Apple vs Samsung: Korean Company Planning Smartphone-Leasing Program for Samsung Galaxy S6?
Samsung is following suit when it comes to their marketing strategies, and their latest came from Apple's strategy of leasing their flagship phones to consumers.
According to Forbes, under the leasing program of Apple called the "iPhone Upgrade Program," users are allowed to purchase their handsets directly from any Apple store instead of going to the conventional and largely practiced carrier-bound handsets.
Under the program, Apple leases their flagship phones starting from $32 per month for two years. The program will untie a consumer bond on any network carrier, but still have the option to change their phones every year.
Apple has laid the plans on their iPhone line mainly iPhone 6S, iPhone 6S Plus and iPad Pro. Meanwhile, Samsung has offered their Samsung Galaxy S6 on the leasing trend, listing a similar amount as that of the iPhone program.
The main purpose of the leasing program for both parties have been the freedom given to consumers in choosing their own phones as well as cutting them from the burden of being tied up to a certain carrier for two years. Although the program strategically put their customers on the advantage side, Apple in particular retained their program with network carriers for those who wish to take the conventional route. A
According to Yahoo Tech, Samsung has not given any official statement and details about the program.
Carriers in the U.S. have also slowly shied away from keeping their customers to the extended contract programs. In fact, Sprint announced that a customer can lease a smartphone for as low as $15 with the added perk of upgrading the device anytime they want it.
Verizon has also ventured on the leasing program and largely negotiated the removal of the two-year contract.
However, other carriers, including AT&T, did not totally discontinue the use of their two-year contract programs. The financing and leasing programs have been their way of giving their customers easier payment options with no tie-ups.
Verizon, on the other hand, has totally let go of the contracts, retaining only the contract that deals with the payment of the handset itself for two years if a customer opts not to pay the gadget's full price.
If Samsung pushes through with the program of leasing their Samsung Galaxy S6 to its customers, the competition will again rise, this time in a different manner and by way of the gadgets price itself and not the carriers add-on rates.
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