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A few tips for choosing a mobile phone plan
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A friend sent me this question:
My cell phone is really old, and I keep going over my minutes. I want to get a new phone, but I don’t want to commit myself to a two-year contract without some advice. I hate researching gadgets. Do you have any advice?
The mobile phone market includes the phone, and the phone plan. Depending on the phone, there are different service providers to choose from. Also, different telecommunication companies offer different plans for the same phone. Sometimes you can get a phone for free.
When you’re looking at phones, ask yourself what features and functionality you need. Do you really want GPS? Do you want touch screen? Do you want to take pictures? Do you want voice activation? You can even use voice activation to call your favorite contacts, without dialing their number. Keep in mind that different plans may charge you for internet surfing, texting, or call roaming. Some people may say, “I don’t really need all that. I just need calling minutes.”
Probably the best way to wade through all these variables is to decide based on a budget. Are you willing to budget about $60 a month for a calling plan? Once you know your bottom line, you can decide on what features you want. This may mean getting a phone that’s a few years old, or not including features such as a camera and a touch screen.
Committing to a two-year plan is pretty standard for all providers – there’s really no way around it if you want a discount. If you make only a limited set of calls, a pre-pay plan may work for you. I tried that for awhile, and whenever I went over the minutes, I got burned. I ended up saying, “Am I going to police this thing all the time, or move to an unlimited call plan and pay a fixed fee.”
For urban phone users, there may be special offers. Here in DC there is a new provider called Cricket – a newcomer in the mobile phone service. (Find them at www.mycricket.com). They have an aggressive market penetration effort taking place. Have you seen their signs on buses, and new sales offices popping up throughout the area? Switching to Cricket can pretty much take 10% to 15% off most people’s bills. They also have other offers targeted to the urban user. For example, through Cricket you can get a Samsung R211 phone for free (with a mail-in rebate), and get a calling plan for as low as $35 a month. They are introducing the Motorola VE465 for as low as $179.99.
You’re always going to be offered discounted plans as telecommunication companies try to build up their market share. There are some risks, such as short business longevity. You may find yourself switching carriers, but fortunately many carriers now allow you to transfer your numbers between carriers.
You can’t beat Verizon for accessibility, because they’re everywhere. It’s the only signal you can get in the Metro Rail here in DC. At the same, this everywhere presence reportedly has caused an alarming number of customer services challenges. That may be a side effect of being big. But if I was the biggest in the forest, I would leverage my size, also.
Make sure you check all the service providers’ promotional packages, including AT &T, Sprint, and T-Mobile, to make sure you get the best offer for your needs. If you don’t ride the subway, Verizon’s subway accessibility is not as important. If you’re seeking a global presence, AT&T may be the best option. If you’re looking for a 4G phone with WiMAX service, just follow the campaign by Sprint CEO Dan Hesse. WiMAX is supposed to be the best wireless connectivity now. The idea behind WiMAX is you can get a wireless signal anywhere.
Please share your comments, including suggestions on reviewing other service providers. For more information, send me an email at Patrick@metamorfs.com.
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