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Sprint Losing Fewer Contract Customers
CEO continues to insist that lower churn is the focus...
by Karl Bode Wednesday 10-Feb-2010 tags: business · wireless
Sprint issued their fourth quarter earnings this morning, which indicate that while the carrier's still bleeding customers, they're losing fewer of them per quarter. According to Sprint, the company posted a loss of $980 million, down from $1.6 billion one year ago. The company says it lost 148,000 subscribers during the quarter, down from the 545,000 that fled one quarter earlier. Much of this help came in the form of Sprint's Boost Mobile and Virgin Mobile USA prepaid services, from which Sprint gleaned 435,000 new net customers during the quarter. As of the end of last year, Sprint served 48.1 million customers. Sprint "churn" (customer defection rate) was down to 2.11 percent, from 2.16 percent one year ago and 2.17 percent in the third quarter.

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glinc

join:2009-04-07
New York, NY

amazing

Its amazing how a company can lose money for so long and keep going lol

ThrowDemsOut
If you can't convince 'em, confuse 'em
Premium
join:2002-03-03
Mullica Hill, NJ
kudos:4

1 edit

Re: amazing

said by glinc:

Its amazing how a company can lose money for so long and keep going lol
Part of that answer is "Free Cash Flow" which for Sprint is positive and improving steadily. That often shows that a company is viable despite negative Income Statements(which is more a tax thing than an ongoing business measurement). Not that positive Income statements aren't important, just that it isn't always the best measurement of ongoing viability.

Some explanations of Free Cash Flow:
»finance.yahoo.com/news/Sprint-Ne···x=0&.v=1
Free Cash Flow is the cash provided by operating activities less the cash used in investing activities other than short-term investments during the period. Free cash flow results in the change in cash, cash equivalents and short-term investments less the change in debt and proceeds from other financing activities, net. We believe that Free Cash Flow provides useful information to investors, analysts and our management about the cash generated by our core operations after interest and dividends and our ability to fund scheduled debt maturities and other financing activities, including discretionary refinancing and retirement of debt and purchase or sale of investments.
»www.investopedia.com/terms/f/fre···flow.asp
»www.schwab.com/public/schwab/res···ful.html
»en.wikipedia.org/wiki/Free_cash_flow

drew
Premium
join:2002-07-10
Port Orchard, WA
kudos:6
Reviews:
·wavebroadband

In the realm of Exclusivity

Sprint is dead last. They don't have the good, solid Android phones. They don't have the iPhone.

Sprint service is 10x that of AT&T in the area I live in, as good (if not better) in Seattle metro, etc. Ever since they really pushed the PR stuff and focus on customers, I've been *very* pleased w/Sprint.

They're playing the "come see this neat phone" game really poorly right now. Maybe they can't get a good exclusive because they are losing so many customers but are losing so many customers because they can't get a good exclusive?
--
"And Tehuno said let there be haste, not mp5, and there was haste. All creatures of the world rejoiced." -WotLK Ch. 3.3.2

Ytsejamer1

join:2008-01-18
Somersworth, NH

Re: In the realm of Exclusivity

I don't know...i've got the Hero and it's fantastic. The Pre was really easy to use, but had problems with it...more Palm's fault than Sprint's. I haven't had any trouble with the Hero and it works very very well. I've had sprint for some time now and I've never had an issue with their support on the few occasions I've had to call (I can count the number of times I've called on one hand over the last 10 years).

I looked at Verizon's plans versus Sprint and they're isn't much of a comparison. Verizon is at least $20-$30 more expensive right off the bat. Their ETFs are terrible...and their services isn't great either. I called Verizon to get some information on a phone and even when I said I wanted to sign up for service, I was still pushed through some phone option maze, and hung up on.

drew
Premium
join:2002-07-10
Port Orchard, WA
kudos:6

Re: In the realm of Exclusivity

They didn't pimp it enough. Why aren't there any ads?

whatads

@buckeyecom.net

Re: In the realm of Exclusivity

There area few ads, but they were not memorable. The latest ad I can remember has the pixi (palm), samsung moment (android), and I think the Blackberry curve (stuck on a ski lift). They advertise, just not very well.
iansltx

join:2007-02-19
Golden, CO
kudos:2
The problem is that the Hero is also available on Verizon as the Drois Eris. No wind in SPrint's sails for that one, though I'd take a Samsung Moment over the Droid due to the Droid's crappy keyboard.
Network Guy
Premium
join:2000-08-25
New York

Happy Sprint customer

Solid service here, and with work discounts it's dumb not to stick with them.

Jon1112

@sbcglobal.net

sprint

Been with Sprint non-stop since 2002. Same phone number and never had a problem minus a single billing issue once while changing a plan over the phone.
hottboiinnc
ME

join:2003-10-15
Cleveland, OH
Reviews:
·WOW Internet and..
·Time Warner Cable

$60 Unlimited BB.

Sprint's new game plan is the BB Curve on the Boost. Where are you going to pay $60 for data, unlimited voice, and unlimited text, and web for $60 per month???? Plus this phone NOW uses the CMDA network so it does HAVE 3G Data.

Great Job Sprint!
--
www.two-pugs.com www.twopugsbrand.com
PittsPgh
Premium
join:2003-08-21
Pittsburgh, PA
kudos:1

Re: $60 Unlimited BB.

said by hottboiinnc:

Sprint's new game plan is the BB Curve on the Boost. Where are you going to pay $60 for data, unlimited voice, and unlimited text, and web for $60 per month???? Plus this phone NOW uses the CMDA network so it does HAVE 3G Data.

Great Job Sprint!
You left out the unlimited Any Mobile to any mobile.
I have the $69 plan. So only land lines affect my 450 minutes talk time.
HTC Hero. Waiting fo the Android OS Update. v1.56 now
They should have did more ads for this phone. Hardly any.

Paul
Sprint since 2001 and happy with them

Geminimind
Premium
join:2003-12-20
Sacramento, CA

Re: $60 Unlimited BB.

I love sprint signed up because of the anymobile anytime and the cheap price plus employee discount have not had any problems and they are right customer service is really improved.
neftv

join:2000-10-01
Broomall, PA
Reviews:
·QuantumVoice
·SIP Global Phone
·Verizon FiOS
I been considering this $60 plan with my blackberry 8310 that I have with AT&T now. I am have the $40 450 min plan with rollover and 30 for blackberry data with tax it come to about $81. I just need a nudge by someone to actually make the change.
hottboiinnc
ME

join:2003-10-15
Cleveland, OH
Reviews:
·WOW Internet and..
·Time Warner Cable

Re: $60 Unlimited BB.

don't forget, you'll need to purchase a new BB for it to work.

But for the price, it's worth it on Boost. If you pay your monthly bill at a Wireless Toyz store you don't pay the taxes for any Boost plan. I'm not sure about any other "dealer".
--
www.two-pugs.com www.twopugsbrand.com
neftv

join:2000-10-01
Broomall, PA

Re: $60 Unlimited BB.

That's great if one has a Wireless Toyz store hop and a skip away.
The1TheOnly

join:2009-11-11
Jacksonville, FL
Reviews:
·Dish Network

I love Sprint... I hate to read this article.

I have just had Sprint for a few weeks now, but I have to say I absolutely love them! I have the Sanyo Incognito.... Good phone, but service is excellent where I live here in Jacksonville Florida... Just switched over after 3 years with AT&T and haven't even looked back...

grydlok

join:2004-01-06
Richmond, VA

Sprint Customer from 98 till last month

I just left Sprint and went on to T-mobile. I really don't understand Sprint anymore. I love the unlimited to any carrier minutes free, but I needed to customize my plan to save money and Sprint doesn't do that anymore.
skurfa

join:2006-03-10
Yorktown, VA

Bad marketing

I have the Samsung Moment (had Pre previously) and I absolutely Love this phone, but it's completely neglected as far as marketing is confirmed. Service works wherever I need it and I even have tethering at no charge by way of PDA Net. $70 bucks a month for unlimited everything can't be beat.
jandar

join:2006-01-16
Middleburg, FL

After 10 yrs with ATT, 6 months with Sprint now

I switched from ATT/Cingular/ATT to Sprint about 6 months back and Im loving it.

Sure, the coverage in my house sucks (but so does ATT/Verizon/T-Mobile, its a black hole for cell signals), but the Airave corrected that, and I got it free plus free use for 2 yrs.

Coverage at work is much better with Sprint over ATT. Hell I had an iPhone in downtown Jacksonville and was stuck on edge due to the lack of towers and bandwidth.

The Pre rocks, to me, its the iPhone done right. Gameloft is porting all of their games over to WebOS, and Palm actually supports the preware community versus shutting them down like Apple would.

Sprint might have had bad customer service, but they seem to be focusing on it big time now. They are always courteous when I call.

old_dawg
"I Know Noting..."

join:2001-09-22
Westminster, MD
Reviews:
·Comcast

keep smiling

Sprint customers will love their service even more after all network control centers end up either in Romania or New Delhi before years' end.
--
"Our network engineers are aware of the problem..."

BillRoland
Premium
join:2001-01-21
Ocala, FL
kudos:2
Reviews:
·Cox HSI

Re: keep smiling

said by old_dawg:

Sprint customers will love their service even more after all network control centers end up either in Romania or New Delhi before years' end.
Yep. In some sense Sprint itself is just a glorified MVNO now; they sold off their cell sites, just to turn around and lease them back, sold off the management of their network to Ericsson.

Its hard to really understand just how poorly this company performs in the market in which it exists. If you want to get some sense, look at their net subscriber adds over the last 5 years and compare it with the other players. Sprint is the only one who hasn't grown and can't seem to figure out how to grow. It is almost unimaginable.
--
"Don't steal. The government hates competition."
Beyond AM. Beyond FM. XM

kapil
The Kapil

join:2000-04-26
Chicago, IL

Re: keep smiling

said by BillRoland:

said by old_dawg:

Sprint customers will love their service even more after all network control centers end up either in Romania or New Delhi before years' end.
Yep. In some sense Sprint itself is just a glorified MVNO now; they sold off their cell sites, just to turn around and lease them back, sold off the management of their network to Ericsson.

Its hard to really understand just how poorly this company performs in the market in which it exists. If you want to get some sense, look at their net subscriber adds over the last 5 years and compare it with the other players. Sprint is the only one who hasn't grown and can't seem to figure out how to grow. It is almost unimaginable.
The fact that it owned towers made Sprint more unique in its industry than not. None of the carriers own their towers...they all lease space on them.

Sprint was the first to build a nationwide PCS network and had to build tower sites out of necessity....over the years it became a separate business unit within Sprint and then eventually became a distraction....so selling that business to focus on core competencies was the right move.

As far as outsourcing network operations goes, again, it's something all providers do. Ericsson does this for many other companies, all over the world, not just Sprint.

Yes, do look at subscriber numbers for Sprint. The company had been horribly mismanaged for years, especially under the last CEO. Since Dan Hesse has been in charge, the subscriber numbers have improved in every reporting period.

Every company has its problems. Sprint probably had more than most. But it is fixing them. Let's hope they do...otherwise we'll be at the mercy of the AT&T/Verizon duopoly.

--
»www.VoIPTrunk.com

amazoncurve

@verizon.net

at $40 - $60 a pop

you'd be amazed at how many customers pay for these unlimited plans and yet don't actually use enough service to justify the amount paid per month, therefore the carrier wins-- this is more the case for contract unlimited customers because they get subsidy phones and more of a selection than prepaid.
Bob61571

join:2008-08-08
Washington, IL

All Landslides

slow down and stop, eventually.

gball
Master Yoda
Premium
join:2000-11-28
South Bend, IN

I'm dying to leave AT&T

and switch to Sprint because of the lower prices and better coverage in my area but their phone selection for me sucks..

I need like a Nexus One or better to make me switch..I'm getting tired of waiting is anyone at Sprint listening??????????????
pkorx8

join:2003-06-19
San Francisco, CA
Reviews:
·Comcast
·SONIC.NET

Sprint data so much better than ATT.

I've had a chance to try out Sprint's unlimited data for the last two weeks. It is such a better experience than ATT!!
I've been with ATT for more than 6 years now.

Websites actually load properly and not freeze up. They load on average twice as fast as ATT.
For the longest time, I thought it was my old 8525 on the ATT network that caused the slow/bad internet connections. But it's not. I'm on the sprint network with the HTC mogul, which is basically a CDMA version of the 8525.
neftv

join:2000-10-01
Broomall, PA

Re: Sprint data so much better than ATT.

I am curious with windows based phones do you have to worry about viruses?

TMMerlin
The Devil made me do it

join:2003-06-19
Oxford, MI
Reviews:
·EarthLink
·AT&T U-Verse

Why pay all that money ?

So you get clobbered for thast extra $30/mo to look at a tee-nee-tii-nee screen and call it "DAA'DaaH" off the Internet ...LMAO LMAO and fork out an outrageous sum of cash for a phone, too.!!! Still LMAO at you....!

Oh ...yup ..I have a great laptop and do not become obsessed with snorkling for text msg's or squint my eyes at a web page....

BUT .. I do get to hear a human voice of my friends on a cell-call ... and chat for a few minutes ..... !

The carriers are slowly leading the population from the pasture as they are like cows with a ring in thier nose.

Oh well .. I am a spoiler with a $30/mo grandfathered package from Sprint and paythem as little as possible for a phone call when I am away from home and my AT&T VOIP service !!
--
Some people hear their own inner voices with great clearness and they live by what they hear. Such people become crazy but they become legend.

chong67

join:2001-11-18
Jonesboro, GA

Re: Why pay all that money ?

I will never go with ATT. They are so damn expensive!

I love Sprint esp. the SERO plan. I wish I can sign a 10 yr contract on it.

jhacker

join:2001-12-11
Peoria, IL

Happy With Sprint

We just switched our 4 lines to Sprint from Verizon. I'm very happy with Sprint so far. Verizon's plan to force $10 per line for a data plan pushed me over the edge!! We were customers of VZW for over 8 years. Sprint has decent coverage in our area, and will roam with Verizon where they don't have the coverage. So far in almost 2 weeks we haven't even used 100 of our 1500 anytime minutes.

Dest
Bolo
Premium
join:2000-03-21
Naperville, IL
Reviews:
·Sprint Broadband..

Re: Happy With Sprint

been long time sprint customer, recently got my family to switch over as well.

now 5 lines on the $130 any mobile family plan with text and data, 5 lines total $190 per month.

$190/5 = $38 per month per line before tax/fees
with virtually unlimited call and data/text on all line. Try that on any other carriers

o... did I mention I also have corporate discount? bring it down let see... $28.5 per line before tax/fees

ryder9

join:2003-01-09
here

Sprint

all I want is a BB storm on my Sprint. currently have a pre, and while it's very good, and its too small for a man's hands

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