Skip to main content

The Samsung Galaxy S21 killed the S20 in sales — the reason could make future phones cheaper

Samsung Galaxy S21 Plus camera
(Image credit: Future)

The Samsung Galaxy S21 crushed the Galaxy S20, according to first-month sales figures. In fact, Samsung's Galaxy S21 sales skyrocketed three-fold compared to its predecessor (via Sam Mobile).

Pundits point to Samsung's Galaxy S21 price cuts as a possible explanation behind why it resonated so well with consumers. That being said, we're crossing our fingers that other phone manufacturers (ahem, Apple) consider the positive financial impact of making their phones cheaper.

Samsung Galaxy S21 outsold the S20: price cuts may be the reason

The Samsung Galaxy S21 launched in mid-January with a starting price of $799. The Galaxy S21 Plus sets you back $999 and the Galaxy S21 Ultra costs $1,199. The Galaxy S20, on the other hand, started at $999. The Galaxy S20 Plus and the Galaxy S20 Ultra had a price tag of $1,199 and $1,399, respectively. The Galaxy S20 costs a whopping $200 more than its S21 counterparts!

Samsung Galaxy S21 Plus back

Samsung Galaxy S21 Plus (Image credit: Future)

So why is the S21 cheaper than the S20? According to a statement Samsung released to Business Insider, 5G maturity is the culprit. In other words, implementing 5G connectivity to smartphones is becoming less expensive and Samsung passed on the cost savings to its consumers.

It's a good strategy for Samsung. As mentioned, its first-month sales tripled with the Samsung Galaxy S21. According to Strategy Analytics' latest report, the Galaxy S21 Ultra represented 40% of the lineup’s U.S. sales, which is pretty darn good considering it's the priciest phone from the flagship family. Hell, as we speak, the Galaxy S21 Ultra is now selling for $999. Samsung understands that it needs to meet its consumers halfway — and it's paying off for the smartphone giant.

As Android Authority pointed out, another factor behind Samsung's stellar sales is the alleviation of coronavirus restrictions. Last year, people may have been less likely to splurge on a brand-spankin' new phone. After all, how can you show off your new phone when you're stuck inside the house? Now that some pandemic mandates are being lifted, the Galaxy S21 is more alluring to consumers.

We hope that Apple takes a page out of Samsung's rule book and considers slashing its iPhone prices, but we won't hold our breath. After all, save for the iPhone 12 mini, iPhone 12 sales (particularly the iPhone 12 Pro) are doing pretty well despite its jaw-dropping $1,299 starting price tag.

Kimberly Gedeon, holding a Master's degree in International Journalism, launched her career as a journalist for MadameNoire's business beat in 2013. She loved translating stuffy stories about the economy, personal finance and investing into digestible, easy-to-understand, entertaining stories for young women of color. During her time on the business beat, she discovered her passion for tech as she dove into articles about tech entrepreneurship, the Consumer Electronics Show (CES) and the latest tablets. After eight years of freelancing, dabbling in a myriad of beats, she's finally found a home at Laptop Mag that accepts her as the crypto-addicted, virtual reality-loving, investing-focused, tech-fascinated nerd she is. Woot!