![]() You can generate hype by starting pre-orders for the device (without a declared final price). ![]() You can generate hype by announcing the release of the phone way before it’s actually available. Here’s how skimming works – you start by artificially inflating the price of a new, much-hyped phone. Since the class divide is so wide and people with deeper pockets tend to (and want to) pay more for exclusivity, the skimming makes sense – it grants the exclusivity to those who desire it and maximises profits for the company. Ultimately, many companies have realised that it makes sense (at least in India) to adopt a ‘skimming’ price strategy – a name derived from the action of skimming layers of cream off the top of milk. The psycologial Rs50k barrier was broken long back by the iPhone 5S and now the Galaxy S5 and HTC One (M8) are also selling at around the Rs50k mark. ![]() ![]() If you think that smartphones are getting too expensive, you’re not alone. ![]()
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