reason Koodo offers the iPhone on a 3 year term is because Apple makes them otherwise Ap...

@ Marco Polo It's not that apple says that you can only sell the iphone on contract, Apple makes it so you must provide the option of selling it on contract. Doesn't mean you can't have a tab out straight buy out option. AS that is what all carriers offer for the Iphone
Userlevel 7
Badge +4
I'm 100% against more phones on 3 year terms. Koodo has the lowest outright prices, and something tells me that those prices would rise if they introduced this.
Userlevel 7
Badge +4
To me, "3 year terms" is of one the most dreadful swear words I know... I'm DEAD against them!!! I think Canada is the only country in the world that still offers such long contracts, the whole world is laughing at us in that respect. In this day and age when technology changes faster than a hummingbird digests its food, even a one year contract is a long time. Three years is MADNESS - but then again, that is just my opinion 😃 This was certainly not a rant towards you Michael for posting the suggestion 🙂 This is just a personal pet peeve of mine 😉

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