Monday, May 21, 2012

Wireless Churn: Most Mobile Companies Lose 100% of their Customers Every 3 Years

With just a few exceptions (AT&T, Verizon Wireless and US Cellular), most mobile service providers lose enough customers each month that they must replace the equivalent of 100 percent of their customer bases at least every three years.

That also explains why mobile service providers spend so much money on advertising. Two-year contracts and family plans partly explain why some of the service providers are doing better on the churn front. Device selection also helps. 

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