Verizon's (VZ) newest offerings in the cell phone space look interesting and will offer something across the spectrum of consumers.
They're getting the most buzz from announcing their LG Voyager will be an Apple iPhone (AAPL) killer. A bold statement that's getting them attention, but probably far from true.
Verizon made their assertion based on two things: faster Internet access and a keyboard. The iPhone has slower Internet access speed and doesn't include a keyboard.
What Verizon leaders are assuming is people will make a decision to buy the LG Voyager based on it having added features the iPhone doesn't have. I think that's a wrong assumption.
From a management perspective, we have to understand what we're competing with when we're marketing new products. In the case of the Apple iPhone, it's not the addition of a keyboard or a faster Internet speed that will bring them down.
There are two basic reasons people buy a cell phone: communication and status; they don't buy it for Internet speed - at least very few do. Entertainment isn't a major reason either, as mentioned here.
So while the announcement that the LG Voyager will be a iPhone killer brought them some recognition, the reality is it probably won't do much, if anything, to penetrate Apple's market share. It will probably draw some of Verizon's existing customers to buy though.
People buy the iPhone because of status and the "cool" factor. That's the type of product that would need to be developed if they were really going to compete directly with the iPhone. Additional, practical features that won't add to the status, cool and communication side of the equation, won't do much to change people's minds on what device they want to buy.
Related Coverage:
Verizon Voyager: iPhone Killer?
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