Sprint to undercut rivals?
Posted by Joe P on February 21, 2008
Just to be clear, I realize that Sprint’s unlimited plan, which I spoke about on Monday is just in a trial run. And yes, I criticized the company for dipping their feet in while the rest of the industry did a cannonball. But now it looks like they might have something up their sleeves. As rivals Verizon, AT&T, and T-Mobile entered the fray with a $99 unlimited offering, Sprint still has the opportunity to undercut its rivals. And they very well may do that. According to analysts, they could offer their unlimited service for as low as $60.
Of course, Sprint hasn’t commented on this story yet. Nor should they, until they make an official announcement. But it would be a great idea. They have a large national network, and certainly could offer highly competitive services. They’d fare much better at a lower price point than their competitors.
This would be cause for concern with the other wireless carriers, who then might drop their plan rates. So Sprint coming in at $60 would be a total win-win. Except for the regional unlimiteds, MetroPCS and Cricket, though I’ll cover that issue later today on Prepaid Reviews.
One aspect I hadn’t considered now is that this development really screwed with Sprint’s necessary improvements. They need to be focusing on customer service and subscriber retention right now. Their network coverage doesn’t cause nearly as many complaints as their customer service, and until they can reestablish a positive image of themselves, they’re going to be stuck. This is probably why they decided to test the unlimited offering, rather than making a splash.
So undercutting the other carriers seems the logical thing to do. They messed with Sprint’s plans, so Sprint will mess with theirs. And so, at least for a period of time, they’ll be offering the same package at a 40 percent discount. That could net them some customers, allowing them to bide their time and create a real customer service department.
Hell, I’d switch to Sprint if they offered $60 unlimited coverage and actually cared about me as a subscriber.
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1 Comment ↓
I agree….$60 for unlimited calling? It’d be worth it.
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