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How can Giff gaff sell iPhones cheaper than Apple?

applepad
applepad Posts: 411 Forumite
Part of the Furniture 100 Posts Name Dropper Combo Breaker
Looking at upgrading my iPhone 4s to a 6s, bought it as 'unlocked' from Car phone warehouse, only to find it looked to first sim I used, not a happy bunny.

I have a Giff gaff sim, and have been looking at buying a new handset . Giff gaff are cheapest, and John Lewis and Apple are more, but am I right both come with a 2 year warranty instead of 1? All phones are sim free so I can change sims if I need to?

So how can Giff gaff undercut Apple and John Lewis? Or is it because they do not offer the 2 year warranty?

Comments

  • d123
    d123 Posts: 8,701 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Photogenic
    They probably have cut their profit margin a little and benefit from economies of scale as its actually o2 and they make very large orders compared to JL.

    It's also the fact they offer very little after sales service when compared to Apple or JL.
    ====
  • daydotz
    daydotz Posts: 36 Forumite
    Eighth Anniversary 10 Posts
    Tesco Also have a small discount On iPhone prices
  • Frozen_up_north
    Frozen_up_north Posts: 2,547 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Photogenic
    Customer service from Apple Stores is second to none, their "UK" 12 month warranty is valid elsewhere in the EU for 2 years... UK purchased iPad was replaced by a Spanish Apple Store at 18 months old.

    If there isn't much difference in price I would opt for dealing directly with Apple, especially if you aren't far from one of their stores.
  • d123
    d123 Posts: 8,701 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Photogenic
    Customer service from Apple Stores is second to none, their "UK" 12 month warranty is valid elsewhere in the EU for 2 years... UK purchased iPad was replaced by a Spanish Apple Store at 18 months old.

    You really didn't have to go all the way to Spain for help, I had a 20 month old iPhone 5 replaced by my local UK Apple Store not that long ago ;).
    ====
  • applepad wrote: »
    Looking at upgrading my iPhone 4s to a 6s, bought it as 'unlocked' from Car phone warehouse, only to find it looked to first sim I used, not a happy bunny.

    It's worth emphasizing this to others - iPhones bought from Carphone Warehouse lock to the network of the first SIM that is inserted into them.

    A good reason for never buying an iPhone from them!
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