T-Mobile has recently announced a new device upgrade program for its no-contract customers. The program allows customers to upgrade to the latest and greatest phones at subsidized prices. This upgrade program, called Jump, makes it easier for people to upgrade to new devices and pay a lower price instead of replacing their current devices at full price.
To participate in the early upgrade program, customers will pay $10 a month. After being enrolled in the program for six months, customers can get their first upgrade. The company will then credit the remaining cost of the device and enrollment will start on Sunday. According to T-Mobile CEO John Legere, “two years is too long to be locked into a phone.” He stated that customers should decide when they upgrade, not their wireless company.
The Jump program will finally allow people to upgrade their device when the screen cracks or they drop their phone into the lake. If your phone malfunctions, or if it’s stolen, or if you run over it with the car, or even if you just don’t like it anymore, you’re covered. He pointed out that the competitors, AT&T and Verizon, are actually lengthening their upgrade cycles to 24 months. Legere said, “That’s not what customers want.”
T-Mobile will also announce the less expensive family plan for no-contract customers. Now, a family of four can get a plan for $100 per month with unlimited talk and text messaging. Each member of the family on the plan can also get 500 megabytes worth of wireless data at full speed. The big bonus for families is that there are no contracts or credit checks. However, people will have to put down a deposit instead of a credit check to get the family plan. The deposit is the cost of one month of service, which is $100 for four people.
T-Mobile’s success in reducing customer churn and attracting new customers is not only due to the iPhone. While iPhones have been 29% of sales, other people are leaving other carriers for T-Mobile. Legere took the opportunity to take a few shots at competitor AT&T and said that customers fed up with AT&T are leaving the company’s service in droves and heading for T-Mobile. “We’re changing this business,” he said. “We’re going to redefine a stupid, broken, and arrogant industry.”
In conclusion, T-Mobile’s Jump program is a great way for no-contract customers to upgrade their devices at subsidized prices. It allows customers to upgrade their phones when they want to, not when they are forced to. The program is flexible and covers many situations that could happen to a phone. T-Mobile’s new family plan is also less expensive and has no contracts or credit checks, which is perfect for families who don’t want to be locked into a contract.