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Dealers losing out to aggressive T-Mobile

Michael Garwood
August 4, 2010

Dealers are increasingly frustrated they cannot match aggressive deals being made available by T-Mobile direct
T-Mobile’s direct sales team has angered the dealer community for its aggressive offers in the market.

Ahead of sign-off of its joint venture with Orange, dealers of all networks claimed T-Mobile had become aggressive in its pursuit of new customers, and was contacting potential customers and undercutting dealers’ best offers. They claimed they could not match T-Mobile’s direct sales team without making a loss.

Dealers claim T-Mobile has become even more aggressive in recent months.

One dealer, connecting predominantly Vodafone, said he was close to completing a deal with a household brand for Vodafone before T-Mobile swooped to undercut his offer by £500 per month.

Another said last week he had just negotiated with a customer he had served for a number of years renewal of 30 numbers on Vodafone only for T-Mobile to offer, instead, free line rental, free BlackBerry handsets and free international calls for the first two years of a three-year deal.

Another remarked: “What T-Mobile is offering is ludicrous. Its offers cannot be financially viable. No independent dealer can match these deals without making a loss. Most customers heads are turned by the price ultimately, not the quality of service.”

A leading Vodafone connector said: “It’s a problem we have faced for a while now. It seems T-Mobile will do anything to get a customer, regardless of whether it actually makes any money. And who would want that business on revenue share? It takes the value out of the market.”

An Everything Everywhere spokesperson said: “All tariffs are listed in T-Mobile tariff guide. T-Mobile remains fully committed to the principle of transparency in all our business deals.”

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