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EVO

Journeyman

EVO

How can Sprint charge $500 for EVO to current customers and only $200 to new customers?   This is outragous

6 REPLIES 6
Journeyman

Re: EVO

All carriers do the same thing. They make more money off new customers, just do the math. $199 for the phone plus 79.99 x 24 months. That's a lot of cash.

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Journeyman

Re: EVO

Breakthecycle2 wrote:

All carriers do the same thing. They make more money off new customers, just do the math. $199 for the phone plus 79.99 x 24 months. That's a lot of cash.

So if they sell an EVO to a new customer for $199, then charge them $79.99 x 24 months, they make more money than if they sell me an EVO for $199 and $79.99 x 24 months?

What kind of maths are you using?

Journeyman

Re: EVO

All cell phone providers do that when you're in the middle of the contract period.  If you're eligible for an upgrade, you qualify to get the Evo for $199, if not, then you pay the extra money to get the Evo.  Unfortunately that's what all cell providers do.  My husband was eligible for the upgrade when the Evo came out, and got it for the $199 price only because he was eligible to upgrade.

Journeyman

Re: EVO

jturnbowtoo wrote:

Breakthecycle2 wrote:

All carriers do the same thing. They make more money off new customers, just do the math. $199 for the phone plus 79.99 x 24 months. That's a lot of cash.

So if they sell an EVO to a new customer for $199, then charge them $79.99 x 24 months, they make more money than if they sell me an EVO for $199 and $79.99 x 24 months?

What kind of maths are you using?

What do you mean what math am I using?

$69.99 plus $10.00 per month Evo fee x your 24 month contract, plus the price if the Evo = $2119.86. That's what Sprint would make off each new customer. Say your a current Sprint customer with 12 months left on your contract. $79.99 x 12 plus the $500 regular priced Evo = $1459.88.

Wizard

Re: EVO

Breakthecycle2 wrote:

jturnbowtoo wrote:

Breakthecycle2 wrote:

All carriers do the same thing. They make more money off new customers, just do the math. $199 for the phone plus 79.99 x 24 months. That's a lot of cash.

So if they sell an EVO to a new customer for $199, then charge them $79.99 x 24 months, they make more money than if they sell me an EVO for $199 and $79.99 x 24 months?

What kind of maths are you using?

What do you mean what math am I using?

$69.99 plus $10.00 per month Evo fee x your 24 month contract, plus the price if the Evo = $2119.86. That's what Sprint would make off each new customer. Say your a current Sprint customer with 12 months left on your contract. $79.99 x 12 plus the $500 regular priced Evo = $1459.88.

The flaw is that you are assuming that the current customer will terminate service at the end of the remaining 12 month term of the contract, while the new customer will remain for the full 24 month term.  Of course the revenue is greater over double the term.  So is the service provided.  Revenue is not equal to profit; there is a cost of providing the service. Even using your term assumptions, not knowing that cost, you cannot reliably state under which of your scenarios Sprint would make more profit...or more likely given Sprint's profit record, which scenario would produce a lesser loss.

Journeyman

Re: EVO

I can understand paying the full price if you're an existing customer or not eligible for an upgrade yet, but why van't we at least qualify for the rebate, that would at least extend somewhat of  a courtesy  for being a Sprint customer.

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