T-Mobile Attack Strategy

Article Summary The four main operators in the nationwide mobile phone services industry are Verizon, AT&T, Sprint, and T-Mobile. Each one of these companies has a marketing team who is working to increase revenues for their business. The best way to do this is to expand their total market share and get mobile users to transfer and use their service. The article, “T-Mobile, In ‘Disrupt-and-Attack’ Mode, Makes ‘Smart’ Move,” by Craig Galbraith describes how T-Mobile has recently made a big move by using an attack strategy on its competitors. John Legere, T-Mobile’s CEO recently made an appearance at an AT&T party and announced that T-Mobile would be offering a promotion to lure in new customers. Since most operators slap customers with an early termination fee if they want out of their contract, T-Mobile announced the plan to pay this fee for anyone who wants to break their existing contract and switch to T-Mobile. Galbraith talks about Legere as a CEO who is aggressive and someone who has “done a stellar job of shaking things up – while delivering strong marketing, sales, and operational execution as well.” (Galbraith, 2014). This plan was leaked a couple weeks before it was formally announced, but even with that being said AT&T launched their similar plan before T-Mobile. The only difference between the two plans is that AT&T is offering up to $450 versus T-Mobile who is offering $650. According to Rich Karpinski, a senior analyst at Yankee Group, the attack strategy will work better for T-Mobile. In today’s market, the number of cell phone users is increasing rapidly as children as young as 10 are purchasing phones. Mobile operators are aware of the growing market and are using strategies such as T-Mobiles’ in order to gain market share against their competitors. Galbraith does a nice job of describing T-Mobile and its marketing campaign against the leaders of the industry.

References
Galbraith, C. (2014, January). T-Mobile, in 'Disrupt-and-Attack' Mode, Makes 'Smart'
Move. Channel Partners Telecom.
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