http://www.littlespringsdesign.com/blog/blog/2007/10/30/mvno-failures/ designing the mobile user experience Thu, 11 Mar 2010 18:55:46 -0800 http://wordpress.org/?v=2.8.4 hourly 1 http://www.littlespringsdesign.com/blog/blog/2007/10/30/mvno-failures/comment-page-1/#comment-41705 gm Wed, 06 Aug 2008 05:49:16 +0000 http://www.littlespringsdesign.com/blog/2007/10/30/mvno-failures/#comment-41705 I belive that the key in the MVNO market is to have a large coverage area like Tracfone does and to appeal to a broad customer base. The MVNO market is a numbers game since their profit for airtime is much lower than your standard carriers. So appealing to a large audience is the key. I don't see how the niche products can compete in this arena since they naturally have a much smaller customer base. Less customers means less leverage with the major carriers which means a more expensive product. <a href="http://preprepaid.com/tracfonevscontract.php" rel="nofollow">Tracfone</a> is now at over 10 million customers and continue to add customers at a healthy pace. They continue to drive pricing down and continue to add new products and services. I belive that the key in the MVNO market is to have a large coverage area like Tracfone does and to appeal to a broad customer base. The MVNO market is a numbers game since their profit for airtime is much lower than your standard carriers. So appealing to a large audience is the key. I don’t see how the niche products can compete in this arena since they naturally have a much smaller customer base. Less customers means less leverage with the major carriers which means a more expensive product. Tracfone is now at over 10 million customers and continue to add customers at a healthy pace. They continue to drive pricing down and continue to add new products and services.

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