Does anybody remember when...

Associate
Joined
2 Sep 2019
Posts
12
Location
Manchester, UK
...phone contracts didn't cost an absolute arm and a leg :mad::confused:

I remember a time when a new flagship model phone, with unlimited minutes and texts and a generous data allowance (3g/4g) would set you back about £30 monthly as an average.

I recently ran down a deal with EE and changed to a SIM only deal which costs me £12 a month for unlimited texts and minutes and 5Gb of data. I don't really need a lot as I use WiFi in all of the places I spend most of my time.

Now, any reasonable phone with a similar sort of data allowance is easily £50+.
When challenging the ridiculous prices both online, in store and on the phone, all I get from EE is 'Well, we are the best...' - which is nonsense looking around in various places on the net, such as https://uk.trustpilot.com/review/ee.co.uk and https://www.reviews.co.uk/company-reviews/store/ee

I also found it interesting that Ofcom takes action against companies that break regulatory rules and in January 2017, it fined EE £2.7m for overcharging more than 30,000 customers.

Now, I'm not averse to paying for something if I can see the value in it, but I can't justify spending upwards of £50 monthly for a phone and contract. Am I just being a penny pincher?

I should say my phone is slowly on the demise. I'm even considering just buying a new handset outright and keeping my SIM only deal :cool:

What sorts of deals / costs do you guys have?
 
Associate
Joined
8 Mar 2018
Posts
61
I'm with EE on a sim only deal with unlimited calls and texts with 6gb data for £10.38 a month. I do tend to buy the latest Samsung plus phone each year so in real terms phone ownership is still expensive.
 
Associate
Joined
17 Jan 2015
Posts
1,547
The above post is correct. We live in a world of £1000+ phones. £1000 over 24 months is over £40 a month and that's without the service!

I'm paying 30 quid a month for my 2xl (it was 29) because I got it on a black Friday deal and that's what I'm hoping to do again this year probably with the pixel 4. I'll concede though that I can't see it being less than 35 quid this time around but there's no way I'm paying over 50 quid a month for a phone. If it comes to it I'll just buy a phone once they've been out a few months and they start chucking discounts at it!
 
Soldato
Joined
25 Apr 2007
Posts
5,255
Someone linked an EE tariff on the Apple forum which was £115 per month for an iPhone XS Max, with cheeky little £50 upfront to sweeten the deal. Madness!
 
Associate
Joined
22 Jun 2018
Posts
1,582
Location
Doon the watah ... Scotland
In days gone by, phone tech advanced quickly enough that it was worth getting the latest models ... But now, most phones will do just about all you need from a mobile very happily.

I stopped and got off the 2year upgrade bus last year as like the op I couldnt see where the value is for a top end phone, and renewing the contract at the existing price point wasn't going to get me a phone which was much better than what I had.

I'm now been running a Nokia 7 plus for a while which was bought outright and it has never left me thinking that it couldn't do what I asked of it (such as phone calls, web, messaging, photos etc etc ).

My contract is dropped to a basic calls and data only one. I feel I saved a lot of money.
 
Soldato
Joined
18 Oct 2002
Posts
21,068
Its the price gouging on the phones thats the issue.

The network cost isnt the issue, its the cost of the phone they are allowing you to pay for via installments.
Exactly this - top end iPhone prices have more than doubled recently.
I remember buying an iPhone 4 on launch day (June 2010) for about £500, now an iPhone 11 costs nearly £1k with the Pro model over that.

‘This graph demonstrates this point

48725367866_f13925a931_o.png


With sales now declining the only way to increase profit is to increase the margins on each one sold.

Phone sales

48725078713_d638ee70df_o.jpg



However, even though Apple have increased the price of their phones, profit margin has gone down due to increased costs from other elements.

Profit Margin

48725435386_e546073b42_b.jpg
 
Last edited:
Soldato
Joined
28 Apr 2011
Posts
14,816
Location
Barnet, London
When challenging the ridiculous prices both online, in store and on the phone, all I get from EE is 'Well, we are the best...' - which is nonsense looking around in various places on the net, such as https://uk.trustpilot.com/review/ee.co.uk and https://www.reviews.co.uk/company-reviews/store/ee

Tbf, I think they are the best. I did some testing a few years back and they easily were the best in the areas I used my phone. That could be different now, but not from what I see. Also, are you saying EE are more expensive than the other providers? I've not really looked being SIM only contract myself, I thought they all did these huge silly contracts these days.
 
Soldato
Joined
18 Oct 2002
Posts
18,296
Location
Brighton
Happy with my deal tbh.

s10e, 100gb data, unlimited text/voice, £28 a month, £30 upfront, £65 cashback and some free wireless headphones.
 
Soldato
Joined
15 Mar 2010
Posts
11,076
Location
Bucks
Just buy outright. I cant remember the last time I was on a contract, just seems like hassle to me.

If you look around and go the refurb or pristine secondhand route you can get some great phones for the money.

I personally still use an s7 edge - my second one actually after I destroyed my last one and decided the phone does all I need that I just got a refurbed unit for like 250 or something.

What's a modern phone get you nowadays anyway? The improvements are so small or unnecessary its laughable.
 
Soldato
Joined
5 Apr 2009
Posts
24,858
I'm not paying £50+pm for an S10 512GB with EE on a 60GBpm data contract.

They're crap directly, so use a third party and the deals are better.

That was a straight no haggle upgrade contract too, so is what I would expect to be on the more expensive side of things. If I'd wanted to change networks or speak to retentions I could probably have got it cheaper than that but I was lazy.

If you're looking at over £50 for 5GB data and a 'reasonable phone', you're doing it very wrong :p
 
Soldato
Joined
13 Apr 2013
Posts
12,407
Location
La France
However, even though Apple have increased the price of their phones, profit margin has gone down due to increased costs from other elements.

Profit Margin

48725435386_e546073b42_b.jpg

That graph shows markup, not profit margin. Profit margin has to account for R&D and Operational costs. Apple profit margin on iPhones has remained around the 35% mark.
 
Man of Honour
Joined
19 Oct 2002
Posts
29,524
Location
Surrey
I buy outright now and get a separate phone/data contract. I do prefer an all-you-can-eat data contract because I use it a huge amount while out and about. But I don't need a phone with the latest features. In fact my last phone was a used one. I look to spend around £200 to £300 every few years on a phone, and no more.
 
Soldato
Joined
1 Feb 2003
Posts
3,770
Location
Kent
I've got no need for a flagship phone, I'm perfectly happy with my current Pixel 3a (£340 with a Google home hub when I bought it).

I buy a phone every few years and get a SIM only contract.

My EE SIM is £15 a month for 25gb data, unlimited calls & texts.
 
Back
Top Bottom