A Microsoft store in Oak Brook, Illinois posted up a deal on Groupon that offered the HTC HD7 and the Samsung Focus for a lowly $49. This is a 50% discount on both handsets which currently retail for $99.99 with a two-year customer agreement. Of course, desperation is the first thought that comes to mind when the tech world sees a fire sale like this, especially when such a heavy discount is offered on hardware that is only a few months old.
Before we question the long-term success of Microsoft’s mobile platform, let’s take a look at a some of the reasons for this sale. Groupon is a daily deals service that is often used to drive foot traffic and raise awareness of individual stores. Unlike Apple stores which have a strong presence, few people are aware that Microsoft operates seven retail stores across the U.S.
These stores are not as abundant as Apple’s retail chain, but they do exist in select locations like the Chicago suburb of Oak Brook, Illinois. It is likely that this Windows Phone promotion is the idea of this single Microsoft store and what better way to get yourself noticed by the local tech savvy crowd than a Groupon promotion?
Now, Apple would not offer such as a promotion because the Cupertino Company, as a general rule, does not discount its hardware. It does have an outlet for refurbished items, but its new, retail stock is not discounted. Google would also not have a Groupon promotion as it does not have a retail chain. There are no Google stores or Android stores that could make the decision to promote its store with a Groupon promotion. The fact that this store turned to Groupon is not necessarily a bad sign for Windows Phone.
The only sign that bodes poorly for the Windows Phone platform is the fact that it took until 12:30 P.M. CST to reach the 20 phone limit to clear the deal. If Apple did ever discount the iPhone 4 on Groupon, that sale would be over as soon as it started, much like the server-crashing, instant-selling Bag of Crap over at Woot.com.
[Via Tech Crunch]