New Wireless Subscribers are More Often Choosing Prepaid Plans

Tue, Apr 6, 2010

Mobile

As reported by Mobile Marketing Watch, of the 4.2 million new wireless subscribers that purchased a cell phone in Q4 of 2009, almost two-thirds – 65 percent – chose to purchase a prepaid plan.

This figure comes from a recent survey by the New Millennium Research Council, which also found that when compared to last year, prepaid service providers grew by 17% in Q4 2009 to 54.4 million subscribers, up from 46.3 million in 2008.

It’s no doubt that the economy has played some role in this jump in prepaid sales, as more users are finding the freedom from contracts and early termination fees to be a highly desirable one. All told, prepaid mobile customers now comprise 20% of the total wireless market.

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  • http://twitter.com/kimberly_gomez Kimberly Gomez

    The current economic situtation and high contract prices really make prepaid a reasonable, if not obvious choice. I was on contract for more than a decade before finally realizing I was over-paying for a phone I didn't really use as often as my contract demanded. When my company refused to deal, I paid to break the contract and switched over to Net10 prepaid on my mom's recommendation. The savings alone make Net10 worth it as their .10 a call slogan proves true – I'm saving more than $60 a month. While I did downgrade from my Smart Phone, I don't have to deal with contracts and I have the freedom to switch whenever I have the funds. The calling network is strong as any contract one and even the customer service experience, while limited, has bee better than anything I had previously. Prepaid is so the way to go if you need to save and are someone who needs a phone for service rather than status.