Friday, March 6, 2015

T-Mobile and Verizon Wireless Lead US Carriers in Consumer Value

Tarifica has announced the latest Tarifica Score measure of consumer value for postpaid mobile plans in the United States. Tarifica applies its Top Value Plandesignation to the highest scoring plan in each of 20 market segments which consist of four types of plans: individual/family and with/without phone.
T-Mobile had three of the four highest scoring plans in the market. “The only strike against T-Mobile is its relatively weak coverage but this was more than offset by its many strengths such as aggressive pricing, discounted line fees for multiple users, relatively fast download speeds, generous data allotments and bonus inclusions such as data stash, unlimited streaming music and free roaming, said Tarifica analyst Jamie Davella. T-Mobile would have likely won more than five price segments but it did not have plans in many of the higher priced categories.
Although Verizon Wireless’ top plans did not rank as highly as T-Mobile’s, the carrier’s offers were impressive, receiving nine Top Value Plan designations, including 70% of the designations for individual plans. “Verizon offers high customer value plans across the vast majority of price points. Verizon’s success was driven by the strength of its network. The carrier’s reliable coverage and fast average download speeds were enough to more than outweigh its relatively high prices,continued Davella.
AT&T ranked third with four Top Value Plan designations. The carrier struggled to compete against the aggressive pricing of Sprint and T-Mobile in the lower cost segments and was slightly behind Verizon on coverage and download speed which hurt its higher end plans. Sprint finished last, winning only two Top Value Plan designations as it had the lowest ratings for both download speed and network coverage. These limitations were too much to overcome for even some of its most aggressively priced plans.
The Tarifica Score is an advanced algorithm used to evaluate mobile plans based on the value they offer consumers. It incorporates every aspect of each mobile plan (including usage allotments, geographic coverage, data speeds and additional features) and weighs them against each plan’s total costs to determine its relative consumer value.
“In today’s mobile marketplace, consumers are flooded with hundreds of plan variations and constantly shifting promotions and deals—the majority of which come with different costs and services, and access networks of differing strengths. Operators can use Tarifica Scores to help consumers cut through the clutter and identify those plans in every market segment that offer the best value for the money,” stated Tarifica Program Manager, Will Watts.
Tarifica Scores were calculated for all the published plans offered by Verizon Wireless, AT&T, Sprint and T-Mobile. ‘With phone’ plans were scored with the iPhone 6. Scoring is based on the total cost of service and device, incorporating all upfront and recurring charges. Shared plan scores were based on four users per plan.

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