SamMobile has affiliate and sponsored partnerships. If you buy something through one of these links, we may earn a commission. Learn more.

Yes, Samsung knows the Galaxy Note 20 price is ridiculous: Here’s why

Opinion
By 

Last updated: August 11th, 2020 at 11:15 UTC+02:00

Last week’s Galaxy Unpacked 2020 saw Samsung announce a variety of amazing tech, though some of its newly unveiled products certainly seem to be pushing the limits of consumer goodwill in terms of pricing. The prime example of that aggressive product strategy is the Galaxy Note 20, whose starting price of $999 looks pretty baffling from the perspective of anyone this smartphone is geared toward. Could Samsung have possibly been so tone-deaf to not understand this while deciding on how to price its next flagship lineup?

Of course not, and here’s why.

It’s all about the Galaxy Note 20 Ultra not being overpriced

The ridiculous $999 price tag (obviously) isn’t meant to make the Galaxy Note 20 seem like a horrible deal; that’s just the inevitable side effect of asking for a grand in exchange for what some would argue is barely even a flagship in 2020 terms. The actual goal of doing so is making the Galaxy Note 20 Ultra seem like a better deal in comparison – which it most certainly is. In a world where profit margins were set in stone, the Galaxy Note 20 would be a $750 device, at best. Alas, with the technology always getting better and more accessible, Samsung can’t even maintain its income in existing markets, let alone improve it, due to the constantly growing competition. Which is what’s pushing it to look toward new markets, most notably the ultra-premium device bracket it’s been single-handedly driving for several years now.

So, if the Galaxy Note 20 was priced in a reasonable manner, it would likely absolutely crush the Galaxy Note 20 Ultra in terms of sales. Yet the Galaxy Note 20 Ultra’s price range is where Samsung’s smartphone profits lie in the long term. As a result, many consumers, no matter how savvy or illiterate in the ways of tech, will look at the $999 Galaxy Note 20, then compare it to the $1,299 Galaxy Note 20 Ultra and figure they might as well pay $300 more for a device that’s so much better in nearly every respect. As for everyone else, Samsung is more than happy to charge them a grand for that regular Galaxy Note 20.

Whether that’s an example of an ingenious product strategy or utterly anti-consumer behavior is up for debate. In reality, it’s probably a bit of both. What’s less debatable is how Samsung hardly invented the psychology of pricing. The aforementioned tactic has been in use for a long time and is commonly referred to as “the decoy effect” in sales circles. If you ever bought a large-sized popcorn at the movies, you probably did so under the influence of that very same phenomenon. The overpriced nature of the Galaxy Note 20 hence stems from the same school of thought that brought us other cheap sales tricks like odd prices, aka the reason Samsung isn’t asking a round $1,000 for its latest entry-level flagship.

None of that makes the Galaxy Note 20 price tag more acceptable from a consumer standpoint. But this is one of those “don’t hate the player, hate the game” scenarios, so if you’re adamant to avoid overpaying for your next smartphone as much as possible while still insisting on a flagship, you’ll definitely want to go with the Galaxy Note 20 Ultra over its smaller sibling. Granted, some will advocate moving to an entirely different brand in response, but as anyone who ever used an S Pen can attest, giving up on a high-end digital notepad isn’t as easy as it sounds, and Samsung is still the only smartphone manufacturer that not only understands that sentiment, but is willing to bet a lot of R&D cash on it every single year.

Opinion Galaxy Note 20Galaxy Note 20 Ultra
Load 51 comments

You might also like

Galaxy Note 20 series gets access to September 2022 security update

Although Samsung is a bit late this month, the company is quickly rolling out the September 2022 security update to multiple smartphones. Earlier today, the company released it to the Galaxy A52s 5G, Galaxy S20 FE 5G, and the Galaxy S21 series. Now, the update has been released to the Galaxy Note 20 series in […]

  • By Asif Iqbal Shaik
  • 3 weeks ago

Best Samsung Phones in September 2022 – Picked by experts

Given the sheer number of devices that it releases every year, finding the best Samsung phones can often prove to be a challenge for most customers. It doesn’t matter if you want a flagship or a budget device. Samsung offers plenty of options for all price ranges. To make it easier for you to find […]

  • By Adnan Farooqui
  • 3 weeks ago

What is the newest Samsung phone? – September 2022

It has often been difficult to keep track of the newest Samsung phone given that the company releases so many throughout the year. Samsung has dozens of models across different series which cater to all price ranges. This page will be updated on a monthly basis to ensure that you can always know what is […]

  • By Adnan Farooqui
  • 3 weeks ago

Expert RAW will soon get Note 20 Ultra support and more pro-grade tools

Samsung’s mobile photography app for professionals, Expert RAW, is about to get a couple of important updates over the next several weeks. The company confirmed through the official Community Forums that more pro-grade features are coming to Expert RAW in October. Furthermore, the Community Manager also revealed a new release timeframe for Galaxy Note 20 […]

  • By Mihai Matei
  • 4 weeks ago

[List] Which Galaxy devices have received Android 12 and One UI 4?

Samsung started beta testing Android 12 and One UI 4.0 almost four moths ago, before bringing the official stable version to the Galaxy S21 series in mid-November. The Galaxy Z Fold 3 and the Galaxy Z Flip 3 got the update next, and here in the middle of the year’s final holiday stretch, Samsung has […]

  • By Abhijeet Mishra
  • 1 month ago

August 2022 security update widely rolling out to the Galaxy Note 20 series

Samsung is rolling out the August 2022 security update to the Galaxy Note 20 series worldwide. The carrier-locked and unlocked versions of the smartphones have already received the update. Now, the update is rolling out to the devices in other parts of the world. The latest software update for the Galaxy Note 20 and the […]

  • By Asif Iqbal Shaik
  • 1 month ago