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The 5c seems to be such a basic case of decoy marketing, that it's astounding I haven't seen it being mentioned more often.

http://www.dmn3.com/dmn3-blog/decoy-marketing-it-works-and-h...

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A technique used quite effectively when selling bundle tiers (e.g., platinum package vs. gold package vs. silver package, etc). Amazing that both Wall St and the general press have failed to recognize the 5c pricing for what it is: a brilliant decoy driving sales of the higher margin 5s.

They should be applauded for getting one over on consumers.

Let's not overlook the fact that Apple is offering consumers a genuine, lower priced alternative, albeit one that appeals to a subset of the market.

It's not a "genuine, lower priced alternative", it's about 15% cheaper as an unsubsidized phone. As a subsidized phone it's maybe around 9% cheaper.

So if it's between 9% and 15% cheaper (your figures), what word would you use to complete the sentence "genuine, _______ priced alternative"? Higher? Same?

I'm guessing from the estimates of how many phones are sitting unsold at retailers and the discounts they're offering to shift them that Apple's retail partners have been suckered into thinking it's a genuine product offering too.

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