http://www.cbc.ca/technology/story/2010/08/17/blackberry-torch-price-slashing.html
Summary
Research In Motion's (RIM) newest device - the BlackBerry Torch - is not selling as well as they hoped. Sales went from bad to worse! Analysts report that they didn't see any line-ups at stores to buy this device. Most of these buyers appear to be existing BlackBerry owners. Analysts stated that the Torch had only sold 150,000 units over the weekend. This number was extremely small compared to the iPhone 4 which sold 1.7 million in the first weekend. While the improvements in this new BlackBerry are apparent, technology reviewers weren’t impressed overall because the core was more of the same.
Connections
This article talks about a demand problem because consumers are not willing to purchase the new BlackBerry Torch. There are many factors affecting demand. Price is a factor but it is not the problem because Amazon is currently selling this device for only $100! A substitute product is probably the most likely factor affecting the demand. The iPhone 4 has just recently been released as well and sales have been great. Although the iPhone 4 is much more expensive, consumers are still willing to buy this product because they don’t mind spending a lot of money on it. Some people may not like the Torch because of its appearance and or functions. That is why tastes and preferences is also another factor that could affect demand.
Reflections
I am currently a BlackBerry Bold2 user and I think that this phone is awesome. I honestly think that the Torch is not a visually appealing phone; therefore there would be a decrease in sales. If I were to choose between the iPhone 4 and BlackBerry Torch, I would definitely choose the iPhone 4 even if it is pricier. I would be willing to pay more for a phone that I liked and I believe that other consumers would as well. That is why I believe that there is a demand problem for this product. Perhaps if the phone were more visually appealing with better improvements made, other consumers would be attracted to it too.
I was very surprised to hear that the blackberry torch sales are low. Everyone I seem to talk to, seem exited about the torch and want to buy it. But then again some people already bought and I phone or a blackberry and since we are in a recession people don’t have the money to spend on a new phone. I personally would love to get the blackberry torch. Would you get the torch? I really enjoyed reading your blog and was surprised with the sales of the torch.
ReplyDeleteGaggn Bahra
I think RIM should just drop the Blackberry line. With the popularity of the Iphone right now it would be suicide to compete. I suggest they develop something new or fresh rather than develop a bad version of something better.
ReplyDeleteThis was a very interesting topic and I'm happy that you bought it to my attention! I did not know the sales for the Blackberry Torch was that low compare to the Iphone. If you were to ask me to decide between a Torch and a Iphone. I think I would of chose the Iphone too! I really enjoyed reading your blog.
Tommy Phung
This comment has been removed by the author.
ReplyDeleteTo be honest I thought blackberry was doing better than iPhone because of the reviews. If blackberry doesn't step up to the game, they'll eventually drop out from the competition. I think RIM should pay attention to consumer feedbacks because RIM probably, could of done a better design instead of having a "slide feature". However, in my opinion, RIM will probably switch to a different product soon due to the competition between Nokia and Apple. I definitely enjoyed reading your blog.
ReplyDelete- Joshua Tran
I agree with you stating that blackberry torch is probably not selling as well as iphone4s at the moment because of their physical appearance. Not only that but the price of the blackberry torches definitely has taken me by surprise. I didn't think they would be selling at such an unaffordable price. It was a significant price increase from original blackberry models whilst the iphone 4 stayed almost the same price as any of the other models from before.
ReplyDeleteJob well done Linda.
I would have to agree with you on the iPhone and Blackberry Torch demand issue. From the way I see it, any touch screen smart phone - or phone in general- out there has no chance of out competing the iPhone. It seems apparent to me that Apple's iPhone has solidly taken over the touch screen phone sector. On top of that, I believe a reason for RIM's poor amount of sales is due to the fact that the Torch isn't really anything new and/or breathtaking from its predecessors. Before long, unless RIM decides to make some drastic changes with its BlackBerry line, I believe iPhone is going to forcibly put an end to the BlackBerry line.
ReplyDeleteJust for Mr.Bach's reference, I am Peter Nguyen.
ReplyDeleteI agree with you statting that blackberry torch is not selling as well as iphone4 because of the apperance. I think functions could definately is one of the main reason behind it because iphone4 has alot of different functions and it's way easier to use compared to Blackberry torch. People are definately willing to spend more money on something that they really like and easier to use and even comes very handy.
ReplyDeleteyou have done a really good job on this article
Nitasha Sharma.