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Technology Stocks : CDMA, Qualcomm, [Hong Kong, Korea, LA] THE MARKET TEST!
QCOM 175.08+0.2%2:12 PM EST

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To: Harvey Rosenkrantz who wrote (1290)12/14/1996 4:01:00 PM
From: JGoren   of 1819
 
I have been watching the Prime Co. roll out here in Dallas with interest, from a "consumer's" perspective. Until a couple of days ago, I did not notice anything in the newspaper advertisements about "digital." Last Sunday I did notice the word "digital" appeared as a heading in one part of an ad. Although the ads do set forth advantages of Prime Co's service, it seems to me that it would have pushed digital more in the ads: "The Digital Revolution Is Here!" As a result, at least so far, it does not seem--at least on the surface from the newspaper ads--that Prime Co. is distinguishing itself sufficiently from its competitors to get customers in the door. Are any of you in the other roll-out cities experiencing the same thing? What is happening in your cities?

Today (Saturday) about noon, I happened to be at a strip shopping area near a high-income area in Dallas (where it would seem the initial interest in digital cellular would be the highest). As I was leaving another store I saw a Prime Co. store front (newly opened) and went in to check it out, actually see the phone, etc. The phone is offered at $199, with two pricing plans, as best I remember: $27/mo, $0.27 per minute; and $45/mo with 100 free minutes, then $0.20/minute. They are offering free caller ID ($5/mo.) if you sign up before year end.

The store displays did a much better job of touting the advantages of digital. They must have had about 6 sales persons standing around doing nothing. I was the only potential customer in the store; this really surprised me. Granted Christmas shopping is the focus today, but I would have expected more people in the store even if to purchase phones and service as Christmas presents. I will go by there again at some other time of the day just to try to get a better handle on the retail side as the lack of customers may have been a fluke.

It would be interesting to know if others have gone by the retail operations and what your impressions are.
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