Phones Are Way Too Cheap
How Cheap Are They Really?
They are way too cheap. Let’s take an iPhone for example. You can get a new iPhone for around $1,000. Let’s say that in a year it looses 50% of its value (which is usually even less with Apple’s devices). If you resell it after the first year, you paid $500 for your phone. Having the latest iPhone will only cost you $500 a year.
If you hold on to it for one extra year, you could probably still resell it for around $400. That way you’ll be paying only $300 for your phone per year. Still too expensive? All right, buy a one-year-old used phone for $600 (if you can’t find better value) and resell it a year later for $400, or after two years for $300. You can really go for as low as paying $100 for a phone per year and still have a good phone.
Still Too Expensive?
I’m sure you can afford to pay $100 per year for a phone, and I’m now going to convince you why you should be fine with that price.
Consider What Phones Offer
What’s the one thing you always have beside you? It’s not a wallet because you leave it somewhere when you get home. It’s not your headphones, your clothes or your shoes. It’s your phone.
This shouldn’t be a surprise. Why is it then that we tend to cheap out when it comes to buying a new one? Think of it like this—there is this device you look at for at least two hours every day (or maybe even way more) and you don’t want to spend a lot of money on it.
Consider What You Use Phones For
No matter who you are, you probably use your phone for your work. If you’re an app or web developer, you use it as a tool for testing. If you, however, don’t work with phones directly, you use them for scheduling meetings, setting shifts with coworkers or organizing your work responsibilities with a calendar or a todo app.
You also use your phone for entertainment. You’ve probably watched countless hours of YouTube, Netflix or Instagram Stories, you scroll endless feeds of Facebook, Twitter or Reddit, or you played Candy Crush so much you align your Tic Tacs before you eat them.
Try to think of the last time you’ve taken a photo with anything other than your phone. Sure, you might be a photographer, but you’re still taking way more photos with your phone than with your camera just because it’s, well, always there.
Other than the above-mentioned things, the phone is your alarm, your timer, newsreader, notebook, navigation, book reader, and an iPod.
Why do People Freak Out Then?
People freak out when they see a big price tag but they don’t think about how much they are going to get from it and how much it will cost them in the end. Sure you need to pay a bigger price upfront, but once you do pay the initial premium, you won’t have to pay ever again for more than (worst case) $500 a year.
The reason for all of this is, in my opinion, in the way the phone companies price their phones. If they were to change the model and maybe price them like a service:
You get a new phone every year for $42 per month.
The only catch would be that you need to return it once the cycle is done. The company can then sell the refurbished phone. Of course, there would be premiums if you don’t take care of it, and so on. It’s the same thing as car leases, but for phones.
This is just my two cents on the topic of phone prices. If you still think phones are overpriced, you do you. 😁