In order to attract those customers who are no longer in the need of buying any more gadgets, retailers try to offer valuable free gifts and decent incentives so that even being unwilling they may purchase new gadgets which are released time and again. And as a result, newly manufactured handsets are sold like hot cakes. No matter how many mobile phones a person has but in case he/she sees so many lucrative Mobile Phones with free gifts and incentives on offer, he/she opts for buying a new gadget.
It is noticeable that free gifts are offered only on contract deals and not on pay as you go phone deals. In pay as you go phone deals, no customer is required to sign any contract and consequently feels quite free to change as many as networking companies he wishes. He is not considered permanent customers by the networking companies and even retailers do not pin any hopes on him/her. They are thought just whimsical customers who may continue with their services or will just quit at a slight notion. Therefore, to offer them valuable free gifts through mobile phones deals is out of question. On the other hand, those customers who sign some kind of contract that may vary from six months to thirty six months period on a normal basis are regarded as permanent and constant customers. They are such customers from whom the retailers and all networks can logically have some expectations as they are not going to change their networking company again and again.
Pay as you go phone deals and contract phone deals both have their own legitimacy and logic behind them. Not all customers are suitable for contract phone deals nor pay as you go phone deals may be said to be appropriate for all types of customers. Every customer has his own needs and requirements and he takes decision keeping an eye on his own priorities. The deal which may be better for the retailers can be quite hazardous for him and the vice versa. This problem is entirely in his domain to solve considering his own budget and requirements. It is quite different thing that in case he opts for contract deals he may be offered some lucrative free gifts and decent incentives which can be of course valuable for him.