HTC could use price cuts to boost sales

HTC isn't the force it once was in the mobile world. The manufacturer is still selling phones, but the days of the Desire's dominance of the Android market now seem a long time ago, while the One series perhaps hasn't performed as well as expected. With that in mind, it looks like radical action could be on the cards.

An anonymous company source has been speaking to the My Drivers site, claiming that HTC is now seriously considering price cuts across its range, including both existing and upcoming phones, as well as Android and Windows 8 handsets.

It's an extreme step for a company that still sees itself as a premium phone maker. The iPhone continues to chop away at the company's sales and within the Android market, the Samsung Galaxy S III is the must-have phone. That has squeezed profits, with the situation unlikely to improve with a clutch of new Androids being readied for IFA and of course, the imminent arrival of the iPhone 5. The Galaxy S III's sales are also likely to have been boosted with some high profile promotion during the Olympics.

Price cuts will obviously be a good way of boosting sales, especially when times are financially tough. The downside, as we hinted at earlier, is the impact on HTC's reputation, especially if it cuts the price of its current range across the board. It might be appreciated, but HTC will have to be careful that it doesn't look like a clearance sale.

The price cuts are said to be aided by the company ditching Beats Audio headphones for its phones, which are seen as something of a luxury. Aside from that, HTC will have to hope that the increase in volume offsets those reductions in price.

HTC is very likely to launch new hardware next week. If it is going to be aggressive in price, we could see the first signs of it then.

Source: Unwired View

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  1. Guest
    Guest25th Aug 2012

    i think all mobile shops are rediculus as im not working i would love to get a new phone but always get turned down for poor credit. i think they shou...

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