TweakTown
Tech content trusted by users in North America and around the world
5,674 Reviews & Articles | 36,065 News Posts
Weekly Giveaway: Fractal Design Arc Cases Contest (Global Entry!)

Sprint believes iPhone users more profitable than other smartphone users

iPhone users use less data and are more loyal according to Sprint's CEO.

| Mobile Devices, Tablets & Phones News | Posted: Mar 21, 2012 9:33 pm

Last year, the Sprint Network and its customers finally got the chance to buy the iPhone, but it didn't come cheap. The price tag? About 15.5 billion dollars. The decision to do it? Questionable. In an interview with Mobile World Live, CEO Dan Hesse defended the decision to bet heavily on bringing the iPhone to Sprint. Hesse makes a lot of claims regarding iPhone users, but are they true?

 

TweakTown image news/2/3/23119_6_sprint_believes_iphone_users_more_profitable_then_other_smartphone_users.jpg

 

"Subsidises are heavy for the iPhone," Hesse explained. "Four out of every 10 iPhones we sold are for new customers. That's roughly double the rate of either of our competitors, so we're pulling a lot of customers from our competitors." Additionally, he contends that iPhone users are more loyal and use, on average, less data than other cell phone platforms. "iPhone customers have a lower level of churn and they actually use less data on average than a high-end 4G Android device. So from a cost point of view and a customer lifetime value perspective. They're more profitable than the average smartphone customer," Hesse said.

NEWS SOURCE
Arstechnica.com

Related Tags

Further Reading: Read and find more Mobile Devices, Tablets & Phones news at our Mobile Devices, Tablets & Phones news index page.

Do you get our news RSS feed? Get It!

Post a Comment about this news

Latest Tech News Posts

View More News Posts

Latest Downloads

View More Latest Downloads

TweakTown Web Poll

Question: Did EA kill the Battlefield franchise with the terrible BF4 issues?

Yes, Battlefield is doomed

No, Battlefield will live on strong

I'm not sure, but I know EA needs to improve its game

or View the Results

View More Polls

Forum Activity

View More Forum Posts

Press Releases

View More Press Releases
Get TweakTown updates via Facebook!
Just click the "Like" button below