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Sprint plans targeted-services strategy to regain prepaid lead


09/02/2010

If some of her past homes, Sprint's (Powered: S) fourth quarter earnings fell to him financially and more focused on his plan to fix them. Sprint lost 504,000 postpaid subscribers in the quarter, more than four million years of increasing years, but even a loss. Sprint also is the second and fourth of the additional Prepaid customers decreased. Prepaid carriers added 435.000 Subs in Q4, Sequential first showed a significant reduction in net growth since introducing $50 unlimited plan last year.

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Sprint's major competitors Verizon and AT & T wireless subscribers added two in the quarter, 2.2 million and 2.7 million, respectively.

Bernstein Research analyst Craig Moffett your favorite to draw an analogy to Sprint, is to compare swimmers learn to swim if the water is that the sand from the pond. ARPU growth and negative 1.8% decline, said the growth will return to the Sprint all the challenges.

" Or perhaps the best metaphor for the quarter `s Sprint is a student who learned to play the desperately poor series in math class (postpaid), " Moffett said in a research note. They graduated ". But Mom ISN `t be happy about what happened in English. "

Prepaid improve report cards, Sprint is repositioning strategies offered in multiple services, using different brands to target different areas of the industry. Sprint phone to find a virtual network operator (MVNO) Virgin Mobile last July. Also all the work subsidiary Boost Mobile, which is a Trojan horse for the company until the following competition. S'Sprint brand Assurance, funded by the government wireless services, Sprint is also responsible in's Prepaid strategy. Hesse said it will use all these services for specific target market segments with a unique value proposition. This will give Sprint more flexible and allows for targeting a variety of competitors with no levers to pull prices in each market segment, he said. Sprint will be the perfect Prepaid strategy he rolled out last Q2.

" There is very different segments of the market and specific needs and desires, " he added Dan Schulman, the former CEO of Virgin Mobile and now head of Sprint `s pre-paid business. They " shop in various channels, they want specific handsets and specific value propositions. You will do from us in the prepaid, and we, I've just started to implement some of these brands is to build a very unique and attractive value propositions for specific segments of the market. "

Postpaid ahead, Verizon Wireless and AT & T, two recently cut the price of unlimited voice their plans and $30 to $70, leaving Sprint and trapped between the high cost per customer and $100 Simply Everything & " & plan seems to be more expensive. Hesse noted that Sprint is the real deal a better value after the add-on AT & T and VZW plans considered. He also added that while the competition has taken the victim Sprint, Sprint is beneficial to consumers who use more time to think about what they provide only the price of the handset. He said that Sprint has more than education to make decisions in terms of consumers to know that he adds-on to its higher price competitors.

" We've made a lot of development in the health issues of ignorance, " said Hesse. " Unfortunately, we have made many successful non-subscribers, but that will come. "

Hesse said that Sprint's " There's Mobile, Any Time, " that allows for unlimited mobile-to-phone calling, is to help bring in new customers. Sprint also tar Affiliate IPCS, purchased in December, the postpaid subscribers Nextel, Helio and Virgin Mobile's New CDMA contracts with new clients.

Sprint also has plans to target businesses that 4G WiMAX in 2010. Hesse said Sprint plans to expand coverage, and adding more equipment, especially music, which can run on 4G networks. Extending 4G " in 2010 distribution will be an important catalyst in encouraging the growth'Sprint postpaid subscribers, " said Hesse. " expect all postpaid subscribers and the total losses to increase in 2010 compared with last year. "



 

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