NEW YORK: Amazon’s David Limp has acknowledged that the company’s first wrong prices mismatched customers’ expectations with the Fire Phone, which led to its dismal performance in the market initially. However, after company reducing its market price, sales have become better.
The 32 GB variant of the Fire Phone started selling at a steep $199 on contract on launch, however, poor sales (the company as of current stats has $83 million worth of unsold devices in its inventory) forced the company to cut its price to as low as just 99 cents. Although Limp affirmed that sales have improved by a significant margin after the price cut.
Comparing with the initial days of the company’s now acclaimed Kindle device, Limp said that the Fire Phone is also on a similar trajectory with regards to market reception and will only improve further in subsequent renditions. He was quick to mention that the company has brought along some crucial improvements already in the device courtesy software updates that have also resulted in renewed hopes for a better future ahead.
