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Why the change in base price of certain devices?


With the addition of the new tab system, the prices of the S3, S4, z10 and q10 all seem to be significantly greater than before (by $75-100). What is the reason for this change?

15 replies

I'm sure it is to recoup the extra 5% tab contribution that Koodo is now offering.
Userlevel 1
Because the tab gets cleared after 24 months, they appear to have recouped that money up front with the price of the premier phones and the price of the plans.
Userlevel 4
Humberto Giambrone wrote:

Because the tab gets cleared after 24 months, they appear to have recouped that money up front wi...

The tab is still cleared depending in a certain time on the price of their plan. The 24 month scenario isn't in effect yet unless there is some math I'm missing
Userlevel 6
It will also contribute to more BYOD/prepaid customers flocking to eBay/kijiji to buy their devices instead. Koodo went from lowest priced Galaxy S4 to most expensive (when bought outright). One positive side though, I have a couple extra phones for sale, and they just got more valuable to my potential buyers since the "brand new" option just got that much more expensive, hehe.
Userlevel 7
Badge +4
Im not surprised people are disappointed by this. And I think Koodo is expecting this reaction. I mean no one likes price increases. However I think it is a bold step by Koodo. They are sticking their necks out and we will all see how it ends up and if Koodo makes any modifications on the fly to tweak things (which I believe they need to do). Only time will tell if this works out for Koodo
First of all, the reason for raised prices is to accommodate the new Tabs. Before, customers will have to pay very high upfront cost because of the small Tab size. Koodo lowered the prices so that it can ease off some of the costs. Another reason is that the Tabs will be wiped after 24 months, hence the higher costs. Lastly, this is a great move by Koodo as it prevents customers wanting to buy the handset outright to use with another carrier.
Userlevel 2
Jonathan wrote:

First of all, the reason for raised prices is to accommodate the new Tabs. Before, customers will...

Customers still have to wait 90 days before the phone can be unlocked, so it wouldn't matter if the phone was purchased outright or not.
Userlevel 6
Jonathan wrote:

First of all, the reason for raised prices is to accommodate the new Tabs. Before, customers will...

They can be unlocked at anytime if using a 3rd party unlocking service.
Jonathan wrote:

First of all, the reason for raised prices is to accommodate the new Tabs. Before, customers will...

UNLESS I stay with koodo for 24 month and/or get a more expensive plan, the overall price I would have to pay for a galaxy S4 or S3 just went up for hundreds of dollars. My existing koodo plan is still good, but it's pretty much a guarantee that I won't be buying any devices from them from now on
Userlevel 6
Jonathan wrote:

First of all, the reason for raised prices is to accommodate the new Tabs. Before, customers will...

Who are you going to buy them from? It's not like it's much cheaper if at all anywhere else.
Jonathan wrote:

First of all, the reason for raised prices is to accommodate the new Tabs. Before, customers will...

S4 at other carrier are all 699. Online retailer sells UNLOCKED for low $600
Jonathan wrote:

First of all, the reason for raised prices is to accommodate the new Tabs. Before, customers will...

With the new CRTC rules, I thought phones will be unlocked if bought outright. From the cbc article above: "Have their cellphones unlocked after 90 days, or immediately if they paid for the device in full." I'm definitely shopping around as there's no advantage anymore with "non-contract" Koodo now and a 2 year contract with the other carriers. I'll be looking at Fido, Virgin and looking very closely at Verizon if/when they come to Canada. I'm avoiding Telus on principle as they own Koodo. I'll be taking my money elsewhere.
Userlevel 4
I'm disappointed to see this move. While I was happy to see a re-haul in the dated Tab system, a move like this removes some of the differentiating aspects of Koodo. Now like the Parent Brands, they limiting any incentive to BYOD or buy outright due to the high/inflated cost. Sure, it's not as bad as the Parent Brands, but it's getting closer. I wish manufacturers start selling direct. It's time to go un-carrier.
Userlevel 6
Ry wrote:

I'm disappointed to see this move. While I was happy to see a re-haul in the dated Tab system, a ...

In Europe manufacturers have some stores on their own. They are not doing very well though. Samsung opened their new store here about a month ago. However, they are selling the exact same things the exact same way as the carriers. Zero difference. http://www.techvibes.com/blog/samsung-service-centre-2013-06-18
Userlevel 1
Show your support over here. We want the old Koodo back: http://community.koodomobile.com/koodo/topics/bring_back_the_old_koodo

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