Holiday Season Special: Mobilicity Offering Half-Price Rate Plans!

by Gaurav Kheterpal on November 17, 2011

The holiday season is the best time to get great deals. Earlier this week, Mobilicity set the tone for the upcoming holiday season by announcing that it will offer half-price rate plans for a limited time. Interestingly, Mobilicity already has a couple of ongoing promotional plans including a $40 “Happier Holiday Plan” and $25 all-in data plan.

The Canadian discount mobile carrier says that this is going to be the ‘most competitive holiday season we’ve ever seen’. Whether it’s heading for a pricing war against the ‘Big Three’ Canadian carriers or is this a routine PR exercise to gain early momentum ahead of the holiday season, we’ll get to know soon.

Mobilicity says it plans to halve the C$10 unlimited data and C$5 consumer BlackBerry plans. Despite Research In Motion’s fast fading fortunes, the carrier claims to be selling good volumes of BlackBerry Curve smartphones every day for an upfront cost of C$469 which includes a year of service. And that’s not all, other plans including the $25 talk and text plan and the monthly plans for $35, $45 and $55 will see a half-price deduction as well.

In the past, Mobilicity has played the low-price card with reasonable success. Back in July, the carrier slashed its U. S. data roaming rates by 70 percent causing a ripple effect as Telus lowered its roaming charges and Rogers offered what it considers to be “options to help customers manage their roaming fees.”

IMO, Mobilicity is a classic example of how an effective retail distribution strategy can work wonders in the wireless segment. Last year, it signed up a deal with 7-Eleven convenient stores to sell its phones at select locations in Toronto, Vancouver and Edmonton. In August, Mobilicity stepped up the ante by announcing a distribution agreement with Walmart Canada which would see the firm`s wireless phones and airtime bundles sold in approximately 50 Walmart stores across Toronto, Ottawa, Calgary, Edmonton and Vancouver.

Mobilicity currently offers services in Toronto, Ottawa, Vancouver, Edmonton and Calgary. Though the company didn’t reveal any figures related to its subscriber base, Mobilicity Chief Executive Dave Dobbin believes Mobilicity is “doing really, really well” and he’s happy with the progress.

A rival new entrant, Globalive’s Wind Mobile, is widely regarded as Mobilicity’s closest competitor. In contrast to Mobilicity’s no-contract strategy, Wind follows a more conventional approach where it subsidizes the cost of a phone to customers willing to pay higher costs over a period of time. Both carriers tasted reasonable success with their respective strategies and though some customers prefer one to the other, it would be hard to pick a winner.

None the less, if you plan to switch carriers, now’s a good time as ever to be a Mobilicity customer.

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Written by: Gaurav Kheterpal. Follow TheTelecomBlog.comby:RSS,TwitterFacebook, or YouTube.

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