While iPhones were launched by both Vodafone and Turkcell in different price lists, new devices just hit the targeted expectations especially for Turkcell subscribers. We have interviewed with subscribers from both camps and they raised various reasons explaining the failure of Vodafone hitting the targeted expectations.
Of course the more appropriate price lists offered by Turkcell have affected the interest shown to devices and therefore they gained an advantage in this sales campaign. And Turkcell user profile being composed of upper-income leveled users has also helped them in sales. We have also found that Turkcell’s announcement, which indicated that 50 iPhones will be put into a lottery, has helped to grow such an interest in the sales.
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Turkcell General Manager Sureyya Ciliv made the first sale for the company at 00.00 am and the lucky subscriber who had the first iPhone 3G was 12 years old Emre Telli. Several hundred meters long queues were formed in front of the Turkcell Store in Bagdat Avenue.
Comments on Vodafone’s and Turkcell’s Price Lists
We have shared these price lists with our readers yesterday. In this article we will try to analyze the differences in those lists.
The first of all, Vodafone declared its price list really too late. While Turkcell announced its price list at noon hours, Vodafone’s price list were not released until evening. This situation has raised some speculations that Vodafone was positioning its price list according to Turkcell (with the lesson in India). And also since the prices were declared lately, it is commonly accepted that demand at 2 Vodafone Stores which were set to sale iPhones became quite dim.
While the contracted (18 month lasting subscriber contract) sale prices were also quite different for the two carriers, the primary difference in Turkcell list was the non-contracted sales. Moreover, these non-contracted sales were also available in installment sales forms. Turkcell’s iPhone 3G prices are declared as about 645 Euro for 8GB and 758 Euro for 16 GB in the installment non-contracted sales.
But Vodafone is not offering a non-contracted sales model. Subscribers should sign a 12 months-lasting contract first.
It is assumed that Turkcell gained an advantage in sales campaign offering a non-contracted sales model since there are quite a lot of people who does not wish to go under such responsibilities.
Another failure reason for Vodafone campaign may be the “high advance payment- low installment payments” sales model.
Since Turkcell’s subscriber profile is composed of upper-income leveled users and market share beats Vodafone, they could afford to offer lower installments prices. Vodafone could not afford that.
says Bulent Hekimoglu. Indeed while Turkcell is offering 189-279 YTL payment models for 18 month lasting installment model, Vodafone is offering far cheaper (39 YTL) monthly payments for its 12 month lasting installment model. But the advance payment is declared to be 979 YTL for Vodafone and whether they are cheaper or not in total price, they are not attracting people with such a high (3 or 5 times higher than Turkcell) advance payments.
We have also interviewed with Serhat Ozeren, the head of TEDER (Telecommunication and Energy Services Consumer Rights and Industrial Research Association) on this topic. Ozeren is also the General Manager of C5, which is a distributor of Turkcell. In brief Ozeren had said “It wouldn’t be any good for competition if Vodafone happens to be the only one to sale iPhone” during an interview with turk-internet.com when it was not clear whether Turkcell was going to sell iPhones. And today
Looking at the first sales numbers, I think it is great that iPhone have also collaborated with Turkcell. If they did not, that would be one of the worst sales operations on world for them. It is also beneficial for the end-users since there is a competition here.
Different sales options give the chance to choose for the users. Since Samsung has raised its market share from 29% to 41.3% and Nokia holds a firm 44%, 85% of the whole market share is controlled by two firms right now. Therefore we are also very positive in iPhone’s entry in this market. We are grateful about the entrance of broadband devices, since the 3G bid is going to take place very soon.
he said.
As a result, iPhone entered our country and users can now get rid of the old “cracking” methods to use an iPhone device like they did till today. We hope Apple would also deliver a working iTunes for Turkey soon and Telecommunication Regulators and the Ministry of Transport carry on the 3G auction as soon as possible.
Sure, the taxes which is giving at least 40% (18% VAT and 20% Special Communication Tax) expensive bill to the users are a very big concern in Turkey.