Why don't cell phone companies deliver?

Citadel535

Senior member
Jan 16, 2001
816
0
0
Big companies like Verizon and Sprint all show off these flag ship phones months in advance but then come release date, they do not have enough stock on hand. I wonder if its to get disappointed consumers to make unnecessary purchases on store visits.
 

Phynaz

Lifer
Mar 13, 2006
10,140
819
126
Huh? I have never bought a phone from a store. Haven't stepped in one in years.
 

corkyg

Elite Member | Peripherals
Super Moderator
Mar 4, 2000
27,370
239
106
OK - to each his own. I have never bought one NOT from a store. When I leave the store, my new phone is all set up, phone book transferred from old one, etc. Ready to use. Have never had a problem with a cell phone. I much prefer dealing with people rather than a computer. Then if something is wrong, I just take it back - I hate dealing with RMA's, UPS, USPS, etc.

Anyhow, OP's question is a good one. Sometimes stores receive new items by allocation based on their sales, etc. I suppose they would rather have due outs or back orders rather than $$$ invested in on hand inventory.

I have always waited a while before becoming slave to fad and hype. Right now, I'm glad I did not buy a iPhone 4.
 
Last edited:

mpilchfamily

Diamond Member
Jun 11, 2007
3,559
1
0
If you preorder the phone you tend to get it within a few days of initial release. That being said you still have to go online or to the store to get the phone activated once it arrives. Out of stock issues are rarely forced. Often they underestimate the demand or there are production issues preventing the phones from staying in stock. So if your bombed about Droid X shortages thats life. You've live your life to this point without it, a bit longer won't kill you.

I agree with corkyg. I prefer going to the store. And not some 3rd party retailer like Best Buy or Radio Shack. I'd rather deal directly with the service provider. Then i get my phone set up, tested and all data transfered. The upshot can be the up sell. Just about every feature and smart phone needs a case of some sort. So its good to be in store and look at the case selection. Plus i gotta have a car charger. If prices seam a bit high in the store... well i'm already out and about so may as well swing by best buy or somewhere else and pick up what i need.
 

Raduque

Lifer
Aug 22, 2004
13,141
138
106
Guys, he's not talking about shipping devices out, he's talking about having enough stock on-hand to not run out on launch day.
 

corkyg

Elite Member | Peripherals
Super Moderator
Mar 4, 2000
27,370
239
106
Guys, he's not talking about shipping devices out, he's talking about having enough stock on-hand to not run out on launch day.

No misunderstanding on my part. These days inventory costs $$$. Each store manager gets an allocation based on past sales. It's far better to have a backlog demand than a surplus inventory.

Reading back, only one person pointed to online ordering.
 

Zebo

Elite Member
Jul 29, 2001
39,398
19
81
Maybe because it's costs half a billion dollars to have a million phones sitting in a warehouse someplace and if it's a flop you just lost a dumptruck full of cash? Only Apple can safely produce that kind of numbers for launch. They sell as many as all 60 androids combined.
 

Zebo

Elite Member
Jul 29, 2001
39,398
19
81
Huh? I have never bought a phone from a store. Haven't stepped in one in years.

I'm just the opposite. How do you know what you want without playing with them all? Hell I've bought them before and borrowed for a few days just to be sure....two year contract you're talking about...that's longer than most marriages these days...I'm definitely gonna finger f**k her first.

Edited.
 
Last edited:

exdeath

Lifer
Jan 29, 2004
13,679
10
81
You mean all the recent backorder and supply problems? It's an age old marketing ploy in the tech industry. When something is limited in supply and hard to get, people want it more and line up in droves with more deposits and preorders.

It may seem counter intuitive and you'd think they would lose money by limiting supply when you have customers lined up with their money, but you create an aura of elusiveness that drives people to want it more, and you trade short term launch day sales for long term continued sales by trickling them out. It's a balance between keeping supply just short enough that hype and demand stays alive until the end of the product cycle, but not limiting it too much so that you don't sell enough that people give up and just get the next newest thing coming out in a month.

have plenty of supply:

week 1 - 7 million sales
week 2 - 4 million sales
week 3 - 1 million sales

Keep supply limited and on back stock to create hype, exclusiveness, omg gotta put a deposit on it and get one NOW!!! BEFORE ITS TOO LATE! Hype and fear of being left out is basically free advertising; the hope for the next shipment.

week 1 - 5 million sales
week 2 - 5 million sales
week 3 - 5 million sales

See how that works? This kind of tactic has been going on for years (including such things like Wii, Geforce cards, blah blah blah blah. etc). Seriously, this happens time and time and time again; do you seriously believe companies are as surprised as they act about not having enough.. for the 1203784th time? It's a well calculated marketing tactic. In the case of the Wii, remember how it was on out of stock for like a year with people paying double/triple MSRP, meanwhile it was found that they had thousands of them sitting in a warehouse on pallets, not being shipped. Anybody remember those pictures?

Obviously we know in some specific cases like the HTC AMOLED problems and what have you that might pose a real physical production capacity limitation, but not EVERY. SINGLE. DEVICE. ALL. SUMMER. Most of the time it's not necessarily a production problem, just creative marking that plays with peoples emotions and feeds on a greater desire to have something if you think you won't be able to get it to keep demand alive in the long run.

Also it continues sells into the next newest product that might otherwise have been lost. Think about how many people have a back order on a Incredible or Evo or something that will will still be getting their phone in a week despite new phones like the Droid X being out; all those people "locked" themselves psychologically to the product on back order that they put their name down for on that next shipment coming in. Too busy spending weeks calling stores and tracking down info on that elusive next shipment, they don't even notice what they want is now obsolete and they are still after it. People are so "gotta have it" that their attention span remains focus on getting what they couldn't have a month ago that they don't even notice new stuff being out sometimes. In a way it's selling hope, similar to games like WoW that keep you playing on the premise of hope that next time it will be your turn (on a random drop in the case of WoW).

This last concept is very similar to hyping consoles: announce amazing impossible specs 2 years before the first production unit, people go insane over it and talk about how awesome it is, etc. In the mean time in the 2 years it takes to come to fruition, specs end up being 1/10th of what was initially announced, but it doesn't matter because that hype and excitement from the original announcement is still there and still strong in most peoples minds (PS3 anyone?)


Mmmm sociology. Obviously most of us on AT are unaffected by this, most of us would cancel a back order in a heartbeat if something better was coming out, or give up and find an equivalent device, etc. But think about the masses play into this psychological warfare...
 
Last edited:

corkyg

Elite Member | Peripherals
Super Moderator
Mar 4, 2000
27,370
239
106
Exdeath, . . . well stated. I see you have worked for a living and understand business.
 
sale-70-410-exam    | Exam-200-125-pdf    | we-sale-70-410-exam    | hot-sale-70-410-exam    | Latest-exam-700-603-Dumps    | Dumps-98-363-exams-date    | Certs-200-125-date    | Dumps-300-075-exams-date    | hot-sale-book-C8010-726-book    | Hot-Sale-200-310-Exam    | Exam-Description-200-310-dumps?    | hot-sale-book-200-125-book    | Latest-Updated-300-209-Exam    | Dumps-210-260-exams-date    | Download-200-125-Exam-PDF    | Exam-Description-300-101-dumps    | Certs-300-101-date    | Hot-Sale-300-075-Exam    | Latest-exam-200-125-Dumps    | Exam-Description-200-125-dumps    | Latest-Updated-300-075-Exam    | hot-sale-book-210-260-book    | Dumps-200-901-exams-date    | Certs-200-901-date    | Latest-exam-1Z0-062-Dumps    | Hot-Sale-1Z0-062-Exam    | Certs-CSSLP-date    | 100%-Pass-70-383-Exams    | Latest-JN0-360-real-exam-questions    | 100%-Pass-4A0-100-Real-Exam-Questions    | Dumps-300-135-exams-date    | Passed-200-105-Tech-Exams    | Latest-Updated-200-310-Exam    | Download-300-070-Exam-PDF    | Hot-Sale-JN0-360-Exam    | 100%-Pass-JN0-360-Exams    | 100%-Pass-JN0-360-Real-Exam-Questions    | Dumps-JN0-360-exams-date    | Exam-Description-1Z0-876-dumps    | Latest-exam-1Z0-876-Dumps    | Dumps-HPE0-Y53-exams-date    | 2017-Latest-HPE0-Y53-Exam    | 100%-Pass-HPE0-Y53-Real-Exam-Questions    | Pass-4A0-100-Exam    | Latest-4A0-100-Questions    | Dumps-98-365-exams-date    | 2017-Latest-98-365-Exam    | 100%-Pass-VCS-254-Exams    | 2017-Latest-VCS-273-Exam    | Dumps-200-355-exams-date    | 2017-Latest-300-320-Exam    | Pass-300-101-Exam    | 100%-Pass-300-115-Exams    |
http://www.portvapes.co.uk/    | http://www.portvapes.co.uk/    |