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What Amazon Phone Could Mean
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Ariella
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Ariella,
User Rank: Author
6/16/2014 | 12:52:29 PM
Re: They'll have to offer the phone for under $50
Perhaps Amazon could offer some kind of package that gives you  the phone when you purchase Amazon Prime. 
MFeibus
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MFeibus,
User Rank: Strategist
6/16/2014 | 12:36:18 PM
Re: They'll have to offer the phone for under $50
$50 with a contract would set the phone apart from the high-end models. But $50 with no commit is just too low. For the moment, smartphones at that price point are being used to attract customers who are still carrying feature phones, and that's not who Amazon will be targeting.

Whether by price or by features, Amazon will have to make the device compelling on its own because consumers by and large won't select a phone specifically because it will help them shop. That might be something they'd come to appreciate after it's in their hands. But they won't buy it for that reason.
villandra
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villandra,
User Rank: Strategist
6/16/2014 | 12:16:30 PM
Re: They'll have to offer the phone for under $50
Shane, the reason why they should offer a $50 phone is as a promotion, or in exchange for agreeing to be spammed by their ads.   

 

Most companies offer refurbished phones for under $50, which is also fair.   

 

Bottom line, like many people, I won't be paying $200 or more for a phone, nor signing a contract with a company whose service and quality are unproven.    There have been alot of problems with the Google phones.    
ChrisMurphy
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ChrisMurphy,
User Rank: Author
6/16/2014 | 12:10:19 PM
Re: They'll have to offer the phone for under $50
Is a smartphone optimized for shopping a niche market? Most people want their phones to text, game, map, and use a small handful of apps. Shopping will grow in that mix, especially as the smartphone becomes the wallet, but the others won't diminish. Seems to me people still want that Swiss army knife of a phone.   
Shane M. O'Neill
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Shane M. O'Neill,
User Rank: Author
6/16/2014 | 12:00:56 PM
Re: They'll have to offer the phone for under $50
Yeah, $50 seems about right to differentiate from pricey iPhones and Samsung S5's. But the perception may be that it's a shoddy phone because it's so inexpensive. So Amazon better not cut corners on quality.
villandra
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villandra,
User Rank: Strategist
6/16/2014 | 11:53:43 AM
They'll have to offer the phone for under $50
They'll have to offer me the phone for under $50.   If they do, they can send what ads they like.   
Shane M. O'Neill
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Shane M. O'Neill,
User Rank: Author
6/16/2014 | 11:46:45 AM
WIll thriving ecosystem and low price be enough?
Amazon has a thriving ecosystem and the Kindle Fire tablet shows Amazon can play to win on mobile devices. Amazon has never been afraid to price the hardware low, knowing its commerce services will pick up the slack. I expect it will follow that same strategy here. But with smartphone users mostly happy with their iPhones and Android phones, I wonder if Amazon, despite its commerce muscle and generous pricing, is simply too late to the game.
Lorna Garey
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Lorna Garey,
User Rank: Author
6/16/2014 | 11:21:58 AM
Backlash
 Amazon risks people seeing it as a monopoly that's going to stifle competition over the long term -- bad news for consumers. Plus there's the creepy factor of it knowing so much about us. I already defaulted to Better World Books whenever possible for physical books, even before the Colbert-driven Hachette flap. 

The company better market this device carefully.
datrappert
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datrappert,
User Rank: Apprentice
6/16/2014 | 10:55:26 AM
It all depends on the service plans....
I'm all bought in to Amazon's ecosystem already:  Amazon Prime, Kindle Fire HD, Kindle Paperwhite. But what will really sell me Wednesday is the service plan Amazon is offering. I'm switching jobs and my new employer has a BYOD policy. All else being equal, I'll go with a Verizon iPhone because I already have an MacBook Air and like the convergence between the new versions of iOS and OS X. But if Amazon offers me a data plan that costs significant less than Verizon, then they will win my business.
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