T-Mobile To Lose 1.2 Million Postpaid Customers In 2011?

Oh those silly analysts are back in action with a Bloomberg report discussing the possibility that T-Mobile could lose as many as 1.2 million postpaid customer contracts during 2011. That number is  over three times higher than the 390,000 subscribers T-Mobile lost in 2010. Amidst AT&T’s takeover battle with the Justice Department, T-Mobile would end the year with 33.5 million total customers with 25.2 million of them on contract.

Sanford C Bernstein & Co analyst Craig Moffett says that T-Mobile’s losses are partially due to the company’s unwillingness to get more aggressive with price cuts. Moffett believes that while T-Mobile has used price cuts in the past to attract customers a similar move today could be used by the Justice Department as showing T-Mobile helping to “suppress” prices for consumers.

“Cutting prices at this point would be very difficult because the DOJ has said their strategic importance stems from their role as a price cutter,” said Moffett.

In past years T-Mobile has offered promotional plans like the $39.99 1000 minutes rate plan or every phone free with contract in an effort to attract customers but faces an uphill battle today.

“T-Mobile is already in a difficult spot from a consumer perspective,” Entner said in an interview. “People will ask themselves, ‘Am I really going to sign a two-year contract with a company that may be on life support if the deal doesn’t go through?’”

The lone bright area where T-Mobile is gaining customers is on the prepaid side although prepaid customers remain less profitable than contract customers. Moreover, T-Mobile is unlikely to attract significant numbers of prepaid customers in order to boost the total number of subscribers.

T-Mobile continues to pour money into marketing with $115 million spent in the first quarter against the $111 million spent in the first quarter of 201. In the same period AT&T spent significantly more on marketing even while decreasing their own spending on wireless ads from $468 million to $356 million.

The fact of the matter is that T-Mobile remains “hand-tied” when it comes to pricing in order to not create a price gap between them and their largest competitors.

“They’re a bit hand-tied on pricing because they need to show the DOJ that the pricing gap isn’t that big,” Michael Cote of Cote Collaborative Inc. said in an interview.

The fact of the matter is that T-Mobile does seem to be in-between a rock and a hard place with efforts to keep the “business as usual” motto going all the while not making any drastic business decisions that could adversely affect their AT&T takeover. As has been the case this whole time we continue to wait and see what, if any deals AT&T can strike to try and push this through while the Department of Justice will continue to push its case forward. All of this will go on while we await  for the FCC to render it’s own decision.

Bloomberg

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  • Steven

    Just dropped my post paid family plan as my contract went out and I’m T-Mobile prepaid now. We’re likely going to go to Simple Mobile in a month to save even more. The last thing we want right now is a new contract with the AT&T takeover coming. We both hate AT&T with a passion and want nothing to do with them.

    The Tmobile store rep did nothing to try to get us to stay on post paid.

    • Happygal4life

      simple mobile is the way togo

    • 2JZ_NOS

      Those “silly” analysts are right, they will be losing me in 2012 as well.  Their customer service sucks now and like you said, neither reps at stores or over the phone do anything to keep you as a customer anymore.

      • Eric

        I’m a Tmo Retail Rep. The reason we don’t try to keep you at the store is because they barely pay us anything to renew your contract. I’ve been with Tmo for a long time and it is getting really annoying how much the upper execs suck at making the retail stores run.

  • http://pulse.yahoo.com/_XNGZRAYCOXBBPRXFPYROGK4TEE Richard

    Prepaid is stupid. 1000 mns? f**k that ! is you are not using ur phone  prepaid is for you … or if you are cheating  a prepaid is good too I want unlimited everything and top of line iPhones ..
    I used to be w/T-mobile worst service ever… don’t have an iPhone m outta here!!

  • CJMsMaverick

    The simple fact is everyone looks at three things 1.costumer service 2.coverage/service 3. Handsets. There costumer service is not that good they have verbally abused me over the phone more then once, are not very apologetic and really don’t help when you need it. The coverage is really bad half the Time I put my phone in my pocket and when I pull it out I usually have no service and an X next to the antenna in the corner of my phones screen 3G is almost nonexistent where I live and 4G? Forget it never seen it! Handsets? They all suck I think I have sent back 2 sidekicks for replacements I’m on my 3rd blackberry and I had a galaxy s 4G in all in a 5 year period. Plus the fact the lack of selection has just made me mad. Dec 26 I’m going to verizon

  • CJMsMaverick

    The simple fact is everyone looks at three things 1.costumer service 2.coverage/service 3. Handsets. There costumer service is not that good they have verbally abused me over the phone more then once, are not very apologetic and really don’t help when you need it. The coverage is really bad half the Time I put my phone in my pocket and when I pull it out I usually have no service and an X next to the antenna in the corner of my phones screen 3G is almost nonexistent where I live and 4G? Forget it never seen it! Handsets? They all suck I think I have sent back 2 sidekicks for replacements I’m on my 3rd blackberry and I had a galaxy s 4G in all in a 5 year period. Plus the fact the lack of selection has just made me mad. Dec 26 I’m going to verizon

  • Eric

    As a Tmo retail rep, I feel like there are just so many things Tmo is doing that just makes it so hard for people to want to stay with us.

    1. Customer care SUCKS. Prepaid care Postpaid customer care is hit or miss. When I need to call into care to fix a customer problem, half the time I’ll get someone willing to help, and other half I’ll get people want to not do anything for the customer because of “what it says in the policy.” I don’t remember how many times I’ve had to argue with our own care department just to get my customers taken care of. It’s just so much wasted time that could be spent either helping other customers or selling phones.

    2. Too much emphasis on prepaid. When I first worked for Tmo back in 08, prepaids made up like 40% of my sales. Now every month I’m selling about 70% prepaid accounts compared to postpaid. What’s the deal with making the prepaid plans better than post? Customers can get Unlimited Minutes, Text, and 5GB of web for $70 on prepaid or pay $75 on a Value Plus plan with a 2 year contract. Adding to the fact that Prepaid Customer care is completely outsourced and unhelpful in every single way. And you wonder why we are losing postpaid customers…

    3. Outrageous restocking fees. I completely understand that the company loses money on phones that get used and returned but $50 to exchange a smartphone? Which cracked out upper exec came up with this great idea? You don’t think customers will be willing to cancel service for a $50 restock fee? THINK AGAIN. Charging someone $50 to return a phone that they only paid $50 to $200 is a huge slap in the face to ANY customer.

    I do everything I can to take care of my customers but it’s getting harder and harder to do so with all the dumb changes that have been made and I am not surprised at all at the amount of customers leaving us to go elsewhere. We used to be a company with a foundation in customer service but it just seems as if Tmo is just becoming just like the other 3 carriers. I would always have customers tell me that they stuck with Tmobile even though they could get better reception with other companies because we had excellent customer service. Tmo better do something fast, whether that may be changing this company around or just completely merging with ATT because the direction we are heading right now is not working at all…

    • http://pulse.yahoo.com/_AKCTN5PM7GLAAWDUHBAYOYITBM Cali

      Sounds like you need to find a new job. T-Mobile (not that I work for them or am an expert) is most likely focusing on prepaid customers because their network and customer care sucks all around. People who were once postpaid, left and word spreads. Even average Joe’s can figure this out. Prepaid customers are a lower class of society who expects less. I’m surprised you haven’t figured this out.

      • W3m1975

        Actually the focus is due to adoption rates from last year. Prepaid is growing, more people would rather “date” their wireless providers than “marry” them now. By the end of next year they predict more than 30% of wireless customers will be prepaid. By the way are you a little bitter or something only people with an axe to grind would say they want a business to close down. Did t-mobile hurt your feelings?

        • SJ

          Well the reason they rather date is that the prepaid prices are lower.  In this economy, a larger percentage of customer are buying on price.  When they see prepaid have a price of $50 vs $80 for unlimited with 2gb data, they wonder why should I pay more and lock myself into a 2 year contract?

        • SJ

          Well the reason they rather date is that the prepaid prices are lower.  In this economy, a larger percentage of customer are buying on price.  When they see prepaid have a price of $50 vs $80 for unlimited with 2gb data, they wonder why should I pay more and lock myself into a 2 year contract?

        • http://pulse.yahoo.com/_AKCTN5PM7GLAAWDUHBAYOYITBM Cali

          What’s the point of having a dialogue with someone in the comments section after an article? None!

    • W3m1975

      You need to understand that your requests have to go through the rsl now, customer care is not supposed to help you. We will get coached/ disciplined for helping a retail rep outside of policy. Just so we are all on the same page, the reason this has happened is due to stores working the system and activating new lines instead of upgrading.

    • W3m1975

      You need to understand that your requests have to go through the rsl now, customer care is not supposed to help you. We will get coached/ disciplined for helping a retail rep outside of policy. Just so we are all on the same page, the reason this has happened is due to stores working the system and activating new lines instead of upgrading.

    • SJ

      Eric, I agree with you 100% and feel for you because Ive had the BEST experiences with my local store employees and manager (even if I only come in once or twice a year, they recognize me and remember my issues) and they always apologize for ‘corporate’.  They’ve been on the phone with me when corporate has promised me something and then goes back on their word.  You’re right about prepaid cust serv; I tried calling in a last ditch attempt to stay with Tmobile and switch my postpaid to prepaid and it was horrendous.  I was on hold for 20 min, the rep barely spoke English,a nd could not answer a single question.  She actually told me that prepaid customers do not pay for any incoming calls, and that I had to go into a store if I wanted to convert to prepaid, and also that theres’ no free long distance on prepaid because you have to pay roaming…among other things that i knew in my gut were 100% wrong.  It was horrendous.  Ive always had good experiences with the store,a nd you’re right because they have the customer in front of them, they are often more willing in trying to help (especially if the customer is right and its not a customer who doesnt pay their bills, etc).

      You are so right in everything you say. I stuck with Tmobile because of the customer service too.  I was the only one among friends and family to have Tmobile.  Everyone else had ATT and I was the lone wolf, but I was happy.  In the last 12-18 months, every time  had an issue, Customer Service was unhelpful.  Many times, they were antagonistic and rude.  I even had to deal with the corporate office, and usually, with most companies, when you get to that level, they solve the problem right away and apologize for the lower level’s incompetence.  This was the exact opposite. The person I dealt with (initials JS) was the rudest person I had ever encountered at that level (and I worked with these types of folks every day).  She did not help at all, and instead made the issue much worse…it was the last straw in pushing me towards leaving Tmobile.  I had been promised a replacement phone and instead she withdrew the offer (which i had in writing and which the store manager was a witness to) and then told me the only phone she’d give me was an old Blackberry…But what she couldn’t get through her thick skull, was that I didn’t have a Blackberry plan so the only way she would replace my phone is if I signed up for a more expensive plan for services I didn’t need).  It was just a disaster.  So Im not surprised that customers are leaving in droves.

      I just would hope you have started looking for a new job because I fear for the Tmobile store reps, most of whom I must assume would lose their jobs in a merger since many areas have a bunch of ATT stores located near Tmobile stores.  So even though you’ve probably given a lot of sweat to tmobile, I hope you take care of yourself as well. Good luck

    • SJ

      Eric, I agree with you 100% and feel for you because Ive had the BEST experiences with my local store employees and manager (even if I only come in once or twice a year, they recognize me and remember my issues) and they always apologize for ‘corporate’.  They’ve been on the phone with me when corporate has promised me something and then goes back on their word.  You’re right about prepaid cust serv; I tried calling in a last ditch attempt to stay with Tmobile and switch my postpaid to prepaid and it was horrendous.  I was on hold for 20 min, the rep barely spoke English,a nd could not answer a single question.  She actually told me that prepaid customers do not pay for any incoming calls, and that I had to go into a store if I wanted to convert to prepaid, and also that theres’ no free long distance on prepaid because you have to pay roaming…among other things that i knew in my gut were 100% wrong.  It was horrendous.  Ive always had good experiences with the store,a nd you’re right because they have the customer in front of them, they are often more willing in trying to help (especially if the customer is right and its not a customer who doesnt pay their bills, etc).

      You are so right in everything you say. I stuck with Tmobile because of the customer service too.  I was the only one among friends and family to have Tmobile.  Everyone else had ATT and I was the lone wolf, but I was happy.  In the last 12-18 months, every time  had an issue, Customer Service was unhelpful.  Many times, they were antagonistic and rude.  I even had to deal with the corporate office, and usually, with most companies, when you get to that level, they solve the problem right away and apologize for the lower level’s incompetence.  This was the exact opposite. The person I dealt with (initials JS) was the rudest person I had ever encountered at that level (and I worked with these types of folks every day).  She did not help at all, and instead made the issue much worse…it was the last straw in pushing me towards leaving Tmobile.  I had been promised a replacement phone and instead she withdrew the offer (which i had in writing and which the store manager was a witness to) and then told me the only phone she’d give me was an old Blackberry…But what she couldn’t get through her thick skull, was that I didn’t have a Blackberry plan so the only way she would replace my phone is if I signed up for a more expensive plan for services I didn’t need).  It was just a disaster.  So Im not surprised that customers are leaving in droves.

      I just would hope you have started looking for a new job because I fear for the Tmobile store reps, most of whom I must assume would lose their jobs in a merger since many areas have a bunch of ATT stores located near Tmobile stores.  So even though you’ve probably given a lot of sweat to tmobile, I hope you take care of yourself as well. Good luck

    • Littlesis1774

      T-mobile is charging outrageous fees to your bill even if is not your fault. T-mobile sold my younger brother HTC sensation which was broken because the wifi was not working. My dad called them up and they said the phone had physical damage to it which did not have. We thought it was my phone which is HTC HD2(crappy phone) because I had dropped at school. However I return it to the insurance when I heard my number I just lost and I yelled at the lady because I had to return the proper place the insurance which the rep told me do. I had no need to pay the one time fee. I was not going pay it no matter what.  To piss off talk to them I gave my dad back the phone. Later after my dad got off the phone I realized my brother had HTC Sensation so we called back and they said that his phone had physical damage it which BTW did not. I was so pissed that at the fact that I might have to pay it I vented how I would laugh if AT&T takes over but this issues is not resolve then my dad might jumped the ship which is what  I am doing. I going to sprint the first chance I get

    • http://pulse.yahoo.com/_THJ3ORO3MG4RIVXQEZ5LLQRAHM DJ Ratliff

      Wow, that is so true.  I left TMO in ’09 bc the cs had gotten so bad.  I’d been with them for almost 10 years before that bc they used to have the best CS over everyone and that meant something.  They would take care of you and really made customers feel like they were valued as their customers.  I thought things might have changed, I’ve been looking to switch back after having a negative experience with Sprint; (their CS really SUX!  Lied to about overage charges, credits not applied to my bill, horrible attitudes when my wife passed, THEY’RE A BUNCH OF BLOODCLOTS!)  I’m gonna check out either the prepaid 1st and then possibly the family plan, where you can use 2 credit cards to pay for individual lines separately.   I really hope they’ve gotten better….Maybe worse case scenario, they merge with ATT and have to stick with the low grandfathered plans ;)  ….one can only hope.

  • Tory

    The iPhone is what T-Mobile needed to stay alive, and now that they dont have it, people are either leaving T-Mobile for it, or just not even going to switch. As many android users as there are, lets face the facts, the iPhone is the phone everyone desires, and android users have anddroidd because they either dont like apple, or cant get an iPhone on their provider, so they say android is so much better, when in reality, android is nothing but glitched and bad apps.

    • W3m1975

      Actually, according to the Nielson statistics from the first quarter of 2011 the big 3 os systems are android, blackberry, and iOS. All three with nearly identical adoption rates of around 27%, that being said not everyone wants an iPhone.

      • Mastrorj

        true, but if the iphone was on tmobile and i mean a 3g/4g fully working device, would those numbers be different? The amount of Iphones on tmobile says that they might be.

        • W3m1975

          not exactly, according to the same nielson pole I Phones remained a consistent 27% for all of last year, while blackberry coughed up 9% to android. The numbers show a trend that I phones are not winning new customers just resigning old ones.

        • Mastrorj

          maybe im not communicating this right. Now i cant give u an actual number bc well if i did id be pulling it out of the air. But I when i started working for tmobile back a yr and a half ago we were told that eventually so many people with tmobile bought and used unlocked Iphones that TMO had to start a dedicated Iphone customer service section bc they had way too many people calling in with their Iphones. And to be honest i have no idea what that number was, i couldnt even guess. Bc to me, it was kind of irrelevant. My job wasnt to sell the iphone, we didnt have any in store to sell or to learn on so to me out of sight out of mind. My approach to things arent always like that but we had such few i phone customers come in my store it was pointless. 

          So IMO if they have that many people using the Iphone already that they have to make a whole seperate Dept for them. Think about how many people: 1. Dont wanna pay full price for one to be unlocked. 2. Have no idea how to unlock an Iphone. 3. How many people out there know that its even possible to use an iphone in TMO, its not like TMO is was or ever has advertised it publicly. 

          Im not worried about what the reports say as a whole, Im thinking smaller picture as being the individual carrier. 

          Lets throw a fake number out there

          say15%(n this might be a generous #) of TMO customers had an unlocked iphone and used it on TMO. U dont think that if TMO got the iphone that 15% of TMO users # would increase?? 

          Now think about this. Right now there is a plan out for 99.99 for 2 lines unlimited everything(2gb data) How many people would come over to TMO thinking oh wow i could use the iphone and only pay that much for my service a month, THATS AWESOME! Now yea service and coverage is better on both VER. and ATT n that might stop people from coming over but dont u think that % scale might start tipping in favor of the iphone?? How many android users might wanna switch out to IOS, alot. I talked to plenty of people who said dam ill go android but i wish i could go Iphone but yall dont got it.

          N u wont find this in a study or a report bc this is not a fact. Its kinda like a would of/ could of/should of scenario. And you might only know this and feel this way if u had worked for TMO personally. 

          To summarize my point you said “according to the same nielson pole I Phones remained a consistent 27% for all of last year”. But what ur forgetting is the MILLIONS of people on TMO that dont have the option of using an iphone. And if they did that 27% would probably be ALOT higher. Millions of people and TMO users are being robbed of that option.

        • Mastrorj

          oh and one more thing, Do i think if TMO got the Iphone it would prevent them from losing customers as this article talks about them losing 1.2 million people. i do n i dont. Im leaving TMO very soon an its bc of customer service and coverage. The iphone wont keep me as a customer, even if they offered it to me free with the only exception being that i had to stay, id say no to them. No phone could get me to stay bc having bad coverage on a smart phone is as pointless as owning an iphone or any smart phone and not wanting a data feature on it. If i cant get the data coverage and signal service its basically a really fancy wireless house phone. But even if Iphone came to TMO and only one person switched over from anything else, it makes my point. Its one more person on the iphone that wouldnt of been then if they didnt offer it.

        • Mastrorj

          oh and one more thing, Do i think if TMO got the Iphone it would prevent them from losing customers as this article talks about them losing 1.2 million people. i do n i dont. Im leaving TMO very soon an its bc of customer service and coverage. The iphone wont keep me as a customer, even if they offered it to me free with the only exception being that i had to stay, id say no to them. No phone could get me to stay bc having bad coverage on a smart phone is as pointless as owning an iphone or any smart phone and not wanting a data feature on it. If i cant get the data coverage and signal service its basically a really fancy wireless house phone. But even if Iphone came to TMO and only one person switched over from anything else, it makes my point. Its one more person on the iphone that wouldnt of been then if they didnt offer it.

      • SJ

        You’re absolutely right; not everyone wants an iPhone.  But when you can get an Android on a variety of prepaid plans for $50-60 with everything included, then most people are not going to look at an $80 Tmobile unlimited plan or a plan that only offers them 500 minutes.  I just checked the Tmob website to see the current prices and you have plans for $110 with only 500 minutes…A consumer buying on price is not going to choose Tmobile when they can get an unlimited no-contract plan for half that.  Even 500 minutes with unlimited text and 2gb of data is 69.99…change that to unlimited talk and you’re at 79.99…Its just not competitive.  I think people are who looking to lock in unlimited data are going to move to Sprint (Even though there’s no legal requirement for them to keep you on that plan forever – grandfathered or not —(Im waiting for the day ATT & Verizon say they are not going to continue to honor those old plans)…and now with Sprint’s announcement of building their LTE in coming years, I bet some people are going to try to lock in those unlimited plans now, thinking that they will go into tiered plans like Att and Verizon.

        • W3m1975

          WOW, I need to unsubscribe this discussion from my email if you are going to keep posting gibberish. Of course prepaid is cheaper than post paid the danger of default isn’t there. Prepaid is cheaper with every carrier, Sprints unlimited talk text and web on a smart phone is 109.99 and 55.00 for the same with their subsidiary Boost. How do we go from adoption rates of smart phone os to a discussion about rate plans by the way?

        • SJ

          Forget it.  We can agree on one thing; Im  going to stop posting comments because its a waste of energy and Im tired of all the negativity around here.  Im just trying to provide information for people, and I originally found this website, because as a long time Tmobile customer, I was trying to figure out a way to stay with them.

          For the record, we’re not quoting off the same prices.  Im not quoting a Sprint unlimited talk plan; Im quoting a Spring Everything 450 data plan which includes FREE MOBILE TO ANY MOBILE CALLING along with free weekends and nights after 7pm (not 9). FOR MOST (not all- but most personal users of phones), this plan will provide more than enough minutes.  Everything is free except for weekday landline calls before 7pm so to me and others Ive chatted to, this is equivalent to unlimited talk. So thats where I’m getting my numbers…also unlimited text and data (with no throttling or limits of 2gb or 5gb etc).  The ‘advertised” rate for this plan is 79.99.  If you are good at researching prices on the web or go look thru the Sprint equivalent of t his website, you will find a code you can use to lower your price to 69.99 and increase the plan to 500 daytime landline minutes.  So thats a far cry from 110.  Believe what you want to believe.  Im trying to post information for people who are interested in facts and an honest comparison.  I don’t work for TMobile, Sprint or any other cell company.  Do what you want, and what works for you.

          Some people are buying on price, others on network speed, others on a particular phone.  Whatever.  Get educated.  If I were a heavy data user, I would jump on the Sprint deal.  If I wanted Android and didn’t care about having the latest, greatest, fastest phone, Id do prepaid – either with Tmobile or one of the others.  Tmob just isn’t associated with prepaid and its hard to market it because then you cannibalize your postpaid…A customer is gonna wonder why am I paying $80 when I can get Tmobile for $50?  And the major carriers are not known for their prepaid brands.  Sprint was smart in this arena by creating brands like Boost and Virgin Mobile to handle that.  Tmob has gone a different route but they’ve also allowed resellers like Walmart and Simple Mobile to use their networks so hopefully they’re getting well compensated for that.  

          END OF DISCUSSION.  Do what you want.  I hope the information was helpful to at least one reader out there.  I know it wasn’t for you  

        • SJ

          Forget it.  We can agree on one thing; Im  going to stop posting comments because its a waste of energy and Im tired of all the negativity around here.  Im just trying to provide information for people, and I originally found this website, because as a long time Tmobile customer, I was trying to figure out a way to stay with them.

          For the record, we’re not quoting off the same prices.  Im not quoting a Sprint unlimited talk plan; Im quoting a Spring Everything 450 data plan which includes FREE MOBILE TO ANY MOBILE CALLING along with free weekends and nights after 7pm (not 9). FOR MOST (not all- but most personal users of phones), this plan will provide more than enough minutes.  Everything is free except for weekday landline calls before 7pm so to me and others Ive chatted to, this is equivalent to unlimited talk. So thats where I’m getting my numbers…also unlimited text and data (with no throttling or limits of 2gb or 5gb etc).  The ‘advertised” rate for this plan is 79.99.  If you are good at researching prices on the web or go look thru the Sprint equivalent of t his website, you will find a code you can use to lower your price to 69.99 and increase the plan to 500 daytime landline minutes.  So thats a far cry from 110.  Believe what you want to believe.  Im trying to post information for people who are interested in facts and an honest comparison.  I don’t work for TMobile, Sprint or any other cell company.  Do what you want, and what works for you.

          Some people are buying on price, others on network speed, others on a particular phone.  Whatever.  Get educated.  If I were a heavy data user, I would jump on the Sprint deal.  If I wanted Android and didn’t care about having the latest, greatest, fastest phone, Id do prepaid – either with Tmobile or one of the others.  Tmob just isn’t associated with prepaid and its hard to market it because then you cannibalize your postpaid…A customer is gonna wonder why am I paying $80 when I can get Tmobile for $50?  And the major carriers are not known for their prepaid brands.  Sprint was smart in this arena by creating brands like Boost and Virgin Mobile to handle that.  Tmob has gone a different route but they’ve also allowed resellers like Walmart and Simple Mobile to use their networks so hopefully they’re getting well compensated for that.  

          END OF DISCUSSION.  Do what you want.  I hope the information was helpful to at least one reader out there.  I know it wasn’t for you  

    • SJ

      Im not a phone expert and don’t currently have an iPhone or an Android.  I think you’re right there are many people who just hate Apple and seem to thrive on that…But I think the people who want an Android and are focused on price will go to a prepaid plan (and they are heavily advertised) where they can get unlimited everything for $50-60…and Tmobile isn’t competitive on that front.  So they lose on the high end iPhone crowd, and they also lose on the low end value crowd.  I think thats a big problem.  Im not going to pay $80 for an Android phone on Tmobile (even if it may be a little better or faster) when I can get a prepaid phone.  And more and more, the prepaid carriers are getting better quality phones.  They are not the best, but they are good enough for most people’s needs, especially in this economy.  And people on the lowest end who may not even want data are getting screwed by Tmobile too.  I know someone who has a talk only plan and wants to renew their contract and keep their talk-only grandfathered plan, and Tmobile won’t let them.  Tmobile will not offer them any thing but a smartphone for upgrade which would force them into a data plan (2x the price) which they don’t want…And their opinion is if Im going to buy a phone, Im then going to go to a prepaid plan that is going to be a lot less expensive and give me more bang for the buck.

      • CM Punk

        Please do your homework.  Currently T-MObile has both a $70 & $50 prepaid unlimited offering and looking to expand their $70 plan from 2 GB before throttling to 5 GB and add a $60 plan.  Hence the significant prepaid growth they are seeing.

        Also, their contract family plans are 99.98 + phone (so roughly 120-130 a month…Unless you pay for the phone upfront, which is what you’d do on prepaid) and that puts you right at the 50-60 front.

        There you have it, high-end & low-end are all available at roughly the same price until you start going into family plans where postpaid makes the most sense. ($35 add-ons up to 5 total lines after the first 2 (plus phone) which, on the low end androids like prepaid consumers would look at comes out to be $255 before taxes for 5 lines of unlimited everything or, $51/line)

        So, 2x the price is absolutely false.  And, on top of your clear disregard for the facts of what their plans really use, you also may want to think about hitting enter before replying with incorrect information.

        • SJ

          We were talking about Tmobile’s post-paid plans.  They haven’t really done a great job of advertising their prepaid.  People just see Android phones on Boost or MetroPCS etc for $50-55 and then go on Tmobile’s website and see plans for 79.99 for 2gb or over $100 for 10gb and make their choice — especially newcomers to smartphones.  People don’t know how much data they will use and are attached to the unlimited prepaid brands because they perceive it as value.  Just like when you go to an all you can eat buffet.  Go ask the average person.  Ive done my homework…and $100/2=50 

           Plus whether people want to acknowledge it or not, the pending merger is a psychological factor in making most people shy away from Tmobile for uncertainty.  

        • IT Guy

              You hit on a point there that I’d like to expand upon. Lately people seem to jump to unlimited plans by default. Many of them could be saving a  good chunk of change by rethinking their plans. (Not all, but some)

              I always urge people to look over their last 3 or 4 billing statements to see exactly what they’re doing on their phones and when. Do they have a lot of night and weekend calls? Those are free on most if not all plans these days. Do they make calls to other T-Mobile users or people on their family plan? There again, already free. The key is to look at calls that they’re actually being billed for. Many are suprised to see how low that number really is.

              For smartphone users, how much data are they actually using? Could they cut it down a bit by switching on wifi now and then? It’s quick and easy to do and can save a few bucks every month.

              And finally, it’s not necessarily bad to go over your allotted minutes now and then. If you’re paying $20 less every month for a limited number of minutes and you occasionally end up spending $20 on overages, you’re still coming out ahead.

        • Mastrorj

          Im one of those people. I have an unlimited plan but dont use it as much. But heres why i have it. In the past ive neglected my minutes and was terrible at monitoring the usage. I would go a few months using hundreds under my limit and then out of nowhere go a few hundred over. I also have my 20 yr old brother on the plan who i dont trust is responsible enough to watch his minutes as well. So i go unlimited bc its a good safety net for us. As far as data is concerned i thought originally that they would do it like minutes and monitoring it that way. The fact that they are cool about telling u hey ur about to go over and throttle down is nice to know and there are no overages on data, you just pay for more. Why cant they do that with minutes?? Truth of the matter is that they want u to go over if they didnt they would have an easier way or wouldnt let u go over. They could just cut u off and send u a text saying ur min for the month are used up press 1 to buy 100 min for $15 or 2 for no. But for me, its that fear of going over that keeps me at an unlimited plan.

        • Plt726

          The beauty of prepaid is that you are not attached:  simply change your plan if you determine your data usage is higher than anticipated.  I have an Android phone, and unlimited everything. My Tmobile bill is only $50 per month.  And, the android phones on MetroPCS, with the exception of the LG Optimus, aren’t worth it if they were free!

        • SJ

          Oh and as I read my post over again, my example of 2x the price is spot on for my friend who currently has a talk only plan at $35 for 1000 min and free nights/weekends.  The only phones he’s being offered for upgrade are smartphones and the cheapest plan to keep his minutes would be the Classic Unlimited with 200mb data which is $70.  Hence twice the price as there is no data plan with 1000 minutes and he doesnt want a 500 min plan because that’s his only phone and he uses more than 500 on most months.  Listen, Im not anti-Tmobile.  I want them to succeed and for there to be more competition…but people shouldn’t get so offended when people point out some of Tmobile’s problems or mistakes.

        • Plt726

          Your facts are incorrect.  My husband has the $39 plan, and he gets 1500 minutes; fine for him because he barely touches his phone.  I have a $50 plan, and I have unlimited everything.  There is a restriction on data, but that’s fine for me because my web usage is not high.  Your friend needs to check out his options more.

      • ItsMichaelNotMike

        Excellent post and spot on.

        Despite what the Punk says, what matters to consumers is perceptions, not what T-Mobile does and does not offer that’s competitive.

        And Punk’s response is similar to how T-Mobile employees post in here and there lies the problem. Instead of looking at your post as a way to determine how to fix T-Mobile (not that anyone at T-Mobile cares to do so, since morale is in the toilet) he insults and calls you a liar. (I would not be at all surprised if he works for T-Mobile).

        • SJ

          Thanks for your comments Michael.  Im so sick of the responses from these people that refuse to see past their Tmobile blinders.  Instead of berating customers, listen to their complaints and try to solve the problems.  Tmobile is not known as a prepaid brand; Boost, Virgin, Metro etc are and customers like the idea of no contract if they have to pay 199 for a phone anyway, and the unlimited 50-55 sounds a lot better than 80-100.  If you wanted unlimited data on Tmobile, you’d be paying over $100; thats why Sprint is getting a lot of free PR these days because customers who are seeking that can get it for $80.  Maybe Tmobile does have the right products and plans but they are not communicating it effectively to new or existing customers.  As an existing customer, Ive gotten nothing from them since my contract ended.  In the past, I always got letters and special offers, thanking me and encouraging me to sign a new contract.  Last month they had a big value plan sale (that their reps can’t even explain so thats a problem right there), and they didn’t send a single email or text to their customers.  I only knew about it because I read it on this blog…No offense to the blog owner, but most Tmobile customers do not read this blog.  (Maybe Tmob executives should).  So you guys can continue to be nasty to any body who posts something you don’t like  Thats not going to help Tmobile. If someone makes a mistake, then politely correct them.  Any prices Ive quoted, Ive checked on the appropriate website right before I posted.  

      • CRT24

        That is simply not accurate that T-Mobile will not let him upgrade to anything but a smart phone……anyone can upgrade to whatever phone they want and if they get a subsidized smart phones then they will be required to add data or they can go value and not have a data requirement so please don’t come on here and lie to make your case

  • Lubbalots

    Cost saving plans + magenta girl = cheap sex.  Has it worked for Tmo?  Apparently not!  So what are the execs doing wrong at Tmo?  Ask the the millions that left.  Are they doing that.  No!  They wouldn’t be where they are at know if Tmo execs ask the question “WHY ARE WE LOSING CUSTOMERS?” and acting upon the results.

    • Littlesis1774

      T-mobile probably lost more customers when the CMO said that they are not getting the iphone 5 which is iphone 4s. T-mobile decided to cover their butts by blaming Apple.

      • Ericd

          It was because of Apple, not something made up.

  • WhatsUpRob

    I think they are being overshadowed by this deal and their financial situation. T-mobile has actually decreased the price of their postpaid plans. They used to have completely unlimited everything for 79.99 (not just mobile-to-mobile like Sprint), but now  they came out with their new “Value Plans” around 2 months ago.

    The new plans are different but from what I understand you can get 1 line of unlimited everything for $70-75  if you activate a top of the line phone with your 2 year contract. If you already have a phone it is just $60/ per month/ or $100 for 2 lines.

    When they release the Galaxy S 2, I am getting 2 lines of unlimited talk, text/pics, and web for $130/per month (before taxes). The 3rd and 4th lines are only $35 so I am actually trying to find another person so I can split the bill 3 ways. That would drop my portion down to around $55/ per month. 

  • Immortaltechnique17

    I’m just fine with postpaid. I pay 87 for 5gb. Unlimited texts and minutes. I get great coverage sometimes it sucks. I’m just waiting for december when I can upgrade to the s2 for a subsidized price. Right now I have a galaxy s 4g. It works for me. but I can afford i.

  • Immortaltechnique17

    I’m just fine with postpaid. I pay 87 for 5gb. Unlimited texts and minutes. I get great coverage sometimes it sucks. I’m just waiting for december when I can upgrade to the s2 for a subsidized price. Right now I have a galaxy s 4g. It works for me. but I can afford i.

  • Gwapo

    Make it 1.999 million – minus 1..I will become a tmobile post paid customer this year!!!

  • Littlesis1774

    Sprint also has the 79.99 for 450 minutes plans which includes  text and data plus insurance for $8 will be around 80. Sprint is fine with me because all of my family and friends are on mobiles anyway. I can still get the iphone 4s

  • Plt726

    I have to admit that you are absolutely correct.  I was with VZW for many, many years, paying over $240 per month for my service and my granddaughters.  I got tired of it.  I love phones, so it was no problem to purchase a nice device outright and find a provider that I could save money with.  I put my granddaughter on Metro because all she does is texts, and I went to Tmobile.   My unlimited plan is $50 p/month; hers is $50, and I put my extra in my pocket.   I have an android phone that I love and I’m saving nearly $100 per month.  I am happy with their service, and elated that my divorce from Verizon is final! 

  • Kyle

    For me, T-Mobile is the best bang for the buck in my price range. I signed on a bit over 2 yrs ago with a corporate discount from my work. I have 450 mins (i rarely go over 100), unlimited text and data. (I have a Nexus One) Coverage in my area is really good, I have constant 3G coverage and I only ever drop in some of the innermost rooms of my university. 

    With taxes my bill comes out to ~$66 give or take a couple dollars a month. 

    Lets just say if the Samsung Nexus Prime hits T-Mobile, I’ll be staying on board for another 2 years (hoping ATT honors existing contracts). Otherwise, I’ll be jumping ship along with everyone else for the next best option. 

  • Kyle

    For me, T-Mobile is the best bang for the buck in my price range. I signed on a bit over 2 yrs ago with a corporate discount from my work. I have 450 mins (i rarely go over 100), unlimited text and data. (I have a Nexus One) Coverage in my area is really good, I have constant 3G coverage and I only ever drop in some of the innermost rooms of my university. 

    With taxes my bill comes out to ~$66 give or take a couple dollars a month. 

    Lets just say if the Samsung Nexus Prime hits T-Mobile, I’ll be staying on board for another 2 years (hoping ATT honors existing contracts). Otherwise, I’ll be jumping ship along with everyone else for the next best option. 

  • magenta no more

    After 8 years I left t-mobile

    3 “refurb” fees for phones that they wouldn’t credit even after more than enough proof that I did not have the phones and no one else was using them

    $200 in overages that were caused by software errors on a Motorola Defy. the very same defy that had to be exchanged 5 times to get one that worked.

    and $200 in long distance charges that were supposed to be waived due to international talk and text plan.

    plus $200 in overages that should have been credited due to back dating to unlimited. not only did they not credit the overages, but I lost my grandfathered voice plan and was forced to sign 2 year contract. i was okay with it due to credits, but credits were never given. and unlike activations, NO REMORSE PERIOD FOR PLAN CHANGE CONTRACTS
    so I had over $1500 in fees on top of my regular bill

    which wasn’t that cheap to begin with. $80 for base 2 lines 1500, $15 for each added line, $25 for texting, $75 for 2 unlimited data lines and 1 200 meg line, $15 extra for international talk and text on the one line. $210 pre tax.

    8 year customer, and no credits were allowed, everything was “valid” charges, talked to retention, talked to customer service, talked to financial care, no big

    I did not have $2000 to pay them, so they suspended it and said I had 30 days to pay it

    To hell with a dying company, I signed up for ATT, got 5 free androids [1 atrix, 3 thrills, and an infuse] and got the exact same service with BETTER COVERAGE and even FREE MEXICO ROAMING and FREE UNLIMITED TO ANY MOBILE for only $30 more at a “whopping” $245..and no throttling either [I don't tether]

    oh, and I can change my plan without signing a contract, I get free hotspots almost EVERYWHERE, and it knocks 10 percent off my uverse cable/net bill. And I don’t have to worry about a merger.

    8 year customer, I realized the truth, and that’s why they will lose 1-2 million customers, because the old loyal faithful people who used to bleed magenta are being scrwed day in and day out.

    • Mastrorj

      i feel ur pain, ive had many of those same experiences. not even going to get into it. But i wanted to say just be careful with ATT saying they dont throttle. when i went last week to check em out they told me for this particular plan they give u 2gb of data but they just cut u off after that…You can buy more the rep said. but they dont bump u to 3g? i asked, and he said no we just cut u off and u gotta buy more. soooo i didnt think it was cool if im in the middle of doing something and instead of just getting bumped down to 3g i would have no internet and have to call in to get more. But if u got a plan thats different i understand, just passing info onto another scared tmo customer like myself.

  • Anonymous

    This to me is like watching Nero play the fiddle as Rome is burning.  DT is clearly giving up and setting T-mobile up for failure to promote this AT&T acquisition.  Going at this pace, how much longer can t-mobile really last? would this help the AT&T acquisition go through?

    It looks to me like t-mobile is putting a front with these retail store refreshes and interesting product releases, when internally they are ready to light the wick.  I’m not sure if anyone sees it like i do here but my sympathy goes out to the employees of T-mobile because their chains are getting yanked if this is true.  This can’t be good for company morale :-(

    • Ericd

        I’ve been with T-Mobile for years, and I am perfectly happy there.  I would leave if they became part of AT&T.

      • Capricorngyrl

        I’ve only been with 2 carriers in my life; Nextel for 8 yrs and Tmo for 5yrs. I left Nextel when Sprint took over and went to Tmo. Now with Tmo possibly merging with ATT, I left and went to Sprint. I was SO very happy with Tmo but I CANNOT do ATT. Sorry magenta. If the deal doesn’t go thru, I’ll gladly come back to Tmo.

    • Ericd

        I’ve been with T-Mobile for years, and I am perfectly happy there.  I would leave if they became part of AT&T.

  • Vim

    T-Mobile’s biggest problems right now are the uncertainty and
    paralysis caused by the pending merger.  It’s pretty slick of AT&T
    to use the problems that they themselves are causing as an excuse for why the merger they want must happen.

    It’s no secret that the big telcos have armies of well paid lobbyists, “analysts”, and shills in the press corps doing their bidding.  And even beyond those who make a living parroting what the “Death Star” wants them to say, there is an even larger army of extremely sympathetic investors whose investment portfolios will be directly harmed if this deal doesn’t go through.  Therefore it shouldn’t be the least bit surprising that there’s a great deal of very well-funded push-back to get this deal through in spite of the fact that it’s bad for competition, and thus bad for the US consumer. 

  • Mft8903

    T-MOBILE SUCKS!