CABLEFAX CABLEFAX MAGAZINE CABLEFAX DAILY CABLEFAX TECH
   
Broadcast  |  DBS  |  Overbuilders  |  Telcos  |  Web  |  Wireless
SMART VIEW: VIDEO | VOICE | DATA | WIRELESS | MOST READ
SEARCH: Advanced Search

November 7, 2012

Low-Cost Broadband—Ideas from Boost Mobile


Pre-paid unit Boost Mobile serves the cash-stretched market


Low-cost broadband, potentially a huge market for cable ISPs, is still an underserved market that many providers don’t fully understand. Comcast, Cox and other cable ops are offering programs that target low-income families with school-age children, offering a combo of discounted broadband service, low-cost computers and free training programs. Others, including AT&T, are partnering with nonprofits to provide affordable options. But are other opportunities being ignored?
 
CableFAX chatted with Boost Mobile vp Andre Smith at CTAM Summit last month to get some ideas on how to serve the cash-stretched market. He was on a panel at the conference focusing on low-income households. Boost is Sprint Nextel’s prepaid unit and offers low-cost wireless and mobile broadband services.
 
The reality is customers in the low-cost broadband market don’t have a lot of money, Smith said. For example, they see a credit check and they might run away. That means providers need to have a simple and easy sign-up process at stores. “You’ve got to realize it’s cash-based customers” and many of them think about near-term finances.
 
One strategy to drive loyalty is to reward customers every time they pay their bills on time, Smith said. Boost Mobile has a “Shrinking Payments” mechanism: for every 6 on-time payments, Boost will lower the monthly payment by $5. Payments don’t have to be consecutive so if customers miss a payment they don’t have to start over. The on-time payments made to the account will still be credited towards the next savings milestone. 
 
Smith mentioned during the panel discussion that local retailers, which process the initial sale and monthly replenishments, are hugely important to Boost Mobile. Specifically, he told us the monthly replenishment piece is probably something cable companies can leverage if cable becomes more plug-and-play.  Having an easy-to-use, un-subsidized product plays an important role in creating customer “stickiness.” “You want some skin in the game.” 






Comments (1) for "Low-Cost Broadband—Ideas from Boost Mobile"
1.
THis is a huge win for underprivileged families. There are already some smalle companies providing access to discount cable and internet services - http://lowincomeinternet.com and http://lowincomecable.com
Posted by Anthony K on Thursday, November 29, 2012 @ 12:15 PM

Add a Comment

Name:
Email:
Comments:

Please enter the letters or numbers you see in the image.
 
   Your message will be reviewed before it is posted

 



  E-LETTERS
Sign-Up Today!

CableFAX Daily
What the industry reads first!

The Skinny from CableFAX
Cable news in a quick-read format


CableFAX TECH
For the latest in broadband news 



  MAGAZINES
Subscribe Today!

CableFAX Magazine


  WEB SITES

CableFAX.com

CableFAX TECH

Cable360.net
INSIDE
CABLE360.NET:
Business
Programming
Technology
Competition
Calendar
Resources

AWARDS, E-NEWSLETTERS, EVENTS & SPECIAL ISSUES
Award Programs
E-Newaletter & Subscriptions
Events
Webinar From CableFAX
Webinars From Communications Technology
CableFAX: The Magazine
Special Issues from Communications Technology

INDUSTRY JOBS & OPENINGS:

Manufacturing Assembler (1771_1887137)
Assembly Solutions

El Paso (525_0000915390-02)
Texas Area Jobs

Assembler Production (1681_619913)
I2 Systems

Cable Box Collectors (1638_001177780805)
not Listed

Voice Transport Engineer
Mediacom Communications Corporation

 

PUBLICATIONS AND RESOURCES
CableFAX Daily

CableFAX.com

Communications Technology

CableFAX: The Magazine
  Home | Business | Programming | Technology | Competition | Minisites | Webinars | Calendar | Jobs | Resources
Subscribe | Contact | About Us | Privacy & Terms | Advertising | Site Map
CABLE360 © 2014 Access Intelligence LLC. All Rights Reserved.