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Regional Carrier Cites Prestige as Reason to Offer iPhone

Thursday September 6, 2012 7:59 am PDT by Eric Slivka
GigaOM recently spoke with Pat Riordan, CEO of Wisconsin-based regional carrier Cellcom, about his company's decision to begin offering the iPhone this past April, with Riordan noting that the decision was made primarily for the prestige factor rather a specific attempt to increase the carrier's customer base. The move was essentially a defensive one given the popularity of the device with consumers who were starting to look to other carrier options before Cellcom announced the addition.
“Customers were telling us they were simply going to leave us because we didn’t have the iPhone,” Riordan said. “We know [our] sales had been falling between the end of the year and April, and we think not having the iPhone was the reason.”

Riordan doesn’t think that it will suddenly start raking in hundreds of thousands of new customers because of Apple, though it is giving Cellcom’s current customers a lot of reasons to stay: 75 percent of its iPhone sales were upgrades.

Cellcom and Riordan declined to specify exact iPhone sales numbers, which would be relatively small compared to the major carriers, but Riordan notes that simply offering the iPhone has brought more customers into the carrier's stores, even if they end up purchasing something other than the iPhone.

The report notes that Alaska Communications announced sales of 11,000 iPhones to its customer base of 120,000 people during the second quarter of this year, while fellow Alaskan carrier GCI announced sales of 9,200 iPhones out of 141,000 customers, pointing to continued significant interest in the device.

[ 35 comments ]


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greytmom
88 months ago

I don't know about you, but buying what everybody else buys is not cool, it just makes you a member of a herd of consumer cattle.


Refusing to buy what everyone buys JUST because everyone buys it is no better. Buy what works best for you.
Rating: 7 Votes
Avatar
LagunaSol
88 months ago

Vanity drives sales.


Yes, of course. iPhone buyers = vain. Buyers of plastic Android devices from Korean conglomerate refrigerator manufacturers = smart.

We get it. :rolleyes:
Rating: 6 Votes
Avatar
chrmjenkins
88 months ago

Vanity drives sales.

Nothing new here.


Or, you know, customer retention. :rolleyes:
Rating: 2 Votes
Avatar
ixodes
88 months ago
Vanity drives sales.

Nothing new here.
Rating: 2 Votes
Avatar
pk7
88 months ago

Vanity drives sales.

Nothing new here.


Or you know people buying what's cool :rolleyes:


Or, you know, customers' needs and wants :rolleyes:
Rating: 2 Votes
Avatar
slrandall
88 months ago

Yes, of course. iPhone buyers = vain. Buyers of plastic Android devices from Korean conglomerate refrigerator manufacturers = smart.

We get it. :rolleyes:


Eventually people are going to realize that value is subjective, and that just because I value an iPhone more than an Android phone doesn't make it objectively better. And what do I care which is objectively better, if that were even possible to determine? I want the phone that's best for me, not anyone else. Because I'm the one using my phone.
Rating: 1 Votes
Avatar
Radio
88 months ago

I don't know about you, but buying what everybody else buys is not cool, it just makes you a member of a herd of consumer cattle.


You just described apple customers
Rating: 1 Votes
Avatar
DeathChill
88 months ago

The scientific data you've cited: squishy?
The independent experts?

My you're easily mislead...

Certainly you are not so gullible as to believe this, or even worse, perhaps you do.


Just watch the video in that review. Squishy would be an acceptable term, I suppose.
Rating: 1 Votes
Avatar
HoopTrundler
87 months ago

Refusing to buy what everyone buys JUST because everyone buys it is no better. Buy what works best for you.


I just want to point out that your argument about individuality loses its weight when your profile picture is a sheep.
Rating: 1 Votes
Avatar
gnasher729
88 months ago

What benchmark is used to determine if phone x is better than phone y? What sort of scientific methods are used? I'm being a bit sarcastic because there isn't a benchmark, it's simply an opinion. It is my opinion that iOS devices are better, but it doesn't really matter. You think Android is better, but it doesn't really matter.


Common sense: If the "competitor" tries to copy your product, yours is better.
Rating: 1 Votes

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