In my work with mobile operators around the globe, I have seen a variety of approaches to pricing service offerings. For example during my recent trip to Singapore mobile operator M1 has adjusted its data bundle for iPhone users, following the announcement of price plans by rival StarHub. Both operators announced their iPhone prices and plans on 7 December, ahead of the launch on 9 December. M1 upgraded the data bundle for the iPhone Value and iPhone Lite plans to 12 GB, in line with StarHub’s offer, up from the earlier cap of 10 GB. M1 has also capped excess data usage at SGD 30 for those plans. In competitive positioning, pricing is a fundamental lever in the operator’s marketing kit.
Ultimately the relative effective data pricing on subscriber profitability, and retention can be determined with the proper analytical designs. It is a bit puzzling why AT&T has not taken taken advantage of this to avoid their current conundrum- escpecially given many of the smart analytical people I know work there. I would be interested in thoughtful explanations of why this is so.
