News
Question: Where’s the catch?
10/03/2005
Answer: Easy!
10.03.05: Virgin Mobile today uncovers the catches on Stelios’ latest move – the planned launch of easyMobile. Virgin Mobile has discovered that all may not be what it seems when it comes to Stelios’ latest offering.
easyMobile is launching with a raft of claims promising the consumer: “no hidden charges” and says to customers “you pay for what you use and nothing else”.
Virgin Mobile has found that this is not the case. Buried in the small print, are several consumer gotchas to catch out the unwary
Catch No 1: easyMobile customers have a “demand”* on them to spend £5 every three months. Otherwise they are penalised with a standing charge of 75p per month even if they haven’t used any airtime or sent any texts. This is hardly paying for what you use and nothing else, as they claim in their welcome.
Catch No 2: A replacement SIM card costs £9. Many operators replace lost SIM cards free of charge.
Catch No 3: If you get fed up with easyMobile they’ll even charge you a £5 “handling fee” to leave.
Steven Day, corporate affairs director at Virgin Mobile, said: “Stelios could certainly claim an industry first for his easyMobile launch but for all the wrong reasons. Never before has a mobile phone provider made a “demand” – their words, not ours – that a customer spend £5 every three months. To claim no hidden fees on one hand, then demand a minimum spend on the other – with a possible monthly fee penalty, even when no calls are made - is hardly the hallmark of a company which is putting the consumer at the heart of its service. Cleary its easy to make bold claims; and much harder to deliver on them. Consumers beware.”
Virgin Mobile’s ‘full frills’ approach offers customers both good value calls and innovative products, coupled with unrivaled award-winning customer service, which has resulted in the rapid growth of its business, attracting more than 5 million customers in the past five years.
* easyMobile demand a minimum usage of £5 during a 3 month period. If this minimum usage is not upheld we charge a fee of 75p per month until the minimum usage demand is met.
This is calculated from the beginning of each month by looking at the usage you have had on the number in the last 3 months, if this usage is below £5 we will deduct a fee of 75p from your account.
The demand of a minimum usage is imposed to cover the expenses that easyMobile have with a number that is not or rarely used.
Source: easyMobile website, FAQs, 10.03.05.
Notes to Editors:
For further information please contact:
Virgin Mobile
Virgin Mobile Press Office: 0845 600 6272 or press.office@virginmobile.com
Steven Day 07931 777777 or steven.day@virginmobile.com
Joanne Baker: 07941 233300 or joanne.baker@virginmobile.com
Lansons Communications
Shellie Wells 0207 294 3627 or shelliew@lansons.com
Liz Willder 020 7294 3677 or lizw@lansons.com
About Virgin Mobile:
Virgin Mobile Holdings (UK) plc, the UK's largest mobile virtual network operator, is majority owned by Sir Richard Branson's Virgin Group and uses T-Mobile's network. Since its launch in November 1999, Virgin Mobile has attracted more than 5 million customers.
In the UK, Virgin Mobile phones are available direct on 0845 6000 600; on the web at www.virginmobile.com or on the High Street at approximately 5,000 outlets including Virgin Mobile Specialist Stores, Virgin Megastores, Tesco, Asda, John Lewis, Littlewoods, Argos, The Link, Dixons, Carphone Warehouse, Curry's, Comet, Phones 4 U, TOMO, Woolworths, Toys R Us and Ryman.
Virgin Mobile employs approximately 1,400 staff at three sites, Trowbridge, London and Daventry, and has an outsourced customer service centre operated by approximately 200 staff in Middlesbrough. It has been voted one of the top 50 places to work in Britain for two years running in an annual Financial Times survey.
Virgin Mobile is ranked in 72nd place in `The Sunday Times 100 Best Companies to Work For’ 2005 list.
