May 12, 2008

The flight of Sprint’s customers continues

footbullet.gifNow that Sprint has completed the Wimax venture with Clearwire, Intel, Google and the Cable Guys, it’s well past time to take care of the remaining business. The bad news for Sprint is customer flight continues at an increased pace. Add this the to loss of resale customers via Qwest and it’s clearly well past time to take notice.

The Overland Park, Kan.-based cellular provider, which is the third-ranked operator in the U.S., saw its total wireless subscriber base decline by 1.09 million customers to 52.8 million during the first three months of 2008. Sprint lost 1.07 million monthly contract subscribers and 543,000 pay-as-you-go (prepaid) users, but gained 343,000 Boost Unlimited and 183,000 wholesale and affiliate subscribers. (Unstrung)

OK Sprint, here’s a couple of pointers on surviving and maybe growing from you friends at third Pipe. You need to dump Nextel, now. Then understand that wireless voice has peaked. The current state of wireless is about trading customers and you are the loser in that game. Go after fixed line service customers instead. Since AT&T and Comcast will give anyone unlimited calling for $39.95 a month, then that’s the price to match or beat. Wireless will reach that price in a couple of years anyway so you may as well be the first. AT&T and Verizon will hesitate to compete until it’s too late for them since fixed line is a big profit center. Most importantly, fix customer service. Simplify your packages and you’ll eliminate the majority of customer service calls. When you lower a price, offer it to existing as well as new customers. When a customer’s contract is ending, offer them and incentive to stay. Also…. try offering a reasonably priced plan without a contract.

Filed under Sprint, competition by admin

Permalink Print Comment

Leave a Comment

 

Go Daddy $14.99 SSL Sale!

 

Made with WordPress and an easy to use WordPress theme • Bankers Hours Blue skin by Techie Coach