Boost Mobile jumps on the test drive bandwagon
Dish Networks’ prepaid MVNO service Boost Mobile has joined rivals to offer prospect customers the ability to try the network and service free of charge for fourteen days. The MVNO offers prospects a free SIM kit (a $9.99 value – in stores or via mail), which allows them to activate and try Boost’s unlimited talk, text and 5G data plan (throttled after 30 GB of usage) on their unlocked smartphones. Incidentally, there is no mention of eSIM activations as part of the promotion, but Boost Mobile provisions eSIM activations for iPhones, thus users of iPhones with eSIM feature should theoretically be able to join the test drive without the need of a physical SIM card.
The NPD Take:
- eSIM-based activations continue to increase in popularity as the latest iPhone 14 series’ eSIM-only activation model has driven carriers to accelerate the provisioning of the service. Today, many of the new mid-tier and upper segment phones support eSIM-based dual SIMs, and according to the latest NPD Connected Intelligence Mobile Connectivity survey, 41% of smartphone owners are aware of the eSIM activation process.
- Boost Mobile joins Visible, Mint Mobile, T-Mobile, Cricket and most recently Verizon, to launch a network test-drive initiative. As unlocked phones get more popular, we should expect to see more carriers joining the push to market eSIM-based free trial services. According to the same survey, 53% of smartphone owners are very or extremely interested in free trial offers from other services providers.
Verizon sweetens the FWA deal
Verizon has begun offering new perks to customers who sign up for its 5G Home Internet Plus FWA (fixed wireless access) service. Verizon’s 5G Home Internet plans regularly start at $50/month, but wireless customers can bundle it for $25/month. The carrier’s 5G Home Internet Plus, on the other hand, is priced at $35/month (for bundle wireless customers) and offers the same speed and capacity but comes with access to Verizon’s cloud service for file backups. Verizon is now offering these higher tier customers a $200 gift card from food delivery services Grubhub or DoorDash, or a $300 discount on the Bang-Olufsen-made Verizon Stream TV Soundbar (MSRP: $399) or Verizon Stream TV Soundbar Pro (MSRP: $999) devices. Notably, both 5G Home Internet plans now come with a 10-year price guarantee versus the 2-Year and 3-Year price guarantees offered with the 5G Home Internet and 5G Home Internet Plus plans, respectively.
The NPD Take:
- The new rewards, especially the $200 gift card offer on select food delivery platforms, should appeal to many Verizon customers who are considering switching from cable to Verizon’s FWA service. However, the entry level $25/month plan is still a better deal now that both plans come with a 10-year price protection and that the cloud service remains the only ongoing differentiator between the two plans.
- Verizon ended Q3 2022 with 1.1 million FWA customers versus rival T-Mobile, which had 2.1 million customers at the end of the quarter. Verizon’s aggressive bundle pricing ($25/month vs. $30/month at T-Mobile) for FWA customers coupled by the long-term price guarantee protection will help the carrier attract many more cable customers in the coming quarters. This will especially be the case if the economic headwinds continue to put pressure on households’ financial wellbeing and forcing them seek cost savings on all fronts. According to the NPD Connected Intelligence Mobility survey, 41% of Verizon customers are very or extremely interested in switching to a FWA Home Internet service.