Who can take Virgin

In the battle for customers, wireless service providers have a new heavy-weight contender to deal with: Virgin Mobile Canada. Here’s what we think will happen as Bell Mobility, Telus Mobility and Rogers Wireless step into the ring to spar with Sir Richard Branson’s million-dollar baby.

Virgin versus Bell: draw

Bell is the mobile catchall, its tendrils stretching into many urban and rural areas, providing solid coverage and signal quality. But Bell is something of a commitment hog with contracts stretching as long as three years. Contract-phobic customers could defect to Virgin, which shares Bell’s robust network. Of course, Bell also owns part of Virgin in this country, so any improvement in the joint venture’s prospects is good for Bell. Bell’s customer list might be a bit shorter at the end of the bout with Virgin, but the fix is in either way.

Virgin versus Telus Mobility: fight called off

The western defender is safe from Virgin, and Virgin is safe from Telus. Telus aims for exclusive clientele, people willing to pay a premium and sign long contracts (three years) for strong signals and high-end handsets. The tactic seems to be working, as Telus touts a low customer churn rate. Virgin’s target audience is less affluent, less likely to commit to a carrier, and more contract phobic than is Telus’ aimed user base. These two service providers won’t even touch gloves.

Virgin versus Rogers: Virgin over Rogers, technical knockout

When Rogers bought Microcell Telecommunications Inc. (“Fido”) last year, common wisdom said the firm was beefing up its portfolio to battle Virgin. Fido and Virgin go for the same kind of customer: young; urban; hates contracts; price sensitive. Fido had a strong right hook in its CityFido plan, a landline replacement product for $45 a month offering unlimited local calls. But Rogers euthanized that puppy earlier this year, taking unlimited local service off the offering. So much for the right hook. Now Fido is more of a sitting duck and less of a territory-defending pit bull. One swift marketing thwack from Virgin and this dog is going down.

Would you recommend this article?


Thanks for taking the time to let us know what you think of this article!
We'd love to hear your opinion about this or any other story you read in our publication.

Jim Love, Chief Content Officer, IT World Canada

Featured Download

IT World Canada Staff
IT World Canada Staffhttp://www.itworldcanada.com/
The online resource for Canadian Information Technology professionals.

Featured Articles

Cybersecurity in 2024: Priorities and challenges for Canadian organizations 

By Derek Manky As predictions for 2024 point to the continued expansion...

Survey shows generative AI is a top priority for Canadian corporate leaders.

Leaders are devoting significant budget to generative AI for 2024 Canadian corporate...

Related Tech News

Tech Jobs

Our experienced team of journalists and bloggers bring you engaging in-depth interviews, videos and content targeted to IT professionals and line-of-business executives.

Tech Companies Hiring Right Now