How do I sell these Uncarrier plans?

[elite2291]

Before the uncarrier, I (Sales Associate) would make my money by switching people over from Classic to Value ONLY when they were 6 months away from contract end date which means no migration fees. Also our prepaid prices for phones were cheaper $270 for an LG Optimus L9 with unlimited talk +text+ truly unlimited data. Great price!!!

After the uncarrier, there are no longer contracts so we no longer get paid by switching people from Classic to Value. In addition, our prepaid prices have increased the LG Optimus L9 is now $320 with unlimited talk, text + truly unlimited data. This prices is excluding taxes so the price is pretty expensive your looking at $350.

Now the only way I can make money is by putting current prepaid customers onto postpaid by convincing them that postpaid has better service. Now this works 50% of the time because now if they have international and they call cellphones overages will occur and now there are late fees and suspension fees. To add on to this the taxes are double on postpaid instead of prepaid.

Is there any way to make this easier? I just can't find away to tell them that postpaid is better than prepaid.

 

[yfan]

Isn't uncarrier basically all prepaid? It's month to month, so what's the difference?

 

[SuperAfnan]

Isn't uncarrier basically all prepaid? It's month to month, so what's the difference?

No its not prepaid. It is very close to prepaid. It is postpaid which has benefits such as data roaming. Tethering is a bonus I think as well but I know postpaid definitely has roaming.

 

[mogelijk]

The advantages are that the postpaid phones are apparently going to be lower priced than the prepaid phones, you get the hotspot capability with postpaid, you get data roaming, you may get network priority when traffic is heavy on the network, and you get call forwarding. And then, on top of that, you can get an interest free loan to buy your phone. Oh, and then there is that people can get discounts on a postpaid plan which aren't allowed on the prepaid plans.

Even most of the fees can be spun as a positive. For example, while you have a late fee if your postpaid payment is late, the alternative on prepaid is that your service is cut off completely if your payment is late.

Seems to me there are plenty of ways to sell postpaid over prepaid, despite postpaid being a bit more expensive because of the taxes.

 

[Carolina Media]

I've already converted several customers from Classic/Legacy plans to UNCarrier plans and also have gotten some Value customers to move over as well. We get paid when they get phones and usually when they switch it's because I tell them that they can get a new phone and a cheaper rate plan at the same time. I've found that in 90% of cases, the Uncarrier plans are either cheaper or the same price as the older plans even with EIP phone payments added in. When I tell some customers how cheap these plans are they find it hard to believe it's true. The Uncarrier plans are very easy to sell because of how low the upfront cost of the devices are. That's what most people care about. How much do I have to pay to get the phone out the door today? It's easier than ever now. All you have to sell is the data.

 

[kwalla]

The whole reason I'm going to leave Verizon is that I heard about the "unplans". I've got a couple months left to go... which is annoying the heck out of me.

The hard part will be to get my to buy the 2GB data plan. I know from the Verizon manager tool that my average monthly usage is about 400MBs -- I'm a good little wifi user and, generally speaking, don't consume much media (movies) on my phone.

Given that it's an "unplan", I'm going to start out with the 500mb plan and see how often I hit the max.. and how slow the throttling is. If it bothers me, I'll just up my plan for the the next month.

The nearly impossible sale... is that I want a Nexus 4. It's $100 more from TMobile than from Play. Other than the niceties of 1) walking out of the store with the phone and 2) having a store to go to should I have a problem... I just can't justify paying a nearly 30% premium for the phone.

If I were selling the plans, I'd focus on the fact that it's a "no risk" to switch to TMobile -- if you don't like it, for whatever reason, just go to some other carrier. I'd say that TMobile believes in it's network, it's tech support, and customer service so much that it feels no need to "lock you into a contract".

The pricing speaks for itself. The risk is really in not giving TMobile a chance.

 

[Sepero]

IMO kwalla is right. think less about profiting off your current customers, they are already paying. work on stealing customers from other carriers. i'm considering switching to t-mobile near the end of the year

find your target market: people who don't want to be LOCKED in some overpaid contract (and possibly want unlimited data). Maybe people whose contract has expired already, or their contract is about to expire soon.

"become unchained with the uncarrier"

 

[lightsleeper23]

Wait, the tax is higher? How can the tax be higher for the same amount of money? Aren't taxes set by the government?.

 

[SuperAfnan]

Wait, the tax is higher? How can the tax be higher for the same amount of money? Aren't taxes set by the government?.

They can't be higher. Tax is the same rate for everything set by the state government.

 

[lightsleeper23]

Yeah of course. So I'm confused by the statement "the taxes are double on postpaid"...

 

[dontpanicbobby]

Thanks for the interesting topic and welcome to the forums elite2291.

 

[Savage Shadows]

If I were selling the plans, I'd focus on the fact that it's a "no risk" to switch to TMobile -- if you don't like it, for whatever reason, just go to some other carrier. I'd say that TMobile believes in it's network, it's tech support, and customer service so much that it feels no need to "lock you into a contract".

The pricing speaks for itself. The risk is really in not giving TMobile a chance.

IMO kwalla is right. think less about profiting off your current customers, they are already paying. work on stealing customers from other carriers. i'm considering switching to t-mobile near the end of the year

find your target market: people who don't want to be LOCKED in some overpaid contract (and possibly want unlimited data). Maybe people whose contract has expired already, or their contract is about to expire soon.

"become unchained with the uncarrier"

I agree, although there's one more note to hit while going the "not locked in a contract" route.

Even with MVNO's, many people are still choosing the big 4 (although MVNO's are still growing). But the fact is, when given the same or similar prices, plenty of people are going to go with what makes them feel more elite, and leaves out less options. Keeping up with the Jones' if you will. You could make the "don't be locked in a contract" argument, but add that you are on one of the largest and most recognized carriers, and its continuing to grow.

Make them feel like choosing TMo over an MVNO will make them better.

 

[dontpanicbobby]

Now that I know there are a couple of sales associates talking in this thread I have to ask... can I switch from a 2 year contract I restarted in January to get on an UNcarrier plan when you get the S4?

 

[mogelijk]

Wait, the tax is higher? How can the tax be higher for the same amount of money? Aren't taxes set by the government?.

The taxes are higher because there are some taxes charged for cellphone users that are charged for postpaid service that are not charged (at least to the consumer) for prepaid service.

I'm not sure why prepaid users aren't charged these extra taxes, other than perhaps that prepaid users aren't "billed" for cellphone service directly. Rather, they have an account they add money into, then the account is debited when there are charges for their cell service. Typically, the only taxes on a prepaid account are sales tax, charged to the money added to the account, and possibly a 911 fee.

 

[therealbigrich]

I am highly considering switching from Verizon to T-Mobile to give Uncarrier plan a try but like Savage Shadows said I like being apart of the elite lol. My contract with Verizon is up in may and the fact that the S4 is coming out in late April I have to figure out whats the best and going back to Verizon doesn't seem to be the best but idk

 

[Crashdamage]

Prepaid and postpaid pay the same taxes. They are included in prepaid, well, because it's *prepaid* - they have to do it that way.

Linux user #266351. Android since v1.0

 

[NeXuS4]

Wtf?! The L9 is $200 at Walmart

 

[doboy]

Prepaid and postpaid pay the same taxes. They are included in prepaid, well, because it's *prepaid* - they have to do it that way.

Linux user #266351. Android since v1.0

I'm not sure why prepaid users aren't charged these extra taxes, other than perhaps that prepaid users aren't "billed" for cellphone service directly. Rather, they have an account they add money into, then the account is debited when there are charges for their cell service. Typically, the only taxes on a prepaid account are sales tax, charged to the money added to the account, and possibly a 911 fee.

In CA you don't pay ANY taxes on the prepaid refills. At least I was told that when I had to buy from T-Mo corporate retail store. Up until then I was purchasing refills from Callingmart (tax-free, of course)

 

[Crashdamage]

In CA you don't pay ANY taxes on the prepaid refills. At least I was told that when I had to buy from T-Mo corporate retail store. Up until then I was purchasing refills from Callingmart (tax-free, of course)

Prepaid *does include taxes*. Like I said before, the taxes cannot be paid any other way on a prepaid account, that's just logical common sense. They're not just waived because it's prepaid. You just not getting a billing that breaks it down for you.

Linux user #266351. Android since v1.0

 

[doboy]

Prepaid *does include taxes*. Like I said before, the taxes cannot be paid any other way on a prepaid account, that's just logical common sense. They're not just waived because it's prepaid. You just not getting a billing that breaks it down for you.

Linux user #266351. Android since v1.0

I agree. However, I think states can still charge sales tax on it.

 

[mogelijk]

Prepaid *does include taxes*. Like I said before, the taxes cannot be paid any other way on a prepaid account, that's just logical common sense. They're not just waived because it's prepaid. You just not getting a billing that breaks it down for you.

Linux user #266351. Android since v1.0

But the point here is that with Prepaid, the taxes (other than sales tax, if applicable) are included in the plan price; with Postpaid the taxes are paid in addition to the plan price.

 

[bob60626]

I just set up automatic refill because I'd heard THAT had no taxes. $34.88. Blegh.

 

[lightsleeper23]

I see now. So in actuality these new plans are not the same price as prepaid ones. With prepaid T-Mobile I only had sales tax. $3 to $4 on $60. I just got my first bill and there is $15+ in taxes and fees. All the universal service funds and crap. Even a $1.99 charge labelled as: "use charges", under which the description says "local airtime, long distance, and international charges". Wtf? I'm already paying my phone plan bill, why do I have an extra charge just to use the service I'm paying for? Most of those charges I at least understand what they are, even though I think they're stupid, but a couple are confusing. Like also "regulatory programs fee*", of which there are two charges for $1.61 each. And "city gross receipts tax" which is $2.12.

I was going to add my gf to my plan next month, saving us $20, but if we're paying $15+ in taxes each, then its adding $30, a total $10 loss, so even that's not worth it. Looks like it's back to prepaid most likely. Thieves.

 

[Woosh]

Now that I know there are a couple of sales associates talking in this thread I have to ask... can I switch from a 2 year contract I restarted in January to get on an UNcarrier plan when you get the S4?

Well I'm no sales associate but I can answer your question. If you got a subsidy for your phone in Jan then it'll be $200 migration fee to get on the new plans.

If you didn't then its free to change over to the new plans and either way you're free to purchase the S4 once you do so.

I see now. So in actuality these new plans are not the same price as prepaid ones. With prepaid T-Mobile I only had sales tax. $3 to $4 on $60. I just got my first bill and there is $15+ in taxes and fees. All the universal service funds and crap. Even a $1.99 charge labelled as: "use charges", under which the description says "local airtime, long distance, and international charges". Wtf? I'm already paying my phone plan bill, why do I have an extra charge just to use the service I'm paying for? Most of those charges I at least understand what they are, even though I think they're stupid, but a couple are confusing. Like also "regulatory programs fee*", of which there are two charges for $1.61 each. And "city gross receipts tax" which is $2.12.

I was going to add my gf to my plan next month, saving us $20, but if we're paying $15+ in taxes each, then its adding $30, a total $10 loss, so even that's not worth it. Looks like it's back to prepaid most likely. Thieves.

Taxes are about 12% with postpaid service. If you and your GF get 2.5GB of high speed data you would be paying roughly $112 for 2 phones in comparison to $120 I believe on prepaid.

You can also get an employee discount to lessen that total. So I'd say its worth it imo.

 

[lightsleeper23]

Taxes are about 12% with postpaid service. If you and your GF get 2.5GB of high speed data you would be paying roughly $112 for 2 phones in comparison to $120 I believe on prepaid.

You can also get an employee discount to lessen that total. So I'd say its worth it imo.

Well the plans are exactly the same price on prepaid vs postpaid, but on my prepaid plan I only had like $4 in taxes on a $60 plan. This prepaid one had $15+ in taxes. But the second line is a $20 discount, so it's almost even in the end. I think I'm just gonna go ahead and stay on postpaid for the added benefits, as small as they are. The free tethering, even though it's only 500 mb, is the biggest one to me. And I can always add more for $10. I'm on the unlimited plan now, which has NO tethering option on prepaid.