Sprint and its prepaid brand Boost Mobile better watch out -- T-Mobile is launching a couple of new special offers by way of its own prepaid arm, MetroPCS, and the promos are aimed at Boost Mobile’s customers. The first promo promises a $60 discount on any handset to customers who decide to port their phone numbers from other mobile service providers, basically letting users get one of nine devices free of charge (except for the sales tax). The other deal allows customers to get an additional line of service to their family plans for just $25 a month, granting them access to an extra 5 gigabytes of data per month when they already have a plan with similar or more gigabytes of data.
MetroPCS provides customers with unlimited voice calls, text messaging, and 6 gigabytes of LTE data each for a couple of lines of service for $60 a month. Now compare that to Sprint’s Boost Mobile, which has unlimited voice calls, text messaging, and 2 gigabytes of LTE data for $35 a month on just one line of service. With two lines of service, Boost Mobile’s offering costs $65 a month; with three lines of service, the cost is at $90 a month.
John Legere, the chief executive officer of T-Mobile, has written on T-Mobile’s official website that he expects quite a number of customers from Sprint and Boost Mobile to switch over to T-Mobile and MetroPCS. Legere also stated that in the next few days, there will be more developments under way regarding MetroPCS.
The prepaid market used to be sort of an afterthought in the wireless industry, with the Big Four carriers in the United States (Verizon Wireless, AT&T, T-Mobile, and Sprint) mostly not paying much attention to customers of prepaid mobile services in order to focus on postpaid. How times have changed -- wireless carriers now are increasingly going after prepaid mobile users as the overall sales of handsets keeps on slowing down and the gap between the average revenue per user (ARPU) of prepaid and postpaid continues to shrink.
In the case of T-Mobile, its efforts in the prepaid mobile front appear to be paying off. During the first three months of this year, the wireless carrier registered a record 807,000 net prepaid customer additions, posting an eleven fold year over year improvement in terms of branded prepaid net customer additions. Its prepaid brand, MetroPCS, registers an ARPU of about $38 to $39.
Sprint, on the other hand, is struggling recently, prepaid wise. During the most recent quarter, it lost a net 264,000 prepaid users, definitely not an improvement over the 546,000 net additions it managed during the previous year, and clearly worse than industry analysts’ expectations of around a hundred thousand net losses.
To browse more deals, you can start exploring offers from T-Mobile or from MetroPCS at Wirefly now.
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