News 2000
Virgin calls just got cheaper
17/05/2000
'One in five phone users planning a switch to Virgin Mobile'
- 44% cheaper across all networks*
- 48% cheaper than BT Cellnet
- 46% cheaper than Vodafone
- 43% cheaper than Orange
- 33% cheaper than One2One
Virgin Mobile, the UK's first virtual network, has slashed its phone tariff by a third.** Calls now cost only 15p a minute for the first five minutes each day and just 5p a minute after that. This means mobile customers can now make standard calls for just 5p a minute for up to 23 hours 55 minutes each day. There are no peak rates, service charges or monthly line rental fees.
Newcomer Virgin Mobile aims to attract switchers from rivals - consumers who have been paying too much for too long - and they may not even need to buy a new phone...!
BT Cellnet and Vodafone users are especially hard hit, with an average customer now paying approximately £200 a year more than a typical Virgin Mobile customer.*
In total, the sweeping change could benefit UK mobile phone users by more than £1.3 billion, if everyone switched to Virgin Mobile (Source: OFTEL market information update). The tariff becomes effective on 17 May 2000 for every single one of Virgin Mobile's existing customers as well as newcomers to the service.
The latest cost cuts will be yet another incentive for the 5.4 million - one in five - mobile phone users who've already said they are considering switching to Virgin***.
By buying a Virgin Mobile service pack for just £12.50, consumers get connection, a SIM card, internet access and £10-worth of calls. Swapping networks has never been easier.
Virgin Mobile spokesman Steven Day said: "We are in throes of a 'bring your own' mobile revolution. Thanks to the power of the SIM card it has never been easier or cheaper to switch networks. Virgin Mobile's state-of-the-art SIM card works in most modern phones, and gets access to the best-value calls in Britain.
"If you're being ripped off by the likes of BT Cellnet and Vodafone, it's time to try Virgin Mobile. Our combination of rock-bottom call charges, SIM card portability and new range of Virgin Xtras offers unbeatable value are good news for small businesses and consumers alike. Cheap calls day and night for an unbeatable £12.50. And with number portability you can even keep your phone number."
Virgin Mobile estimates that two thirds of mobile phone users are out of contract but are still needlessly paying over the odds. Overall, there are 10 million people who could switch to Virgin Mobile without having to buy a new phone.
Inertia among phone users is understandable, but it's easier to change networks than people might think. Virgin Mobile has produced a simple step-by-step guide to how to switch to Virgin Mobile (attached).
Consumers can call for a copy of The Mobile Buyer's Bible from Virgin Mobile on tel: 0845 6000 600.
* Based on a 120 minutes a month typical mobile usage, and "A Price Index for Mobile Telephony" - A report for OFTEL, prepared by NERA, 1999.
** Virgin Mobile calls are 33% cheaper for the first 10 minutes every day under the new tariff.
*** The J.D. Power and Associates 2000 U.K. Mobile Customer Satisfaction Study (May 2000). Based on interviews with 2,028 households, representing a cross section of the U.K. mobile market.
