Monday, November 19, 2012

Verizon Wireless Double Data Comes to a the $80 Prepaid Smartphone Plan

Verizon Wireless seems to be building up to drive Q4 2012 and Q1 2012 prepaid net additions.   Coming off a decent prepaid Q3 with 228K net additions, the prepaid group looks to better 2011 Q4's 250K net additions.  How does the company get there? 

Given the smartphone adoption trends, the company wants to take advantage of this in the Q4 holiday selling period. To accomplish interest, Verizon Wireless has taken a page from its postpaid double data promotion it ran in 2011 and early 2012.  The plan under the limelight is the Prepaid $80 Smartphone plan that normal provides 1 GB of data along with unlimited talk and text. This is already competitive with postpaid but now with a 2GB.

Here are the plan terms in minutaie but the highlighted points are the important ones:

  • For a limited time only, customers who purchase the Prepaid $80 Smartphone plan will enjoy 2GB of data for the price of 1GB when they purchase and activate a new Smartphone between 11/18/2012 through 1/31/2013.
  • Unlimited Talk, Text & 2GB Data Plan includes unlimited domestic calls only, texting* to anyone on any network in the U.S. and participating carriers in Canada, Mexico, and Puerto Rico and 1GB Data.
  • Purchases and activations on the Unlimited Talk, Unlimited Text & 2GB Data plan will receive 2GB as long as the plan service remains active.
  • The Unlimited Talk, Unlimited Text & 2GB Data plan will not be available after 1/31/2013. Any activation on or after February 1, 2013 will not receive the promotional benefits.
  • If you have a sufficient balance for your monthly access, enjoy the benefits of your calling plan. If you don't have enough funds to cover the monthly access, you will be charged 25¢ per minute, 20¢ per text, 25¢ per picture or video messaging sent (per recipient) and received and 5¢ per MB.
  • 1GB Data Package – An optional data overage package is available for $20 for customers who have reached 100MB or less remaining on the 2GB data allotment. An optional data overage package for prepaid customers is not available for purchase at the point of sale. Customers can add the 1GB data package through the IVR, My Verizon Mobile and My Verizon online once 100MB or less remaining of the 2GB data allotment.

Target Customer Segment

Value-seeking smartphone customers who want the Verizon Wireless network. 

- Continue to drive prepaid net additions 
- Keep filling the 3G network with high-value users.
- Better than a postpaid deal, addresses the postpaid value switchers
- Double data for free and a limited time offer has an excellent track record at Verizon Wireless. 
- Users get to keep the plan as long as they keep their plan active. 

- Only 3G smartphones, no latest and greatest LTE smartphones
- There are less expensive similar options over at all you can eat competitors Boost Mobile, T-Mobile, MetroPCS (even with LTE) and Leap.