The Galaxy S6 and Galaxy S6 edge are soon going to be available in various markets around the world, though both devices will be rather expensive, at least when purchased without a contract. Both devices are more expensive than their respective iPhone 6 and iPhone 6 Plus counterparts, and the Galaxy S6 edge is even pricier than the non-curved Galaxy S6 model.
Forbes, however, has an interesting theory as to why Samsung may have decided to make the Galaxy S6 more expensive than its most important rival, and why that gamble might work in Samsung’s favor.
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It’s not because the Galaxy S6 is a more premium device when it comes to build quality and hardware features, though that would be a decent reason for Samsung to increase the prices of both Galaxy S6 models. According to Forbes, the sky-high price tag for the Galaxy S6 is supposed to be a statement: The Galaxy S6 is the best phone you can buy, and that’s why it’s the most expensive.
The publication does point out that Apple’s way of pricing the iPhone shouldn’t be a ceiling for competitors, Samsung included. In fact, many Chinese companies including Xiaomi and OnePlus are selling their flagship handsets for a lot less than what the cheapest iPhone 6 costs.
The strategy might be somewhat risky for Samsung, as there are many smartphone fans looking for cheaper flagship devices, such as the ones coming from China. Not to mention that a study recently revealed many iPhone owners aren’t thrilled with the idea of having to pay more money than expected to switch to a Galaxy S6.
But Samsung’s higher prices could help the company make up for last year’s significant drop in profits, while also increasing the average selling price for Galaxy handsets. After all, many smartphone buyers will get a Galaxy S6 with a contract from a carrier, which could be a more affordable short-term option for them, even if that means paying more money for the device over the course of the contract.
No matter why Samsung opted to go for higher than expected prices for the Galaxy S6, the new phones appear to be hits with carriers, which have preordered a record number of Galaxy S6 and Galaxy S6 edge units, at least according to Samsung.