top of page
Writer's pictureThebusinessanecdote.com

Are New Smartphones Offering Less Value for Money?

In recent years, the smartphone market has seen a trend where new models offer diminishing returns in terms of value for money. This is particularly evident with flagship devices like the iPhone, where the incremental improvements often come with a hefty price tag. Let's delve into why this is happening and look at some specific examples with the iPhone.

Are New Smartphones Offering Less Value for Money? | The Business Anecdote

Incremental Upgrades


One of the main reasons new smartphones seem to offer less value is the nature of their upgrades. Manufacturers, including Apple, often focus on incremental improvements rather than groundbreaking innovations. For instance, the transition from the iPhone 12 to the iPhone 13 brought about enhancements like a smaller notch, slightly better battery life, and minor camera improvements¹. While these changes are beneficial, they may not justify the significant price difference for many consumers.


High Prices for Minimal Changes


The cost of new smartphones continues to rise, but the features added each year don't always match the price hike. The iPhone 14, for example, introduced features like satellite connectivity and crash detection². While these are impressive, they are niche features that the average user may never use. Meanwhile, core aspects like battery life and processing power saw only modest improvements.


Recycling Old Features


Another issue is the recycling of features from previous models. The iPhone SE (2022) is a prime example. It uses the same A15 Bionic chip found in the iPhone 13 but comes in a body design reminiscent of the iPhone 8³. While it offers a lower entry price, it doesn't bring anything new to the table, making it feel like a repackaged older model rather than a fresh innovation.


Competition from Budget Phones


The rise of budget smartphones has also highlighted the diminishing value of high-end models. Brands like Xiaomi, OnePlus, and Samsung's A-series offer devices with impressive specs at a fraction of the cost of flagship phones⁴. These budget-friendly options often include features like high-refresh-rate displays, multiple cameras, and large batteries, making them attractive alternatives for cost-conscious consumers.


Conclusion

While new smartphones continue to push the boundaries of technology, the value they offer for the price is increasingly being questioned. Incremental upgrades, high prices for minimal changes, and the recycling of old features contribute to the perception that new models offer less value for money. As consumers become more discerning, manufacturers may need to rethink their strategies to provide truly compelling reasons to upgrade. If this doesn’t happen, companies like Apple and Samsung might see a drop in sales of their smart phones. Consumers are already looking to keep their old smartphones which have been fully paid off, rather than creating new long term debt through mobile phone contracts that offer little or no value.

 

Source

(1) Which of the iPhone 13 devices are the best value for money? - TechRadar. https://www.techradar.com/deals/which-of-the-iphone-13-devices-are-the-best-value-for-money.

(2) Best budget phone 2024: The top cheap smartphones in the UK, as tested .... https://www.expertreviews.com/uk/mobile-phones/1403685/best-budget-smartphones.

(3) The best phones in 2024: our 15 favorite smartphones right now. https://www.digitaltrends.com/mobile/best-smartphones/.

(4) Best cheap phones 2024 tested — September top picks. https://www.tomsguide.com/best-picks/best-cheap-phones.

(5) The best cheap phones 2024: top budget mobiles around - TechRadar. https://www.techradar.com/uk/best/best-cheap-phones.

21 views
bottom of page