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Tuesday, January 22, 2008

Sprint Cuts Jobs and Stores

Recently I wrote a post critical of Sprint's creepy TV commercial showing individuals with several "mini mes" designed to get things done. Those little helpers were due to the great resources people get from their Sprint phone. I'm beginning to feel bad for my comments, considering the news I saw regarding Sprints current circumstances.

According to Mediabistro:

Fortune is reporting that Sprint plans to cut 4,000 jobs and shut down 125 retail locations this year:

"The news keeps getting worse at Sprint. The struggling wireless telco suffered its worst quarter yet for customer defections, saying a staggering 683,000 post-paid users headed for the door in the fourth quarter. Sprint's churn, reflecting the rate of monthly subscriber loss, rose to 2.3 percent, which is more than double the rates recently posted at the fastest-growing big carrier, Verizon Wireless."
Sprint is the nation's third largest carrier, with approximately 54 million subscribers. AT&T and Verizon are neck and neck, with 66 and 64 million respectively. T-Mobile brings up the rear (of the four major carriers) with 28 million customers.

I doubt seriously that the "creepy ad" I referred to in a recent post played any role. But I'm also sure that their weak campaigns have done little in winning the defections war. Of the big four, I think Verizon has the most effective commercials and the only theme that is memorable. With their long term use of "can you hear me now?," we know exactly what they are talking about and the message resonates. Yet they have been clever enough to tie it to different themes to prevent us getting bored.

I know that personal stories are less than reliable, but there seemed to be a time when virtually everyone I knew used Sprint. Those days seems to be long gone.

Kevin Price is Host of the Houston Business Show (M-F at 11 AM on CNN 650) and Publisher of the Houston Business Review. Hear the show live and online at HoustonBusinessShow.com. Visit the archive of past shows here.

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4 Comments:

Anonymous Anonymous said...

You must be one of the horse men of the apocalypse!

11:16 PM  
Anonymous News Fiend said...

I wasn't familiar with Mediabistro until I read your site. It is a great resource.

11:26 PM  
Anonymous Anyone But McCain said...

Sprint -- and everyone else -- will cut more jobs if McCain is elected.

7:58 PM  
Anonymous Anonymous said...

They should fire the guys who do their commercials.

7:20 PM  

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