HOW IS FREEDOM 251 COST SO LESS? -- EXPLAINED

India is the country where you can expect everything to be possible. We have heard testing of missiles, JNU protest, Salman Khan getting bail and now Freedom 251, the most affordable phone you can get with price lower than a one-time meal. here we will explain How is freedom 251 cost so less.

What....!!!!!

In India where Freedom 251 has been launched on 17^th February, and the booking was started on 18^th Feb, nearly 6 lakh hits were observed on the website every second. Only after half an hour of the booking begin, the website was down due to high traffic and instability. The booking was resumed next day and as today you are reading this article, sources has told that more than 70 million registrations are done for ‘Freedom 251’.

What's inside? 

The smartphone is rumored that it is not any new model, it is the old ADCOM IKON 4 handset and the images below also describes such condition.

But the owner of the company Ringing Bells claims that the branding on the smartphone is of ADCOM only because it has taken the front screen panel from the handset ADCOM IKON 4, rest manufacturing is done inside India under the ‘Make In India’ action plan.

The overall specifications are altogether same as the counterpart. 1.3 GHz Quad Core processor, 8 GB memory (32 GB expandable), 1 GB Ram, 3.2 MP rear camera, 0.3 MP front camera, android 5.1 (Lollipop) and 1500 mAh Battery.

What we Heard...

The phone is said to be a Chinese phone of ADCOM with its branding covered with some whitener and launched in the event to make sure the craze remains unbeaten.

It is said that the manufacturing plant in Noida even doesn’t contain the company logo of ‘Ringing Bells’, the logo on that office only say ‘Bells’. We came to know that Noida plant is rented and is working with the help of contractors.

HOW IS FREEDOM 251 COST SO LESS?

Ringing Bells Pvt. Ltd. has already sold 1.7 million worth of handsets and the payment gateway PayUMoney has transferred a total worth of 1.75 million money for the company so it can be expected that the company must have some capital in hand for the manufacturing of further mobile phones for such a low budget.

It also claims that the company will sell their handsets and will also gain a profit of Rs. 31 even after selling the phone at a budget price of Rs. 251. The sourced news can be a little demotivating as we have heard the parts were to be shipped from Taiwan and would be assembled in a Noida based firm, but hey, it’s a Win Win in either cases, right?

The company Director Mohit Goel, also socially popular as CuteMohit, was forced to disclose the strategy as no one was believing any circumstances that can make a phone costing about 2500-3500 to be sold for less than 10 percent of the manufacturing cost.

"Why am I being hounded? What wrong have I done?" Goel asked in the course of an exclusive interview with TOI. The director of Ringing Bells insists that his new venture is not a fly-by-night operation and will begin customer deliveries from April 15. "Has there ever been a case of income-tax evasion against me or my company, or has there been an FIR filed against me in any police station? Why am I being called a 'bhagora' (who'll run away with the money)? I intend to do a valid business, just like any other startup, and I have a business plan ready."

According to Mohit Goel, the price of a product depends on the parts of the products as well as the marketing and distribution. The company claims that it has itself terminated the two former factors, which are, marketing and distribution. The product marketing budget covers nearly 25-50% of the product cost whereas the distribution also takes about 10% of the price.

As of now, everyone is keen to see the product which is yet to be manufactured. The prototype that was launched at the launch event was only for visual purpose and further changes are possible in the body of the handset but the specifications will remain the same. So now, the device doesn’t need any further publicity as the price marker is enough for it to be publicize in the entire world..!

For distribution, the company is going to set up its own marketplace for selling its handsets which will eradicate all the hopes of the distributors who want to sell the smartphone themselves.

This means no expense of marketing and distribution..!

After that, the company’s website is monetized, i.e., it will be paid for every visit and click that it will get on  its website, this is a fact and is playing a major role in cutting down the expenditure required for the manufacturing of the Freedom 251.

The company Director claims that it will also be beneficial when the companies that want their apps to be loaded on the device will pay them, this will reduce about Rs. 300 per device.

The Result?

The company directors claim it to be a genuine concept, some ministers, ICA etc. thinks it’s a scam. I think it’s an idea, if the company Ringing Bell Pvt. Ltd. is not going to approach it then someone has to. And this is only the beginning, if the companies hold on to the manufacturing of flagship devices, the phrase “the world would be a better place to live in” will be heard from every mouth. What do you think? Comment below to let everyone know.