Nothing Phone (1) don’t expect success if the price is not cheap
Last week, OnePlus co-founder Carl Pei’s startup Nothing launched its first smartphone, the Nothing Phone (1).
Nothing Phone (1) promises a “fast and smooth” software experience, a pure Android-based interface, and an “iconic” design. In 2014, the OnePlus One was also touted as having a “fast and smooth” experience, an interface that closely resembled stock Android, and a striking design. Beyond that, there’s one area where Nothing needs to take inspiration from the OnePlus One and that’s pricing strategy.
People will inevitably have comparisons between OnePlus and Nothing, given that Carl Pei is involved in both brands. The first OnePlus is still remembered for its extremely cheap price of only 299 USD in 2014.
Of course, smartphone prices have skyrocketed since then due to inflation, supply chain issues and higher-end technology, but entering the market at a competitive price is still a popular strategy among brands. new brand. Huawei did this with the Ascend P1 and Ascend P6, Realme did it with the Realme 1, Xiaomi did it with the Mi 1 and OnePlus itself did the same.
Selling below the price of larger competitors has been a strategy practiced many times in the market for new brands to find a foothold, as well as generate interest among users and drive sales. The attractive price also helps users reduce the feeling of risk when buying from an unknown company. And new firms gradually increase the price of their products after having a foothold in the market.
Nothing Phone illustrations (1)
So it makes sense for Nothing to take this approach – unless they want to go the way of the Red Hydrogen One and Amazon Fire Phone, to be famous once and then gone.
Even Essential, with all the expectations from users, failed with the $700 Essential Phone. $700 isn’t a terrible price for 2017, but the company still had to drop the price by $200 in the months following its launch. Nothing should not risk going down this path.
Even if Carl Pei is taking a big gamble by positioning the brand as a competitor to Apple, Nothing still cannot achieve the level of trust among users like Apple. The sky-high price tag may make the Phone (1) a desirable device for many enthusiasts, but the low price will help them accept their wallets. And as a new company, Nothing will want sales instead of just the admiration of high prices for users.
If Nothing is really aimed at a high-end experience, then the $299 price tag is unlikely in 2022, but there is still room for Nothing to compete at a higher price point, but still at a level that many people can accept.
The smartphone market has changed dramatically since the launch of the OnePlus One, the super-premium flagships and mid-range phones thrived, leaving a gap for reasonably priced flagship models, which represent the best. The main focus is the Google Pixel 6 for $600.
Nothing Phone (1) can compete with the Pixel 6 and rise above other affordable flagships, if it can offer the right price while offering a premium experience.
Until now, what we know about Nothing Phone (1) is very limited, during the product introduction event, Carl Pei did not reveal many details of the device. Only know that Phone (1) will have a Snapdragon chip, but the specific version is unknown. The smartphone is touted as having an “iconic” design, but we haven’t seen it yet.
It can be said that the most remarkable thing in Carl Pei’s Phone (1) introduction event is the Nothing OS interface. The company confirmed Nothing Phone (1) will receive three years of operating system updates and four years of security updates, and promises a “pure Android” experience with sophisticated tweaks.
The company has also not revealed a specific launch date for Phone (1), only knowing that the device will officially launch in “Summer 2022”, that is, in the period to the end of September.
Reference: AA
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