News 1999
Branson Challenges Dunstone: Do The Decent Thing
13/11/1999
When Virgin Mobile is cheapest - recommend it to your customers
Richard Branson has challenged Charles Dunstone and Carphone Warehouse to recommend a Virgin Mobile phone when it would be in the consumers' best interest.
The challenge comes in response to a recent statement from Carphone Warehouse claiming that: "each customer has to have access to all networks.… to help them find the best possible choice to meet their individual needs." It is a business that has made great play of independence and impartial advice.
Yet Virgin Mobile phones are not sold in Carphone Warehouse simply because it is an organisation which survives on commission. Virgin Mobile will not pay commission to middlemen - questioning Carphone Warehouse's claim to be able to offer all the phones, all the networks.
Richard Branson says that if Carphone Warehouse fails to recommend Virgin Mobile when offers a better deal, (which is in most cases), Carphone Warehouse would be a breach of public trust. It would also demonstrate that Carphone Warehouse only represents the commercial interests of the existing four operators - and not consumers.
Figures based on an official report prepared by National Economic Research Associates for OFTEL, the telephone industry's regulator, this autumn, clearly show that Virgin Mobile is by far the cheapest for the majority of mobile users. The data is based on real official call patterns - not Virgin's - and compares a number of popular tariffs against Virgin Mobile's one single, flexible tariff. They also show a broad range of minutes-per-month demonstrating how Virgin Mobile represents good value, however much people spend on the phone. This reflects the reality of how people use a phone.
In nearly all cases the charts demonstrate that Virgin Mobile has the cheapest service on the market.
But Virgin Mobile is not just about statistics and cost comparisons. Virgin Mobile is about simplicity. Our tariff, which costs 15p a minute for the first 10 minutes of each day, 10p for the next ten minutes each day and 5p a minute for every minute in the day after that, is easy to understand and offers on-going value.
Richard Branson, chairman of Virgin Mobile said: "You can work out how much Virgin Mobile's calls will cost you in a matter of seconds. Try that with the competition - you can't. There's too much small print and too many catches. And it's precisely because of this industry-led confusion that companies like Carphone Warehouse survive. No confusion - no need for middlemen - hence our direct approach. If Charles Dunstone refuses to send customers to our Virgin Megastores and Our Price shops when are phones are the best value he can no longer claim to be impartial. These figures prove which service offers the best deal - even Charles Dunstone will be able to see that."
Virgin Mobile offers a no-catch service. If you don't use the phone - you don't get charged. You only pay for the calls you make.
There are no peak rates and it's possible to make calls at 5p a minute for up to 23 hours 40 minutes each day.
There are no ongoing daily charges, no service charges, no monthly line rentals - no recurring charges of any kind and we don't discriminate against those who choose to pay for calls in advance.
Plus you can use the Virgin Mobile phone to get 10 per cent discounts on travel, holidays and music - potentially saving hundreds of pounds a year.
No other network gives its customers so much access to money-saving deals. Anyone buying a Virgin Mobile and a holiday could more than cover the cost of their annual call bill by buying on their mobile.
