AT&T: Device Subsidies Likely to Go Away
AboutFace
Oh coming from the carrier that once thought T-Mobile was crazy for no-subsidy pricing.
ALL service should be the same features, plans and cost. The only difference between Prepaid and Postpaid is a deposit. If you want no deposit, pay up front for device and service, if you want to pay once you get a bill and finance the handset, pay a deposit equal to three months rate plan charge but not to exceed $200.
Rather than fold prepaid into all these big carriers, the big carriers should take their normal plans and just offer them, without credit checks, deposits, and "Oh you had an account with us in the past, even though this is no deposit, no credit check, you cant get service because you're in collections" kinda crap that T-Mobile pull...
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ALL service should be the same features, plans and cost. The only difference between Prepaid and Postpaid is a deposit. If you want no deposit, pay up front for device and service, if you want to pay once you get a bill and finance the handset, pay a deposit equal to three months rate plan charge but not to exceed $200.
Rather than fold prepaid into all these big carriers, the big carriers should take their normal plans and just offer them, without credit checks, deposits, and "Oh you had an account with us in the past, even though this is no deposit, no credit check, you cant get service because you're in collections" kinda crap that T-Mobile pull...
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Not practical, the churn rate on pre-paid plans is absurdly high.....many pre-paid customers are only a customer for one term of service 30 days or 90 days and they never renew....if carriers offered exactly the same plans to pre-paid and post-paid customers, it would not be economically unsustainable.
Pre-paid service is offered for people who can't pass a credit check or who don't want to give their personal information to a company. But when you are catering to this market, by definition there is a significantly higher risk.
The only statistic I have seen so far points to a significantly higher churn rate for pre-paid customers. Only 1% of post-paid customers change carriers every year.....whereas 44% of pre-paid customers g...
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Pre-paid service is offered for people who can't pass a credit check or who don't want to give their personal information to a company. But when you are catering to this market, by definition there is a significantly higher risk.
The only statistic I have seen so far points to a significantly higher churn rate for pre-paid customers. Only 1% of post-paid customers change carriers every year.....whereas 44% of pre-paid customers g...
(continues)
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This forum is closed.
