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My thought when I saw the price differential.

Over-simplified and off-the-cuff:

Many iPhone users seem to personally be on a 2 year cycle. Depreciation circa $300 / year.

Many others seem to be on a 3 year cycle, about as far as one can go before starting to really notice their handset lagging to the point of being unacceptable to them. Depreciation $200/year.

5c: Year old tech, in what for many will be "less pretigious" packaging, for $100 off the price of new tech in "more prestigious" packaging. You're immediately "out" $100, or $200, depending upon whether you are on the 3 year or the 2 year cycle.

$100/$600, for a savings of 17%. For 17% off, you're taking year old tech in a less prestigious package.




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