The Interwebs are abuzz with updates from this year’s Apple launch event, where the popular tech company is introducing the highly anticipated iPhone 6, iWatch and possibly the iPad Air 2. Love ’em or loathe ’em, Apple knows how to put on a good show and strategically launch coveted technology at the cusp of the holiday season.
While announcements from Samsung, Motorola and other tech companies aren’t nearly as grand, the overall impact to the market is similar. The novelty of the latest-and-greatest comes with a price tag, and last year’s must-haves slowly fade from consumer consciousness and retail shelves. To help early adopters save on the newest technology, check out these five savvy tips.
1. Evaluate locked vs. unlocked
If the price of an unlocked iPhone 5s is any indication, the new iPhone 6 will run anywhere from $650 to $850, depending on storage capacity. This cost may not be feasible for most consumers, but it does give you the flexibility to pay less for your plan since you have the power of bringing your own device. If you do purchase an unlocked device, make sure it’s accepted by your preferred carrier and calculate your overall savings to ensure it’s the right move for you and your budget.
2. Ask about installment plans
When carriers advertise plans with “free” devices, it only means you pay for the device over the lifespan of your plan. If you’d like to avoid the two-year agreement plan sign-up, ask about installment plans. Verizon, AT&T, Sprint and T-Mobile all offer these plans which typically cost less-per-month than a two-year contract and allow you to dodge upgrade and activation fees. You’re still required to purchase a service plan, but most stand-alone plans don’t have the extra fees tacked onto two-year agreements.
3. Trade up
Offset the price of your new toy by trading in your old gadget. Compare bids from sites like Gazelle, NextWorth and Glyde to ensure you’re getting the best price. For example, Gazelle will offer me $170 for my iPhone 5 16GB device, while NextWorth will give me $8 more. Glyde allows me to set my own price, but suggests $229 as the quick-selling “market price,” though mail and transaction fees reduce my haul to a little over $200. Finally, trade-in programs from Walmart, Amazon and Best Buy will offer gift cards in exchange for devices, with Best Buy offering me $225 for my iPhone 5.
4. Buy retail
Stores like Best Buy, Amazon and even Radio Shack often have better deals on new devices than the carriers do. Discounts of $20 to up to $100 off new devices are not uncommon, though the discount gets deeper as the time from release increases. You can enhance your savings even further by purchasing discount gift cards through sites like GiftCardGranny.com, where Radio Shack cards can be purchased for over 10-percent off, for example.
5. Wait
Early adopters are always eager to get their hands on the latest technology as soon as it’s released, but those on a budget should wait. Within three months, the iPhone 6 and Samsung Note may see price drops of $20 to $50 to reinvigorate sales. Since the release date for the iPhone 6 is rumored to be mid-September, the price drop could come during the peak of the holiday shopping season.
Author: Andrea Woroch is a nationally-recognized consumer and money-saving expert for Kinoli Inc., who helps consumers live on less without radically changing their lifestyles. From smart spending tips to personal finance advice, Andrea transforms everyday consumers into savvy shoppers. She has been featured among top news outlets such as Good Morning America, NBC’s Today, MSNBC, New York Times, Kiplinger Personal Finance, CNNMoney and many more. You can follow her on Twitter for daily savings advice and tips.