It’s raining discounts and low rates for the US telecom customers as the biggies of the game compete against each other to provide the best in class service at the best possible price. While some players are trying to change the dynamics of the game and thus gain the first-mover’s advantage, some are resisting changing and are innovating within the existing parameters. We have already seen how T-Mobile (NASDAQ:TMUS) has revolutionized the wireless space with its strategy of doing away with contracts and thus providing more flexibility and easy to the end consumers. However, Verizon (NYSE:VZ), the top US carrier, has a different strategy in place. Instead of eliminating contracts altogether, the telecom giant has come up with tempting offers to attract more customers. Let’s take a look at what the wireless giant has to offer.
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About the plan
America’s largest 4G LTE service provider became very popular when it came out with its Share Everything plan where one would buy a bucket of data from the provider and then share and use that among various devices. Now the company has come up with More Everything plan which will provide the customers many similar features from the Share Everything plan along with a host of new facilities. Verizon has tweaked the offering to improve it and make it better suitable for the new age customers who are constantly in need of more and more data capacity and will automatically port the current subscribers of the Share Everything plan to the new plan.
With the More Everything plan customers who are currently subscribing to 500MB and 1GB data plans will see their data quotas have been bumped up to 1GB and 2 GB respectively, doubling the amount of data available to them. However, the doubling data quota is available to the small data plans only. Subscribers who have 2GB plans will only get a 50% extra data quota, at 3GB. Along with the extra data at the same cost, the users will also have access to up to 25GB of cloud storage (something for which Verizon changes $2.99 a month) and unlimited international messaging (as already available in the Share Everything plan). What more? Customers will be able to make calls to Canada and Mexico at $0.01/min and to other countries at $0.05/min for a period of 3 months since the company will be throwing in the its International Long Distance Value Plan as well.
What about customers not using the Share Everything plan?
The company also has something to offer to customers signing up for its Edge early upgrade program. For data plans with 8GB or less, the customers will get $10 knocked off the cost of the plan, while those with 10GB or more will get a discount of $20 on the cost. However, the only pinching point of this entire new offer is that Verizon doesn’t have anything new to offer to its customers who have paid in full for their device or who are out of contract.
The new More Everything plan seems to be attractive, but not as luring as plans from the market share hungry rivals such as T-Mobile, AT&T (NYSE:T) and Sprint (NYSE:S). Verizon continues to be the most expensive carrier even after taking into account the offering of its latest plan. However, with its claims of exceptional service, unbeatable network coverage and superior speed, Verizon continues to be the largest US carrier and has added another 1.7 million subscribers in the last quarter and it will continue to manage to attract new customers. The US telecom space has turned out to be one of the most dynamic markets with cut-throat competition and Verizon’s step to give customers more for the same cost seems to be a practical choice to stay ahead of its sharp and fast-growing peers.