How to choose the right smartphone and save money

Confused about which cell phone to buy? Multiple smartphone models and brands in the same price range? Thinking of buying the latest smartphone your best friend just bought, but bothered about the price? Most people are familiar with this problem and a majority of phone buyers struggle with making a choice when presented with multiple smartphone models from different brands at a similar price point. Owning a smartphone today is a given, but the enormous amount of choices available from a range of manufacturers catering to almost every price bracket there is means almost everybody struggles to make the right choice. 

So, the best way to zero in on buying the right cell phone, is to keep in mind a few key points focusing on exactly what you need. In the process, you not only eliminate the confusion caused by every manufacturers marketing tactics, but also ensure you spend only for what gives you the best value for money.

Here's 5 basic points to keep in mind and help you make a smart decision.

1. Choose your preferred "Software Ecosystem"

What the hell is a "Software Ecosystem" you ask? The answer is simple. Every cell phone is a combination of hardware + software. While hardware capabilities across different manufacturers can often closely match each others offerings, the real differentiation is the software or the operating system that each manufacturer uses to run the hardware or in other words, what you see on your phone, as the user interface. Examples: Apple iPhone runs on iOS developed in house by Apple Inc. Samsung, LG, HTC etc run on the Android platform developed by Google.

Why is this important and why is this Step 1? Easy. In order to get the most use and make the most of the features of your smartphone you will need to download applications or apps which can only be used with the software ecosystem they were designed for. Therefore, Android apps will only work on devices running Android while iOS apps from the Apple app store will only run on iOS devices. Hence whatever paid app purchases you make, over time they can total up to a sizeable investment and if you were to later switch ecosystems from an Android to an iOS device or Blackberry smartphone etc you can't simply transfer your apps to your new device without having to re-purchase them in many cases. Also the range of apps to select from is usually wider for one ecosystem than the other.

Choosing an ecosystem is also an immensely personal choice. Every person prefers one over the other, although there are many users who are equally adept and comfortable at using both. It is best to spend time exploring demonstration units in showrooms, or a friends phone for a quick look and feel before making a decision. More serious users and hardcore technophiles usually base their decisions on technical knowledge of the platform, coding and the preference for a closed or open platform (Google's Android being an open source platform)

2. Focus on what you MUST have, ignore the hype.

The next step is to make a list of features you think you absolutely MUST have in your smartphone. Take the time to research your purchase. Read reviews, lookup Youtube for video reviews of handsets, check out websites like GSMArena who specialise in detailed reviews of mobile devices. While most smartphones these days pack in almost every single feature that one can think of, and then some, not every manufacturer thinks a particular phone model needs all of them and so can opt to leave out features which to you, might seem ridiculous. To give you an example, the Google Nexus 4 made by LG priced at around 25,900 INR does not offer an FM Radio! Whereas the Samsung Galaxy S3 priced slightly higher, offers an FM radio with RDS. In a country like India, FM radio broadcasts are tuned into by millions every day and for a lot of people, this feature is an absolute must have in any smartphone. Other key aspects you should consider are factors like maximum battery life, camera performance, video resolution and frame rates if you're conscious about still images and video shooting on smartphones. A camera flash and long videos will fast drain your battery. Most other features like Bluetooth, 3G and Wi-Fi connectivity are now common and almost all smartphones in the mid range and higher support the latest specifications of these standards.

Once you have a list of features drawn up, the process of elimination makes it that much easier to narrow down your search for the ideal smartphone and make a choice between different models. Doing so also allows you to focus on specific features that matter to you and filter out the "gimmicks" in the form of software features that manufacturers often resort to when launching new products. Comparison of only those factors that are important to you will enable you to make an informed decision.

Also keep in mind that the latest, greatest, fastest processors and hardware doesn't always translate to the best overall experience as drawbacks in the form of handset heating up on prolonged usage, higher power consumption and lower battery life can be expected. So be realistic in choosing what matters and what shouldn't.

3. Time your purchase because "Patience Pays".

Almost everyone loves the feeling of having the latest and greatest smartphone the day of launch or soon after (iPhone launch day queues anyone?). Unfortunately, sometimes this isn't really the best thing to do. This is because the absolute latest smartphone might not always turn out to be as successful as the manufacturer hoped for and before you know it, there are price cuts and "special offers" being dished out to boost sales, leaving early adopters feeling rather foolish. There's also competition, price wars and other such factors. Then there are the in depth reviews which get published where dutiful technology experts point out the merits and flaws of the phone only to result in some cases serious issues being highlighted that result in massive bad rep - recall the iPhone deathgrip issue? There goes the resale value..

All smartphones also lose value as a result of the fast paced development and advances in mobile technology leading to shorter product development timelines and newer launches by competitors or in fact by various offerings from the same manufacturer itself which then results in cannibalisation. This means that within a year from launch, most flagship smartphones will drop in price substantially and that in turn automatically means you lose a whole lot of money in a relatively short period of time.

Example: The Samsung Galaxy S3 was launched in India for approx 43,180 INR MRP in late April 2012. Subsequently in September & December, Samsung reduced the prices and it could be bought for 35,000 INR & 31,000 INR respectively. Currently the phone retails for around 27,500 INR. In short, over the span of 1 year, the Galaxy S3 has dropped in price by a whopping 36%. Put another way, you'd have lost about 42 INR per day just owning the phone if you were one of those who bought it at launch!

Note: Prices mentioned are approximate and for general reference only

Make no mistake, the Samsung Galaxy S3 is no drab phone! Anything but! It is still a very capable phone that just 12 months ago was sitting at the top of the charts! Yet it has lost a phenomenal amount of value in just over a year. The same goes for the Apple iPhone 5's resale value and demand. One can buy a second hand Apple iPhone 5 with official India warranty for as low as 34,000 INR if not less while a brand new piece in an Apple showroom has an asking price in excess of 42,000 INR. This is a reflection of the subdued demand that the iPhone 5 is currently seeing in the market.

 
The saying "patience pays" is apt in the case of smartphone prices. If you only wait a little and buy a smartphone 4 to 6 months into its launch, the chances are, you will pay much less for it at the outset and more importantly, should you choose to sell it at the end of the year or 6 months after the launch of the next flagship, your loss over time is far lower compared to the loss if you bought it on launch day itself! In fact, if you've identified what you need correctly and not basing it on what you want.. you may even find cheaper options than a flagship smartphone that will serve you just as well. Be sure to explore options in choosing where to buy from as well. Online retailers will often roll out special discount coupons/codes and other promotional schemes from time to time which makes buying from an online source a cheaper option than buying from local retail shops. Sure you lose those bragging rights by waiting a bit, but what makes more sense? Losing a whole lot of money for nothing or losing some brownie points with friends.

4. Work out the total cost of ownership
 
Total cost of ownership? For a smartphone you say? Yes, you read that right. What is this total cost of ownership? It's basically the cost of the smartphone + all the accessories and other peripherals you spend on, in order to protect and preserve your beloved smartphone.
Almost everyone who buys a smartphone today also purchases a screen guard and a bumper case to prevent damages from careless drops and bumps to scratches from keys in the pocket. All this adds up to the total cost you incur on your purchase. A decent scratch guard and protection case can cost you 2,000 INR if not more. Brands like Zagg, Otterbox, iCarbons are widely known for high quality products & choosing from them will easily push the prices even higher.

If you also buy specific accessories such as car dashboard/windshield mounts, hands free kits or extra batteries, smart covers etc the total cost can shoot up massively. Some of these accessories are custom fit to the smartphone you choose to buy, so when you sell your phone later, you will have to get rid of these too as they will not be compatible with your subsequent phone. And yep, they have little resale value themselves. So when you sell your phone for a newer one later, you're not going to recover much on these accessories, and that means your loss could be much higher than just factoring the purchase cost of the phone itself.

5. Software support & Updates
 
Although the last point on this list, its importance cannot be stated enough. While it is less of an issue for people who are on iOS devices and the Apple ecosystem, for users who chose to go with the Android brigade, choosing a smartphone manufacturer who has a clear policy on software updates for the smartphone you buy is crucial. This is because only the "Nexus" branded smartphones receive their updates from Google directly for their Android OS. The rest of the smartphones depend on their respective manufacturers to customise the latest version of Android OS before they can be released to support the latest software features and user interface improvements.

In a majority of the cases, the waiting times for these updates can get quite long as each manufacturer works to customise every version update of Android from Google to each and every smartphone model they have produced.
HTC will first customise the stock Android OS with their Sense interface just as Samsung will do the same for their Touchwiz interface before they can release them for updates to their smartphone range. This is also important because most smartphones will only be updated for a couple of years or so from launch by manufacturers to support the latest OS version. After that, you're just going to have to upgrade your phone.


All in all, if you keep the above tips in mind while narrowing down your search for the ideal smartphone purchase, you will find it easier to make the right choice and more importantly, a smart choice.