Posted on Sunday 7th of January 2007 at 13:12 in The Internet

Why Smartphones make networks neglect you

There are three very different consumers for mobile phones with very different needs and interests and I find it hard to believe that suppliers don't make life easy for the band I reluctantly fall in to. I see the market as having three groups :

1. The "Must Have"
2. The "Anything'll do"
3. The "I need it all"

So why does it seem that mobile phone companies cater for #1 more than they do anyone else? This is something I fail to understand because most businesses attempt (at some point) to reward their loyal customers but mobile phone providers seem to only have a vested interest in making the must-have user base happy.

o2 xda Must Have
Everyone knows someone in this category - every time you see them it seems as if they have a new mobile phone and if you make mention of it, they can explain at great length why their purchase was the best decision and follow the conversation up with a 3 page email later that day on the best mobile tarifs available. These people need the latest and greatest phones on the market and the providers will always attempt to cater for them - as being the biggest regular spenders they provide the most immediate gains.

Anything'll do
Famously inattentive of the mobile phone market since they bought a Nokia 3310 back in 2003 and continue to use it because it "does what I need". These are the same users who send text messages entirely in CAPITALS and will only replace their handset when it dies or a network thrusts an upgraded one in their hands. Obviously these people are neglected by the networks because they are of no substantial use or interest.

Need it all
With some level of reluctance I fall into this category, mesmerised by the all-consuming full service, PDA phones that cater for your every Wi-Fi, PC-on-the-move need. Why faff around with half a dozen different devices when you can have one that provides instant e-mail access, full Sat-nav/GPS functionality, Wi-Fi and all the normal tat that you get with a mobile phone these days. I find it astonishing how useful these devices are when you're on the move a lot. However, because these devices are advanced they tend to carry an inflated purchase price (on top of the monthly line rental) and for this reason we're likely to spend a couple of hundred *insert currency here* getting the handset and then not upgrade for a few years. And here is where the problem lies.

smartphone The problem
The mobile phone business model normally works like this: You reward the regular spenders with increased spending opportunities of varying levels - so if you're a regular upgrader or contractual-over spender, then there is a golden halo hovering above your head advertising a direct line to your bank account. So #1's are obviously the ideal people to look at because they will take the latest handsets off your hands. However, us #3's are often forgotten because we stick to our contracts and spend large amounts of money only every couple of years - which isn't taken into account in most business models.

My personal situation
As an example, I've had a Sony-Ericsson P800 Smartphone since the summer of 2003 which I purchased on a contract for the sum of ?200. Now January 2007 I've been a loyal customer of this particular provider yet only spend a few pounds each month above my agreed contract. However, they refuse to offer me anything but yesterday's tat in terms of an upgrade and request me to pay MORE for the phone I actually want than if I cancelled my contract and started afresh. Mobile madness! I really like the look of the O2 XDA series of Smartphones but I have an inherent reluctance to spend another couple of hundred on a phone to remain on a network that fails to appreciate. Ho-hum I suppose. Therein lies the problem in being a non-first choice consumer.

Are you finding the same thing? Or are you not a #3 such as I? I'd love to hear your opinions on this.

 

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