Bill, thanks for words from the front line...I'm sure we'll all look forward to your posts. Do you get your phones directly from G*USA or through a distributor like American Wireless or GMPCS?
Regarding: "They sell the phones to the dealers for $669 and then they are running specials for the consumer at $699..... NO PROFIT." I think that's not quite right. G*USA's official MSRP is 1199$, against which it's offering a 300$ rebate, right? So, if you sell a phone at 1199$ (which will cost the buyer, after rebate 899$), don't you make 530$? The problem you and all retailers have is that some competitors will settle for less profit...sometimes a lot less profit.
Phones are available, on line at least, for as little as 199$ (after rebate) from ICC, with a one year 500 minute per month service package. Smaller discounts are available for lower usage customers as well.
skyplus.icc.com
See my post here for a more complete price survey
Message 14612100
It sounds to me like the 1199$ MSRP (which many dealers have not yet discounted) leaves a lot of room for retailer markup. But, as with all retail businesses, some sellers will sacrifice markup for market share....but that's just the American Way, right?
Btw, several months ago, when the phone MSRP was $1499, a small retail outlet offered to sell me one for 1000$, so it's not just your on-line competitors that will discount the price. |