Why Verizon Won't Announce The Galaxy Nexus

Dreamshotz

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To understand why Verizon is so hesitant to announce the release of the Galaxy Nexus you have to understand retailers and how their minds work.

The Holiday shopping season is a huge opportunity for retailers. No, I am not talking about the fact that this is the time of the year when they are supposed to finally break even for the year and actually turn a small profit? That stuff is all marketing garbage created by their industry to make us believe that the prices they are charging are as reasonable as possible and that they are not just profit sucking scum.

The bigger opportunity of the Holiday is one most consumers don?t realize. I know, because I owned a retail business for 15+ years. The Holiday season is the time of year when you unload all the old junk that you couldn?t sell all year long. I am talking about stuff that you have actually given up on and likely even put in storage becomes the items that you now feature as ?door busters?. Make it ?look like? a deal and watch it disappear from your overstock.
Let me explain. Consumers have been trained to look for deals on ?Black Friday?. So, if a retailer needs something that looks like a deal, they simply take old models, left over items that are likely obsolete and blow them out at cost or often even well above their original cost. The retailer makes their money back and the consumer (likely with little knowledge about the product they are actually buying) believes they got a deal.

So, what happens if you are a ?smart? retailer and you buy correctly which means you don?t have lots of old junk hanging around? Simple, you look for manufacturers that were not as smart in their inventory planning. It?s not hard to find a manufacturer stuck with old product. The retailer cuts a deal, buys it at substantially less than the original cost, and just like magic you have a deal for your door buster ad.

Most consumers don?t know much about what they are actually buying, and since the Holidays have become ?I need to get a gift for little Johnny?? The consumer?s mindset often becomes I really don?t care all that much about the details, features, etc., all I really care about is that this obligation is fulfilled and I can check someone else off my shopping list.

Want to confirm what I am saying, simply look at the Verizon Black Friday Holiday advertisements (Verizon took them down but You tube still has them) and take a close look at which phones and tablets are on ?sale?. It?s all old stuff that most of us would never even consider buying.

Now, consider that if Verizon released or even announced the release of the Galaxy Nexus, the media would pick up on it. With the added publicity around this ? brand-new, state-of-the-art iPhone killer? which likely to be a hot topic and all of a sudden even people that didn?t know why they should have this new Galaxy Nexus phone, would want it. This means that Verizon would sell a whole lot less of the old (but profitable) junk they bought, and they might even get stuck with lots of old junk in inventory that no one wants to buy.

So, I understand all that, but here is what I don?t understand?

When this phone was first announced I put my name on the sign-up sheets with Samsung, Verizon
and Google. These are all substantial-sized companies. The sign-up lists were specifically for the Galaxy Nexus, and NOTHING else. All these companies have huge privacy statements on their websites that brag about how they respect my privacy and won?t misuse my personal information?

To date Samsung has spammed with 5 separate times with offers of everything from computers, to televisions and refrigerators.

Verizon has spammed me 6 times with all their free phone offers, old obsolete tablet offers, change data plan offers and more.

To date, Google is the ONLY company that has NOT spammed me.

So, while no one is willing to talk to me about the product I am anxiously waiting to spend money on,
2/3 of the companies involved are anxious to exploit my personal information without so much as a bit of concern and spam me constantly with all the other crap they think I ?should? be interested in buying from them.

To me this means one of two things. Both Samsung and Verizon either are the profit sucking scum I mentioned at the beginning of this rant and don?t care at all about their customers or their Marketing Departments are quite simply marketing ed. Given those two choices I would have to point out these companies both sell technology in yet their marketing departments are living back in the dinosaur age.

Anyway, my opinion....
 

kilofoxtrot

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I appreciate your comments.

And I deeply appreciate your use of paragraphs. They seem to be lacking on many forums I visit. It refreshing to not having to wade through a "great-wall-o-text".

:):)
 
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charveldude

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That's interesting. It makes some sense but doesn't account for the November release and extensive promo given to the RAZR and Rezound, which are hardly "outdated garbage sitting around the warehouse." Those are clearly 'holiday products', even if they aren't Black Friday specials.

If you're correct, then the GNex *should* have been planned and developed for release no later than October, like the iPhone 4S was. Maybe it was and the entire GNex and ICS project was delayed from the start.
 
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gnex_please

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Very true, however VZW and Samsung will not get my money unless they release this phone. Moreover, VZW may not even get my money at all if I crack and decide to go with the Galaxy SII Skyrocket on AT&T.
 

Dreamshotz

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The release of the Razr and Rezound are precisely why they are waiting on the Nexus.

Let me ask you, Do you think that if a consumer could buy the Nexus for the rumored price of $199 this would impact Verizon’s ability to sell the Razr and Rezound ?

And what will they do with all their remaining inventory? They might actually have to “discount” it WOW ! a word retailers are NOT Familiar with – a “REAL” deal
 

tx_tuff

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So, I understand all that, but here is what I don?t understand?

When this phone was first announced I put my name on the sign-up sheets with Samsung, Verizon
and Google. These are all substantial-sized companies. The sign-up lists were specifically for the Galaxy Nexus, and NOTHING else. All these companies have huge privacy statements on their websites that brag about how they respect my privacy and won?t misuse my personal information?

To date Samsung has spammed with 5 separate times with offers of everything from computers, to televisions and refrigerators.

Verizon has spammed me 6 times with all their free phone offers, old obsolete tablet offers, change data plan offers and more.

To date, Google is the ONLY company that has NOT spammed me.

I know I signed up for the Verizon one, also did that for the RAZR. And besides the newsletter (I have signed up for), billing emails and deals on the RAZR I have not gotten any other "spam" from Verizon.

I'm pretty sure I signed up on the Samsung page to but I am not 100% sure if I did or not. Anyway no spam from them either.

A lot of times you can get spam just by visiting websites, and just how you use your computer.

Let me ask you, did you read every little print and detail on those pages before you signed up for the info? Even with privacy statements it doesn't mean they can't add it on the page somewhere that "by signing up for info ****** can send you info on other products". Not saying that is the case but if you didn't read anything then you can't say that isn't the case.
 

tlincoln

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If true, then why did VZN extend their return policy? That would mean they don't plan on launching this until mid-january.
 

thebrain73

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Very true, however VZW and Samsung will not get my money unless they release this phone. Moreover, VZW may not even get my money at all if I crack and decide to go with the Galaxy SII Skyrocket on AT&T.

Count your blessings, you have the ability to buy a GN off contract from Europe or get a SGS2. I wish I had either of those choices. Well I kind of due but it would require an ETF to get out from under Verizon. I wonder what my ETF is.....runs off to check.
 

Dreamshotz

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Hey FD2 - would LOVE to get your opinion on Why?

NO Guarantee mine is right, but it?s logical and it makes some sense.

BTW ? Think about this?
Of the Threesome of companies involved here (Google, Samsung and Verizon) only 1 benefits from the delay.

Google wants desperately to see V4.0 on the streets to gain market share for Android.

Samsung has already invested $$$s in all the materials to make the phone and it is likely already completed production sitting in final assembly waiting ? they don?t like waiting to get paid, but until Verizon accepts the phones the payment clock doesn?t start ticking.

Meanwhile we have Verizon? If they do this right they can sell through all the old junk they got deals on and, sell through their existing stock levels of the more recent (hotter) phones from HTC and Motorola because there is currently no better alternative. This would allow them to meet any volume commitments previously made to all their other suppliers all without affecting sales of the Nexus product.

My guess is Verizon will announce and release the Nexus when they have made all their $$$ back and since they have negotiated an exclusive with Samsung (for some period of time) they are the only game in town so no one can stop them. It?s all about profit and cash flow management in my opinion.
 

Merc25

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Personally I think VZW decided to do the holiday schedule like this on purpose...RAZR/Rezound = Thanksgiving Period then Galaxy Nexus/Droid 4 = Christmas. Gives them 2 phones...1 Droid branded and one non droid branded for each release wave and minimizes the time between ICS release and the new Droids getting ICS.
 

Premium1

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The release of the Razr and Rezound are precisely why they are waiting on the Nexus.

Let me ask you, Do you think that if a consumer could buy the Nexus for the rumored price of $199 this would impact Verizon?s ability to sell the Razr and Rezound ?

And what will they do with all their remaining inventory? They might actually have to ?discount? it WOW ! a word retailers are NOT Familiar with ? a ?REAL? deal

It won't be $199. That was meant as a most likely black friday sale. Plus if verizon really wanted they could lower the price of the razr and rezound to $249 or lower if they wanted to try and undercut the sales of the nexus.
 

Premium1

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Hey FD2 - would LOVE to get your opinion on Why?

NO Guarantee mine is right, but it?s logical and it makes some sense.

BTW ? Think about this?
Of the Threesome of companies involved here (Google, Samsung and Verizon) only 1 benefits from the delay.

Google wants desperately to see V4.0 on the streets to gain market share for Android.

Samsung has already invested $$$s in all the materials to make the phone and it is likely already completed production sitting in final assembly waiting ? they don?t like waiting to get paid, but until Verizon accepts the phones the payment clock doesn?t start ticking.

Meanwhile we have Verizon? If they do this right they can sell through all the old junk they got deals on and, sell through their existing stock levels of the more recent (hotter) phones from HTC and Motorola because there is currently no better alternative. This would allow them to meet any volume commitments previously made to all their other suppliers all without affecting sales of the Nexus product.

My guess is Verizon will announce and release the Nexus when they have made all their $$$ back and since they have negotiated an exclusive with Samsung (for some period of time) they are the only game in town so no one can stop them. It?s all about profit and cash flow management in my opinion.

The only thing is ICS is already out through source code and with the nexus in the international version.
 

crzycrkr

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What you say is possible, but I believe you're overthinking it to be honest. Black Friday sales really aren't huge time for cell phones anyway. Also, I don't think the later release date really hurts anyone. It doesn't hurt Google's market share increasing because 99% of Android users don't even know its coming. It doesn't hurt Samsung because Verizon already has the phones, so the payment/payments are already in place. I think the simplest solution is the answer. Either Verizon never intended to have the phone out before December, or they're working on a bug fix