Friday, March 10, 2006

Wal-Mart to sell Verizon prepaid wireless

United Press International reports that Verizon Wireless' "INpulse pay-as-you-go service is now available at all U.S. Wal-Mart stores." According to the article, "though INpulse is prepaid, it is designed to function like a standard contract offering, allowing customers unlimited mobile-to-mobile calling for $0.99 per day."

Julie Ask at JupiterResearch noted that network operators "use prepaid service options as a way to reach out and offer more options to consumers." She said, "New customer acquisition is very hard. The market is already at between 60 and 70 percent penetration. A lot of the customers are folks who are too young or can't make the monthly commitment."

Ask added, "They'd rather have more people signing on to two-year deals. Prepaid is a way of introducing offers to a younger audience. We'll see more marketing options through distribution points. The more options they give customers, the more folks we will see signed up, and that's a good thing for Verizon."