These iPhone 5c Price Cuts Are Coming Dangerously Close to a Trend

Several weekend price promotions for Apple’s iPhone 5c are raising eyebrows, given the newness of the mid-range phone and the fact that Apple products so rarely see discounts. The promotions started with an offer from Best Buy giving customers a $50 gift card with the purchase of one of Apple’s colorful new models. Then Wal-Mart said it would “roll back” prices on the 5c for a limited time, and RadioShack jumped on the bandwagon with its own $50 gift card offer. The moves are particularly noteworthy given the relative consistency of pricing on Apple products, which tend to sell for their full price until at least the month or two before a new product is expected.

But ascertaining the reasons behind cellphone price moves can be trickier than it appears. When a new tech product hits the market, a quick price cut is often a sign of weak demand. However, when it comes to cellphones, such pricing moves aren’t always an indication of slow sales. Promotions on phones, even relatively new ones, are not uncommon as retailers such as Best Buy and Amazon trade some of their profit margins in exchange for a higher share of sales for a hot new product.