4 months ago we updated you on a very interesting project, the Fairphone. What is special about another smartphone? Well, this follows the precepts of fair trade, and as such, is not abundant in the margin per unit in the final price, but also ensures that the materials and the manufacturing process go through situations that do not pass through their cost exploit advantageous for situations minimize it. Today we finally have the breakdown of its manufacturing cost.
Maybe it’s appropriate that I put a video for the project who do not know or remember having read our article at the time. We may understand a little better the concept of Fairphone:
And entering in the matter since Fairphone have come to specify each of the cost items for each of the units.
Since the costs associated with putting on the market, through the production, the actual operational provisions, and finally what they call “interventions”, which is basically what they do with the money resulting from subtracting the price at all costs. This money goes, for example, a bonus to their workers (2 €), precious materials research (3.75 €), recycling initiatives (€ 3) … In this infographic you can see all the detail:
As you see, are very specific to each of the charges, but to understand what answers each item, you should read the document legend attached to the end of the post, where explain why each type of cost. For example, shown below the final price, are those relating to taxes and outside the reseller (store where you buy it).
It is a fairly low price for the phone’s technical specifications and especially how it is made, ie without material emerging from conflict zones, with decent wages for each and every one of the workers throughout the manufacturing process …I think a different way of doing business (and I mean the low range), but the transparency model which qualify, and of course, that any solution worth fair trade, but especially if the customer does not notice that premium. Just think of the margin that manufacturers take high-end phones. The manufacturing costs them on average € 200 per phone (say the iPhone 5 manufacture cost only € 156), and among other costs will be another 200 € as much, so we’re talking about a third as little leeway, and also, of course, not intended to do something like Fairphone with their “internvenciones”.
18000 Currently units are sold, and counting. Will you be one of the buyers of a Fairphone?
More info | Fairphonecost breakdown Legend | Fairphone
The Free Android
