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Bloomberg
Best Buy Co. said it stopped some sales of Apple Inc.’s iPhone X and iPhone 8 after consumers complained about the retailer charging a $100 premium on the already expensive smartphones.
The company, one of Apple’s key retail partners, still sells all iPhone models via carrier installment plans that let customers pay for the devices over several months. The price of these payment programmes are the same as the monthly plans offered directly by carriers like Verizon Communications Inc. and AT&T Inc. and similar offerings on Apple’s website. Last week, when users went to Best Buy’s website to purchase an iPhone X at the full, upfront price, Best Buy charged $1,099 and $1,249 for the two configurations. Apple’s pricing is $999 and $1,149.
“Although there was clearly demand for the un-activated iPhone X, selling it that way cost more money, causing some confusion with our customers and noise in the media,†Best Buy spokeswoman Danielle Schumann said. “That’s why we decided a few days ago to only sell the phone the traditional way, through installment billing plans.†Apple didn’t comment on Best Buy’s move.
Last week, consumers took to Twitter to complain about the extra charge. “Never buying from you again,†one Twitter user wrote.
In a statement posted to its website, Best Buy explained its original iPhone pricing strategy. “Many customers told us they like to buy a phone that is not ‘activated,’ meaning it does not come with a carrier contract,†the company said. “This may be because they broke a phone and want to replace it or are on a company plan and not allowed to upgrade. To accommodate this, we gave consumers the choice to buy the iPhone X through installments plans with carriers or buy it outright, unactivated.â€
Preorders for the iPhone X started on October 27 and the device goes on sale in stores
on November 3.