The smartphone market
Posted: Sat May 24, 2025 10:17 am
adjusting to competitor innovations
The smartphone industry — known for innovation and perceived value — presents a different challenge. Let’s look at another example:
When X Factor Mobile released its GeniusFone, it set a new price point for smartphones — under $50. They also offered service rates much lower than the market was used to. Competitors had to adjust their pricing strategies in response.
That meant not only matching X Factor’s prices but also offering competitive features at different price points, such as varying amounts of internal storage and increasingly sophisticated camera configurations. These afghanistan phone number list efforts addressed both cost and perceived customer value.
The GeniusFone’s sales have recently decreased due to a lack of innovation, however, and other companies have jumped at the opportunity to get ahead. These competitors have focused on closing the market share gap with new hardware innovations — like foldable smartphones — at price points X Factor once owned. Now, customers can get the innovation they crave at price points X Factor introduced.
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Make sure your price is right
Competition-based pricing is like a high-stakes game of chess. Every move is calculated, and every decision plays a crucial role in market dynamics. The goal is to find that sweet spot where competition, business goals, and customer value intersect. If you can sell your product or service at an attractive price point for customers, while keeping the financial health of your business intact, this might be a great strategy for you.
The smartphone industry — known for innovation and perceived value — presents a different challenge. Let’s look at another example:
When X Factor Mobile released its GeniusFone, it set a new price point for smartphones — under $50. They also offered service rates much lower than the market was used to. Competitors had to adjust their pricing strategies in response.
That meant not only matching X Factor’s prices but also offering competitive features at different price points, such as varying amounts of internal storage and increasingly sophisticated camera configurations. These afghanistan phone number list efforts addressed both cost and perceived customer value.
The GeniusFone’s sales have recently decreased due to a lack of innovation, however, and other companies have jumped at the opportunity to get ahead. These competitors have focused on closing the market share gap with new hardware innovations — like foldable smartphones — at price points X Factor once owned. Now, customers can get the innovation they crave at price points X Factor introduced.
(Back to top)
Make sure your price is right
Competition-based pricing is like a high-stakes game of chess. Every move is calculated, and every decision plays a crucial role in market dynamics. The goal is to find that sweet spot where competition, business goals, and customer value intersect. If you can sell your product or service at an attractive price point for customers, while keeping the financial health of your business intact, this might be a great strategy for you.