It is something evident and that we see daily, smartphones are getting more and more expensive. At least this is the case if we talk about the flagship smartphones of the big brands. We see year after year how their prices rise progressively. But how long will this continue?
There are those who have used to the so-called range caps already exceeding a thousand euros. But most still consider that paying these amounts for a phone is still outrageous. Although fortunately there are firms that bet because this is not the general trend.
How long will prices continue to rise?
It is normal on some occasions for prices to rise. And it may even be understandable if the improvements between a device and its successor are considerable. Better construction materials or larger size can mean an increase. Because improvements in technology are something that we must count on from one year to the next.
One of the problems maybe could be that the prices start from very high. And it seems that it is mandatory that the new leading smartphone of the firm is more expensive than the previous year. We have seen in almost every brand how big the margin between costs and benefits is. Although the exaggerated difference that exists must go largely to defray the impressive advertising campaigns.
Fortunately for users we see how new firms enter our markets. Manufacturers offering quality products, with good benefits, and at prices well below the average if we compare with the big firms. Smartphones that could fulfill a double objective. Increase competition promoting that we have better devices, and causing a drop in prices.
The fact is that, according to the market research agency GFK, Smartphone sales have fallen last year in Western Europe. Fewer mobile phones have been sold than the previous year. Nevertheless, Markets such as Latin America have compensated for this decline experiencing a significant rise.
How can you increase profits by selling less?
There is the paradox that all the big companies have declined in sales numbers. But at the same time their profits have increased compared to the previous year. The explanation is obtained precisely from the increase in the prices of its most representative phones. Therefore, it compensates, and a lot, to the big companies these "small" increases.
Thus, it turns out that approximately 12 percent of the phones sold exceed nine hundred euros. And this will continue to be the case as long as users continue to pay similar prices. Something has to change radically to reverse this trend in terms of price increases. Alternatives exist, we show them to you daily. But having a "top" smartphone is still above what we really need. Something that is clear knowing that the Galaxy S8 is the best-selling Android smartphone.
I would say 50% xD, well it also depends on the country xD