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To: Maurice Winn who wrote (17587)10/3/2000 11:00:25 PM
From: rhkohnen  Read Replies (1) | Respond to of 29987
 
I found it interesting that the GSM price is $0.47/min, which I believe is what G* charges Voodoophone. That is a big premium (over $2.00/min) for sat service. Mind you the plan is not that unattractive to the user. Most of his calls are $.47/min. The only time that the sat is used is when nothing else works, which can be pretty important. Does not help G*, except to provide limited exposure.

The need will indicate the G* market. It is one heck of a handycap to function under, but may be doable.

PS: Nice colors on the advert.<GG>

Best Regards
Bob



To: Maurice Winn who wrote (17587)10/3/2000 11:11:15 PM
From: Geoff Goodfellow  Respond to of 29987
 
I believe the logic in higher "Mate's Rates" is that you and your existing/potential/hoped-for "Mate" will feel more "valuable" (i.e. less cheap).

Therefore, given your perceived (actual?) increased value, you will want to call each other more often and thus bring in higher revenue stream!

In fact, this maybe like the stock market operates sometimes: a lot of people will never touch a stock under $5 or that is not a "Large CAP". By raising the prices of handsets, minutes, etc. you "move it up" into the range of the "comfort level" where they can now not only "justify" buying and or using it, but actually "afford" it!

I believe the biggest marketing risk of the Mate Rate plans are from the early users who bought their sets and minute rates for less. How will these "cheap mates" feel knowing they could have held out a bit longer and enjoyed the latent benefits of being a "higher class mate" by paying more? I think they will feel mightly gypped!