Why Are Samsung Phones Costly? [9 Reasons]
Why are Samsung phones costly? Samsung is one of the world’s mobile market giants, accounting for nearly 21% of the total market share.
This is even greater than other well-known names in the mobile industry, such as Apple, Xiaomi, and Huawei.
Even though Samsung phones are significantly more expensive, people prefer them over a plethora of other Android phones.
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Why Are Samsung Phones Costly?
The amount spent on technology research and development is the primary reason why Samsung phones are so expensive. Samsung’s R&D department spends a lot of time researching new technologies and successfully implementing them in their phones like in Samsung galaxy s22, Samsung galaxy s21 ultra, galaxy s, Samsung galaxy s20 ultra, samsung galaxy z, galaxy s22 ultra, Samsung Galaxy s10, galaxy z fold flip, Samsung galaxy a53, Samsung galaxy s21 fe and galaxy zfold 3.
This makes them significantly more expensive than other Android companies, which tend to copy Samsung’s previously researched technologies with minor changes.
Aside from research and development, Samsung invests heavily in marketing their products in order to raise awareness about technological advancements. Why are Samsung phones so expensive, despite the fact that the company is so well-known?
1. Development and research
According to reports, Samsung spent $22.6 trillion on R&D between 2013 and 2021. The amount spent has also increased significantly in 2022. The primary reason for this is Samsung’s work in networking and data intelligence to improve the performance of their smartphones.
The research team focuses on improving the user interface with the help of cutting-edge technologies. They also work to improve the internal and external hardware of these devices in order to give them a smart appearance that attracts buyers.
Introducing the Samsung Edge is one of the best examples of the work done by Samsung’s R&D department. Consider some of the most recent advancements made by Samsung in their latest phone, the Galaxy S22 phone makers.
- Because of their consistent Ip68 rating, they can withstand dirt and water for up to 30 minutes at a depth of five feet.
- AI super-resolution allows for a 100x space zoom, including a 10x optical zoom.
- With the introduction of EV technology, battery performance has improved.
- Third-party laboratories were used to test the value.
The advanced technologies found in every new Samsung phone demonstrate the work of the company’s R&D department. The money spent on research contributes significantly to the overall cost of the products.
Throughout the last two decades, Samsung’s marketing strategy has been a game changer for its success. Samsung’s strengths have always been great storytelling and conveying the brand’s message to the consumer in a unique way.
Samsung’s marketing strategy was revamped in the late 1990s when the company decided to invest more in research and development. The company decided to focus more on technology, which required them to spend a lot of money on marketing like in google pixel.
Samsung’s advertising campaign turned out to be completely unique in comparison to other brands. Because they had to convey the brand message uniquely, its technological advancements were heavily reliant on marketing strategy.
Samsung is currently the world’s fourth largest advertiser, spending nearly $9.7 billion on mixed media advertising. This is a substantial sum that primarily contributes to the price increase.
3. Product Design And Development
The components of Samsung mobiles will always see significant growth and advancement. To accomplish this, Samsung operates a Samsung Design & Innovation Center that is solely responsible for developing unique designs that users will appreciate.
This Samsung internal department consists of design agencies and product architects who work to improve the quality of Samsung mobile device designs. Samsung also invests heavily in improving the user interface of its latest phones.
They accomplish this with the assistance of design engineers who improve the mobile’s built-in software and database. The design and development team collaborates closely with Samsung’s R&D department to create designs that users will adore.
Samsung phones, as you may know, are extremely thin and intelligent. Here are some of the most significant product design and development advances in the most recent Samsung phones.
- Galaxy Edge Series has rounded edge screens.
- The Samsung Z Fold Series has the ability to fold.
- Large, curved screens with an angular display.
- Simple and straightforward user interface.
According to recent reports, Samsung is now working quickly to incorporate robotics and artificial intelligence (AI) features into their smartphones. This is fantastic news for tech-savvy individuals. People who are more price-conscious, on the other hand, may not find it appealing.
4. Advanced Features
Another major reason for the price increase is the advanced features of the Samsung phone. The company focuses on retaining the features that Samsung phones already have while adding new features.
Here are some of Samsung’s advanced features that set it apart from other conventional smartphones.
A. Samsung Dexterity
Samsung Dex is one of the most advanced features available from Samsung. You can use this feature to open your phone on a large LED screen and use it like a desktop computer by connecting a mouse and keyboard.
B. Knox Protection
Samsung phones’ Knox security feature makes your device more secure and protected. Some governmental organizations not only in South Korea, but also in other countries, have approved and are using the feature.
Knox security adds end-to-end encrypted security capabilities to your Samsung phone’s hardware and software.
C. Samsung Passport
With the Samsung Pass, you can manage all of your logins with a single password. This feature allows you to secure all of your accounts with a single password that can only be activated on your phone.
D. Personal Protection
Unlike other smartphones, Samsung phones include a secure private locking option that users can use to protect their data.
When you enable Samsung’s private mode, the phone creates a separate folder that remains hidden until you open it with the password you specified when configuring the private mode.
E. Locate My Mobile Service
The Find My Mobile service is another excellent feature of the Samsung phone. If the user’s password is forgotten, the feature allows them to unlock the phone using their body, feel, location, or device. However, in order to reopen the device after losing the password, the user must activate the feature first.
F. Automation of Tasks
Task automation enables you to automate daily tasks performed on your phone. The feature, known as Bixby Routines, is available in the most recent Samsung phones. The most recent features significantly increase the value of Samsung phones. This, however, increases the cost exponentially.
5. Materials for Recyclable Packaging
The high-quality sustainable packaging materials used by Samsung contribute to the phone’s overall price. Samsung is a brand that has been around for a long time. They have always been eager to develop environmentally sustainable policies.
Furthermore, Samsung’s operations are always in line with government policies. This compels them to take the necessary steps to ensure the long-term viability of their products and packaging materials.
The packaging provided with Samsung phones is made of synthetic materials. They pose no environmental risks and are easily decomposable if they are not recycled.
6. Brand Worth
Since 1969, Samsung has been in the electronics business. The company began as a grocery store that sold groceries to regular customers. However, it quickly transformed into an electronics company and began establishing production units to manufacture TVs, mobile phones, and other items.
On April 27, 2009, the company released its first Android phone, the Samsung GT 17500. Users could use the phone’s touch and type features. The Samsung GT series was followed by the Galaxy series, which was a game changer in the market for Android phones.
HTC, the pioneer of Android phones, was left in the dust by the Galaxy series. Now, Samsung is unquestionably the largest Android phone brand on the market, ranking alongside Apple in the overall mobile industry.
Samsung charges a significant amount in comparison to other phone brands due to their established name in the market. Why should they not? People believe in the brand and are willing to pay for it, especially given the brand’s longevity.
7. Many Cheaper Products Available
Another significant factor that may lead you to believe Samsung phones are overpriced is the availability of so many low-cost phones these days.
With Chinese brands like Xiaomi and Huawei offering cheaper phones, Samsung may appear to you to be expensive. Because of the significant influence of Chinese brands in the regions, people in Asia and the Middle East consider Samsung to be overpriced.
However, in the United States and Europe, these Chinese brands have less of an impact on customers. Some brands, such as Xiaomi, do not even operate in the United States, while others, such as Huawei, have fewer distribution units.
Despite the fact that the Android phone price market has significantly influenced Chinese brands, most people still prefer Samsung to them. The availability of high-quality internal and external products is the primary reason.
The use of high-quality components and overall dependability also contribute to phone pricing. Samsung always ensures that the internal and external hardware components of their devices are of high quality, making them more reliable than competing brands.
This improves the overall build quality of the devices, but increases their cost. Samsung mobiles last longer and have fewer failures due to the use of high-quality components. However, Samsung smartphones are vulnerable and cannot withstand even minor impacts.
The main reason for this is the overall glass construction of panels and external parts. Furthermore, repairing costs are significantly higher when compared to other brands. However, if you take extra care of your phones and protect them from damage, your Samsung phones will undoubtedly last longer than you expect.
The accessories are crucial to the increased pricing of Samsung phones. The brand’s accessories are of excellent quality, last longer, and provide users with some of the most recent features.
At the same time, they significantly increase the overall pricing. The following accessories are included in Samsung phone boxes:
- Charger conventional
- Earbuds or hands-free?
- Screen shields
- Charger for wireless devices
However, Samsung has recently reduced the number of accessories available with its latest phones.
ARE SAMSUNG PHONES LONG LASTING?
Yes, if you use your Samsung phone responsibly, it will last a long time. If you use your phone on a regular basis, it should last you two to three years.
However, the period is significantly reduced if you use it more frequently throughout the day or roughly. After two or three years, your phone may begin to have battery, performance, and overall build issues.
CONCLUSION Why Are Samsung Phones Costly
When it comes to price and features, Samsung phones can be an excellent choice. A brand that has been in the industry for several decades has earned the right to demand a high price for its brand value.
Because Samsung is constantly working on developing new technologies, prices may rise even further. Concerning the issues, they are common with any electronic brand you purchase.
Some may not have the same problems as Samsung, but they may have even more serious problems. You must be certain of your requirements before making a purchase decision.
Commonly Asked Questions About Why Samsung Phones Are Expensive
Why are Samsung phones so expensive?
Why are Samsung’s phones so costly? Samsung and other manufacturers with comparable capabilities invest heavily in developing new technology and conducting overall research. They also have a monetary value. That is why Samsung devices cost more than other devices with comparable hardware.
Why are Samsung phones so popular?
While Samsung has taken an entirely different approach. Samsung has always attempted to provide a variety of phones for a variety of price points. This has resulted in global success for Samsung, particularly in price-sensitive markets. This strategy has helped Samsung become the smartphone behemoth that it is today.
Why are Samsung phones so expensive in India?
The most notable example was the increase in GST from 12% to 18%. This had a direct impact on smartphone prices, which is not always easy to pass on in a price-sensitive market like India. Second, there is the depreciation of the Indian rupee against the US dollar