Vodafone Red Hot offers new pricing twist for smartphone buyers

Vodafone UK has come up with a new twist for potential buyers of smartphones on their network. Dubbed Vodafone Red Hot, users sign up for a pair of 12-month contracts. The first is for a typical data plan that includes unlimited voice and text and up to 2GB of data. The second contract is to “hire” the device you select. Effectively, the plan is like an auto lease as you have to turn the phone back in to Vodafone at the end of the year unless you decide to pony up and pay for the device or switch to a month to month plan with continuing “lease” payments.

The main benefit for some buyers is that the upfront cost to get a new device can be avoided. The downside is that you don’t own the device and you need to return it at the end of the term in good condition to avoid a charge for wear or damage. You would also have to make sure you had a way to export any data, like contacts, pictures, videos, and other files off the device before turning it back in. Customizing the device via ROM installs or such will also be a problem unless you plan ahead to return it to stock.

Only a few devices are available, but they are current “red hot” devices. Pricing for the devices, including the data plan, is:

Devices with additional memory are available for a small upfront fee of £29 ($46 USD) for 32GB or £49 for 64GB ($78 USD) versions.

Do you think leasing a smartphone is a good idea? Is it something you would be interested in pursuing if your preferred carrier made it available?

source: Vodafone UK

About the Author: Jeff Causey

Raised in North Carolina, Jeff Causey is a chief financial officer and licensed CPA in Durham, North Carolina. Jeff has owned an HTC EVO, a Samsung Note II, and an LG G3 along with a Samsung Galaxy Tablet 10.1. He currently uses a Motorola Moto X Pure Edition and a Nexus 7 (2013). Recently Jeff added Google Glass to his stable of tech gadgets. Unfortunately, his wife and kids have all drunk the Apple Kool-Aid and have i-devices. Life at home often includes demonstrations of the superiority of his Android based devices. In his free time, Jeff is active in his church, a local MINI Cooper car club, and his daughter's soccer club. Jeff is married, has three kids, and a golden retriever.

  • http://twitter.com/Jay84uk Jamie

    Pretty expensive for the devices and plan. I’m sure you could buy the phone and a cheap sim only deal for less a month than that. Especially with the limitations put in place

  • DRHowells

    I have a 12 month contract with Vodafone, received the HTC Sensation XE phone, which was fairly top of the range, for less then their offer above and the phone was mine to keep after 12 months. This ‘deal’ is really expensive.