₦airaland Forum

EroticAngelina:
what? they use just $150 to make the fone? too cheap o! and then they want us to buy it for high amount? hmmm we ar nt picking money from three o

LOL... Abi naoo

Flye:
Though advert takes junk of their income, it is research, support and unforseen cercumstance( legal battle etc) that takes most of their revenue. For instance Samsung may work on 10 concepts and ideas but only one or two will become useful after they might have spent billions on it. That is why small players sells at cheaper price and still make proffit( cos they copy) while big players sells more at high price and still made loss.

Wow !!! You just hit the nail on the head.

2ndOGA:
The Samsung S5 should cost $250 at least to build.

I'd disagree on the Advert part. No way in hell is all that going for advertising.

Maybe, I need to make this clear. The post is about Smartphones being built for a very low price and selling for high prices. I stated it in the post that I'll use Samsung and Galaxy S5 as example which I did, I represented ALL expensive high-end phones with the Galaxy S5. It's not that ALL the flagships were built with exactly $150, some were built for <$150 and some >$150. And on the advert part, they spend very close to that on it, in fact, more than that. In 2012, Samsung spent $401million dollars on their Galaxy Brands only. And in 2013 alone, Samsung spent up to $14billion USD on Advertisement. Where did they get that amount to spend on Ads ? You think it's from Rituals ?? NO, it's from their products price tag, which smartphones is the first on that list.

Their Advertisement is not just displaying "Buy the new Galaxy Note 4 here". It ranges from hiring Lionel Messi to lead a team of footballing superstars again a race of aliens, to being one of the main sponsors of the Olympics, FIFA World Cup and X-Factor, Samsung's name is just everywhere.

spartoo:
What do u want me to think when you have said it all?

LOL... At least, say what's on your mind. Your opinion !!!

brainyack:
I wonder o so u are op is trying to say all this 15k tecno cost 3k to build abi?

I guess the reply to his own question will also help you understand how things work in the Smartphone industry. The total breakdown of most flagships and high-end smartphones are just a little bit LESSER or MORE than $200. So that simply means that the low low-end phones such as Tecno which you used as an example was also built for a little bit lesser or higher than #4000 per 1. Or do you think they are completely foolish and they don't know what they are doing or they are making no profit with those phones. The screenshot below will help you and you can also make your own research about it. Cheers !

epoxide:
What about the low end guys? don't they advertise? or don't they have employees?

They do advertise and they also pay employees. But don't you know there are different types of advertisements ? Do you want to compare Samsung's advertisements with Tecno's ad, for example ? Also, I'm sure you know they are targeting different size of areas !!! Samsung is targeting everywhere in the world while Tecno is only targeting few countries in Africa thus they spend different amount of money for adverts. BTW, the amount of money Samsung and some other giant Smartphone manufacturers spend on Ads annually is even more than the net-worth of some other smaller smartphone manufacturers we all know.

Also, as an employee working with Tecno in Africa... Let's assume you get paid #120,000 monthly. Do you also expect another employee who works with Samsung in the States to be paid $720 which is equivalent to the aforementioned salary ? NO, it's impossible... They get paid in thousands of dollars (>$10,000) because of their economy.

While surfing the worldwide web few days ago, on Google+ to be precise. I stumbled upon a very interesting status update from +Ethan Rossow, I couldn't resist the urge to +1 and reshare the status update. The update was all about a question many of us always have in mind but we often end up not asking maybe because we don't know who to ask and how to ask, while at the same time most of us have not even thought about the question before. Why do Smartphones cost a little amount to build and are being sold for a huge amount ? I will like to answer this question with the context of my friend's update.

Note that there are few reasons or circumstances surrounding this situation and I'll be using Samsung & the Samsung Galaxy S5 to explain and make my points clear in the illustrations within.

Samsung Galaxy S5 is built for $150 (which is within that range in reality) and sold for $800, that's now a $650 profit for Samsung, but there's more to it. Samsung now has to use $550 out of the $650 profit they made for advertising. We all know how powerful, efficient and sales-driving advertisements are, so if Samsung refuses to advertise this product and the company as a whole, then probably no one would know who they are or what they are selling, which means Samsung wouldn't sell anything.

Furthermore, designing of the phone, its engineering, packaging & shipping and also paying their employees are some other reasons why Smartphones are mostly built with a little amount and sold for a huge price. So, most of the money spent on Samsung and other flagships or high-end Smartphones are spent on its building, maintaining, processing and even advertising the product and the company itself. Back to Samsung's case study, at the end of that deal, building the phone for $150, spending $550 for advertisements & some other necessary stuffs and selling it for $800, they are still left with a $100 profit which is not too much for them as returns on investment.

Now, you've seen the main reason why high-end Smartphones are usually said to be built with just few hundred bucks and they always end up being sold for bigger amounts. What do you think about this ? please kindly share this post on your social network profiles and bookmarks. Blessings !!!

- See more at: http://www.stevenbergy.com.ng/2014/11/revealed-why-smartphones-cost-just-150.html

[size=14pt]This will be terrible... No more fast ride for Dem Girls !

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Official Introduction Videos of the New Google Nexus 6, Nexus 9 and Nexus Player ... For Smartphones and #Tablet lovers ![/size]

diluminati:
what nonsense is this? you hungry bloggers should stop hijacking threads like this. go to the appropriate thread and advertise your stale news.

Really? Don't you have a cane? You fit flog me na .. Since it's not useful for you, then move to the next post.

P.S - If you need 12 months free BIS or Android Subscription, don't be too shy or ashame to PM me though... Stu,pid Hoe !!!

[size=14pt]PDP -> APC = Impeachment

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Do you want to unlock USB Modems and Phones yourself ? Then Download the DC Unlocker tool now !!!

DC unlocker is a universal fast data card unlocking tool which supports Huawei, ZTE, Sierra Wireless modems, phones and many more[/size]

[size=14pt]700000 Jobs That's a lot oooh... Let's wait and see sha

---------------------------------------------------------------
Do you want to unlock USB Modems and Phones yourself ? Then Download the DC Unlocker tool now !!!

DC unlocker is a universal fast data card unlocking tool which supports Huawei, ZTE, Sierra Wireless modems, phones and many more[/size]

[size=14pt]Wow... This is really Awesome !!! Just that - It's not the amount of money you spend or the flashy and classic things you use that will determine How strong and long the marriage is going to last... #GBAM

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Do you want to unlock USB Modems and Phones yourself ? Then Download the DC Unlocker tool now !!!

DC unlocker is a universal fast data card unlocking tool which supports Huawei, ZTE, Sierra Wireless modems, phones and many more[/size]

justi4jesu:
No Sir, yours is among second batch which will arrive nextweek.

Okay ma'am, thanks

justi4jesu:
1ST BATCH OF SHIPPED DUBAI GOODS AVAILABLE FOR PICKUP!!!!!!!

Some persons have picked up already so others please endeavour to pick up latest by Monday!!!!!!!!!!


Thanks for your patience and Patronage!

Hi Justi4Jesus, How are you ? Shey the S5 too is among the available ones ni ?

[size=14pt]So, VODKA too has health benefits. Hmmmnnn... Every unexpected things now becoming useful What of STAR

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Another new version of Android, which is Android 5.0 (a.k.a) Android L is now revealed to be Android Lollipop. Its New Giant statue is now in Google's Headquarter in California, USA. Details and Pics here !!!

http://www.stevenbergy.com.ng/2014/10/new-android-50-lollipop-statue-now-in.html
[/size]

[size=13pt]Honestly, This is a #TBT for me. I miss those DAYS ! Some of my Old favourite movies of ALL TIME.

HOLLYWOOD - COMMANDO, TERMINATOR, PREDATOR, RAMBO, ROBOCOP, CYBORG, ODDYSEY (Should Also be on the list)

BOLLYWOOD - DHARAM VEER, MARD, SHOLAY, NAGIN, TOOFAN, LOHA, DISCO DANCER, JAWAANI... These are real indian movies, not the meaningless semi-po.rn Indian movies they are doing these days.

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Another new version of Android, which is Android 5.0 (a.k.a) Android L is now revealed to be Android Lollipop. Its New Giant statue is now in Google's Headquarter in California, USA. Details and Pics here !!!

http://www.stevenbergy.com.ng/2014/10/new-android-50-lollipop-statue-now-in.html

[/size]

justi4jesu:
Am sorry oh, i skipped your name

Edited now.

Oooh.. I thought as much. Maybe I should change my name cuz everyone keeps skipping it. lol So like when is it gonna arrive ? :-)

justi4jesu:
Shipped Goods from Dubai Today!!!!!!!!!!!!


Femi* 3 Blackberry Playbooks


Oke* Blackberry z30 and Blackberry Q10

Bene* Blackberry Q10


Kalu* Android Tablet


Ashy* 2 Blackberry Q10 with Box


Frank* 2 Blackberry Q10 without box and Z10 with box.

Kevingarphics* 32 Inches LED TV


Thanks for your patience and Patronage!!!!!!!!!!!!!!

Hi Justi, How're you doing ? My S5 isn't on this list...Hope no prob.

justi4jesu:
Same to you thanks, your S5 has been secured and will upload pictures soon.

Wow, thanks a lot... Will be expecting the pics

Hi Justi4Jesu, How're you doing ? Happy Weekend !!! Please, i wanna ask if there's any update on the S5 yet ?

ProFuhrer:
Change yur topic to 'the most popular mags in USA'

Nah, it's in the world... not only US

sloo1:
This list is still almost the same this year. With the first, second and third maintaining there position.

Wow, I've not seen this year's list though... Thanks for the update

justi4jesu:
@Ayoola

#17,600 Alert received

Okay, thanks ma'am

chlowi:
Following

Good to have you here

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SOURCE: http://www.stevenbergy.com.ng/2014/10/3-best-ways-to-make-huge-money-online.html[/size]

justi4jesu: ...

Good... Here's one - http://dubai.dubizzle.com/m/classified/mobile-phones-pdas/mobile-phones/samsung/2014/10/4/samsung-galaxy-s5-for-sale-korean-version--2/?related_ads=1&back= OR http://dubai.dubizzle.com/m/classified/mobile-phones-pdas/mobile-phones/samsung/2014/10/4/samsung-s5-high-copy-2/?related_ads=1&back= to Lagos ?

justi4jesu:
...@oke

Samsung. Galaxy s5 secured.

Hello J4J, I've not seen a listing for the S5 recently, how much from the buyer you got this (to Lagos) ?

olempe: Good use of oyel money. Meanwhile, I no gbadun this ur font @op

Is it too Big ??

Ucheosefoh: What justification are you talking about ? So you are expecting the level of their development here. I mention the leadership because ours is corrupt, theirs leaders are not, our mentality support corruption, their mentality does not condone corruption so can you show me where I tried to justify our leadership failure.

I got your point in the first place... You are right !