Phil Hugus, Managing Director –
A recent report in CNET concludes that AT&T “wont chase customers” in light of a lull in the ongoing wireless price war. “After a particularly cutthroat holiday period,” the article states, “the carriers are raising fees and paring back on promotional offers.”
While this accurately describes the latest trends in the wireless consumer market, IT executives should take note that the enterprise space is an entirely different beast, both in terms of enterprise wireless contract renegotiation and the impact of the latest trends in enterprise BYOD programs where the wireless providers must work even harder to retain their client base, leveraging incentives where stipends will drive consumer behavior. We are seeing savvy clients signing new wireless deals and achieving 20 percent to 25+ percent price reduction results, along with significant contract term and technology benefits.
From Alsbridge’s perspective, while AT&T has become a bit more conservative in recent months following as they have stemmed the tide of net wireless unit losses to Verizon, they can still be driven to market leading pricing and contracts if properly leveraged. Verizon, meanwhile, is becoming a bit more aggressive in pursuing top-line revenues, again while properly leveraged. While we’re seeing subtle shifts in negotiating tactics, clients can still win with a leveraged approach capitalizing on the best market intelligence and negotiating tactics.
In other words, done right, it’s a buyer’s market.