Customer
Basically, when the Telco service provider introduces and encourages the customers to subscribe to their 2-year price plans, they are trying to retain or achieve customer loyalty. And in return, customer often benefit from lots of privileges for signing up the plan with the service provider. Privileges such as; cheaper mobile phones and monthly bills, bundled freebies, rewards, etc… These will be discussed in greater details below.
Mobile phones bundled along with the subscription plans are often relatively cheap as they are heavily subsidized by the service providers. As such, high-end phones turns out to be more affordable for consumers and at times, they even gets to walk away with free phone of certain models when they sign up with the price plans. Consumer also tends to saves up to a great extent on monthly bills as most service provider’s have already customize their price plans into the four main categories of mobile phone subscribers; SMS users, light users, moderate users and heavy phone users. Consumer only needs to choose the plan that best suits their usage needs in terms of; free incoming and outgoing calls, SMS and MMS, etc... Some service providers even give away freebies such as; mobile phone accessories, dining vouchers or a holiday trip when the consumer sign up certain price plans. Points are also rewarded to subscriber on a monthly basis, depending on the subscriber’s usage volume. These points can in turn, be use to exchange for free gifts, vouchers or rebates.
Hence, as a whole, consumer tends to be in a win-win situation when they sign up the price plan as they have nothing much to lose out and are likely to clinch some great deals back. The only downside is the obligatory of the two years contract. Sh ...