Tuesday, January 11, 2011

iPhone + Verizon = A Bell That Cannot Be Un-Rung

So there you have it.

I’ve been a Verizon customer for many years, mostly because of their golden-handcuff approach to incentives.  (I have come to appreciate the reliabiltiy of the network)  I’ve compared over the years and the cost of changing always outweighs the cost of staying.  Funny how that works.

But, I have to say, that I have always felt manipulated; I resent it, but that’s the way it is, right?  It’s not like we’re in Japan and we can switch out our SIM card.

Now, consumers (we) have a new way to decide: I want an iPhone and I can compare and choose which carrier to use.  Maybe even Sprint or others who also rely on CDMA.  Very interesting.

They have even added one new feature AT&T's version lacks: The built-in ability to use it as a wireless hotspot and connect up to five additional devices.  The average consumer may not be sure how they will use this, but once its in their hands they will find ways. 

But alas the old model is still there.  HUGE punishment if you want to change your mind: Existing AT&T customers who want to switch carriers will need to purchase a new device -- and they'll face early termination fees of up to $325 to break an ongoing contract.  Not that Verizon is above similar policies.

That said, I’m optimistic about the long-term implications for consumers. More and more, we will question and demand more control over these purchases and not take for granted that the hardware and the software have to go together.

Source: CNNMoney: Verizon iPhone will go on sale Feb. 10 - Jan. 11, 2011 http://bit.ly/eIWRQm

Posted via email from ConsumerX: cXChuck's Stuff

Friday, January 7, 2011

Check In Services & Real Consumer Behavior

You knew it was going to happen: the check in service that checks in to all your check in services.

On a recent RetailWire query, the question was posed about the relevancy of location based services (LBS) and their potentials.  Here are my comments.

Gowalla boasts that you'll "find inspiration to explore the world around you while picking up rewards." Similarly, Foursquare says that it's "a mobile application that makes cities easier to use and more interesting to explore. But are check-in services like these providing enough value to attract consumers?

The novelty is waning. We early adopters are playing with these things to see what the potential may be. BUT, do we represent a brand's best customers? Likely not.

The ideas these services put forth are exciting, but it is behavior that will turn into real dollars. Discounts are driving these things now, which is a step beyond the game mechanics. We have already seen discount fatigue on both sides of the offer equation (Groupon) so we will see innovation on the offer side. It's just good consumer marketing--new versions of Green Stamps and the Blue Light Special.

Shopkick's experiment with Macy's, Best Buy, Sports Authority and American Eagle makes lots of sense. Key retailers in key categories important to the lives of the masses. While it's not really consumer-centric, that's one to keep an eye on.

Facebook's combination of Deals and Places has the most potential to create real value for consumers. Facebook already is embedded in our engagement streams--the behavior exists as opposed to disrupting a visit to Target or Kroger with a cumbersome check in on an unfamiliar platform. Tap into that rich and deep stream of consumer data and craft truly relevant engagements and you got something sustainable.

Originally published on RetailWire: I'm the Mayor! So What? - Retail News.http://www.retailwire.com/discussions/sngl_discussion.cfm/14977

Posted via email from ConsumerX: cXChuck's Stuff