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sarahthomas1011
sarahthomas1011
8/14/2014 | 2:59:23 PM
time for pricing AND network improvements
It's good to see Claure acknowledging the need for price drops right away. Hesse always said they couldn't do much with pricing and promotions until they fixed the network, which is true in part, but it really can't afford to wait to change up its pricing. It's a vicious cyle.  
jabailo
jabailo
8/14/2014 | 3:18:11 PM
Re: time for pricing AND network improvements
It's hard to know what a good/bad network is defined as today.

Do customers only want 1Gbps speeds?   You might ask...why, since an HD video stream, the highest use, only needs 2Mbps.

Is it reliability.  Wow...maybe two decades ago that was an issue, but I think the total number of minutes my Internet (Clear) or phone (Virgin/Sprint) were offline during the last ten years of use would be miniscule.

So, in a way, I agree with him!  I've made the same argument for devices.  People don't want pricey hierloom tablets...they want cheap, workable, but nearly disposable ones.

For my network, I think that if I can get 10 or 20Mbps reliably, most of the time, with no bandwidth throttling (EVER!) and pay a fraction of the 1Gbps, then I'm going with a Sprint-style plan.

 
sarahthomas1011
sarahthomas1011
8/14/2014 | 3:21:01 PM
Re: time for pricing AND network improvements
I think it's more about speed and reliability for Sprint. Drops and blocks on its network are still a big deal. Sprint's network is awesome in some pockets, but that's still the exception, not the rule.

Claure also said Sprint would work on in-venue coverage as one Sprint employee pointed out he can't get any service at Sporting KC, Sprint's hometown soccer stadium, while all the other operators work well. 
KBode
KBode
8/14/2014 | 3:23:40 PM
Re: time for pricing AND network improvements
"Hesse always said they couldn't do much with pricing and promotions until they fixed the network, which is true in part, but it really can't afford to wait to change up its pricing. It's a vicious cyle."

Seems to be working for T-Mobile to approach the battle from the price disruption perspective first, yes? Some blunt and promising talk from the new Sprint CEO. That's refreshing to see.
sarahthomas1011
sarahthomas1011
8/14/2014 | 3:30:18 PM
Re: time for pricing AND network improvements
Yeah, very good point. I've heard a lot of people say they'd love to switch to T-Mobile because of the pricing, but the network is crap in their area. For a lot of people though, pricing was compelling enough to switch.

It was interesting, too, that Claure acted like he couldn't care less about T-Mobile. Sprint's threat is entirely AT&T and Verizon. He commended their uncarrier moves, but isn't too worried about it overtaking Sprint's #3 slot.
PRB25
PRB25
8/14/2014 | 7:40:40 PM
Competitive advantage - Low price for Service
Claure and Son are finally moving Sprint in the right direction. Sprint has been horribly behind with adding customers. Lowering prices is the only thing left to do right now to compete. Sprint doesn't have the greatest network around, but it works. Now with Softbank and Claure driving Sprint, I really hope they can finally bring a faster and larger network. A network that can compete with Verizon and ATT. I agree with Sprint's confusing pricing plans should be the first to correct. Shaking my head since day one when they started the "framily" plan. Another one of Hesse's old marketing gimmicks. Hopefully now that Hesse is out, Claure can start to clean house, lower costs, build a better network and follow through on his steps to get Sprint in the right direction. Long run, I am optimistic for Sprint and the entire wireless industry.
KBode
KBode
8/15/2014 | 7:46:15 AM
Re: time for pricing AND network improvements
T-Mobile has lead the industry in adds the last few quarters, yes? People respond to pricing. I've yet to switch personally because I travel so much and yeah -- I've found T-Mobile and Sprint both very quickly get flaky on coverage when you're out and about in the American wilds.

Also, and I'm not sure because I don't remember the stats, but didn't T-Mobile overtake Sprint as the #3 recently (I suppose I should go Google the numbers)...

Anyway, I'm all for more competition. Think it's great we'll continue to see four distinct carriers.
mendyk
mendyk
8/15/2014 | 9:36:21 AM
Easy as 1-2-whatever
Cutting prices is the quickest and easiest thing any company can do, which puts it at the top of the to-do list. How you get to network improvements on lower margins while keeping chronically dyspeptic shareholders happy is not so easy. And doing that while lowering opex is taking things up a few notches. So all this sounds appropriately inspirational (although I don't get the David Beckham as your reward thing at all), and a lot harder once Task 1 is accomplished.
DOShea
DOShea
8/15/2014 | 10:21:34 AM
Re: Easy as 1-2-whatever
Maybe Claure doesn't want to talk too much about T-Mobile because he's so obviously copying the T-Mobile blueprint.
smkinoshita
smkinoshita
8/15/2014 | 11:13:40 AM
Re: time for pricing AND network improvements
I'm all for more competition too.  Sprint Canada was eaten up by Rogers I believe. Besides the big two, I think Canadians maybe have...  2-3 other possible carriers.  Canadians know the 'less competition blues'.  I wish Sprint good luck.

I will say that I wish their plan was a whole lot less generic.  "Reduce price, improve service, reduce costs" are the kind of basics  from the classroom, aren't they?
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