BlackBerry’s Exchange Offer Worked As Sales Jumped 40%

BlackBerry, the smartphone company that had launched its latest handset featuring a premium price-tag, had attempted a simple marketing gimmick of ‘Exchange’. It appears the trick has worked for the company as the sales have jumped 40% in the last two weeks, the offer was active.

We got a tremendous response to exchange offer on BlackBerry Z10 from consumers. BlackBerry saw a 40 per cent jump in sales as a result of it” confirmed Sunil Lalvan, MD India, BlackBerry. The scheme was a fairly simple one which urged erstwhile BlackBerry customers to return their phones in exchange of the new BlackBerry Z10. As an incentive, customers were liable to get a discount between Rs. 3000 To Rs. 11000 off the MRP of Z10.


Interestingly, the offer was only valid for Z10 & the company hasn’t decided yet to extend the same to other recently launched smartphones namely Q10 & Q5. Perhaps the relatively skewed price points of these handsets could prove a dampener in the sales of Z10. Lalvan was speaking at the launch of Q5 & was kind enough to shed some light on the future roadmap of the company within the highly dynamic Indian market. While he did not confirm if BlackBerry will willingly enter the price wars that current smartphone makers are involved in, he was also so secretive about the possibility of launching cheaper versions of BlackBerry infused with OS10.

Why did BlackBerry try such a price stunt? Quite recently Apple, the maker of iPhone had tasted success when it offered EMI schemes. Similarly Samsung, which makes & markets Galaxy line of Smartphones that run on Google’s Android OS, had realized that Indians are enthusiastic about discounts, EMIs & cash-back offers.

BlackBerry could have adopted the same technique. But realized that BlackBerry users have been using the same handset for a considerably longer duration of time owing to contractual obligations & decided to come up with an exchange offer that allowed a lower entry point of customers who were willing to upgrade, but were held back due to the high price. Do you think, such marketing tactic will help the company in the long run, especially when Apple is struggling?

Image Courtesy |   indianexpress

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