Quote:
Originally Posted by Aloupha
The fact that they don't make money on sales is a very good point. However, you have to understand that the sale and the contract go hand in hand. People don't join sprint because they are excited about signing a contract, they want a phone. The more excited and anxious people are about a phone, the more likely they would sign a contract.
Sprint's ads about the evo is more abotu the phone than it is about their contract, because they know if people want the phone enough they would care very little about the contract. I would not have signed a new contract with Sprint just because I like their service, I signed a new contract with them because I wanted the Evo, and even though I am paying twice of what I had, I still renewed my contract because I wanted the phone.
If indeed it is a strategy from sprint, then I think it is a pretty good one and it is working for them.
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Lets look at it this way though, Verizon has the Droid X, Droid 2, AT&T has the iphone and the Captivate..and T-Mobile has the Vibrant...no matter how you slice the dice if they can't keep the EVO is stock and people don't care about the service provider..they'd go get another flagship phone...
I find it hard to believe that anyone would wait 2 months of no stock and being denied to get an EVO unless they are after the service...and sprint advertises the #1 thing about the EVO is what? yes..4G...thats their biggest marketing campaign...
Lets look at it this way..500 people come to your store to buy an EVO and sign a contract...you only have 10 units so you dent 490 of them..so 490 of them are not signed onto the contract..you makign them wait 2 month is not gonna turn 490 into 550 or more..no its gonna turn the 490 into 450..then 400..and etc...you won't gain customers...
The only one who favors going out of stock is the manufacturer..why? because that means they are maximizing their earnings to their potential and makes a name for the brand...but if the manufacturer had a choice to have it in stock they would...but for a carrier its a loose loose situation...
But if your saying loosing millions of dollars while your company has been in its biggest decline is their marketing strategy..sprint should just give up right now and go out of business...