While Wal-Mart selling prepaid wireless plans and phones from many different carriers, it generally only carries postpaid (contract required) plans from the largest U.S. wireless carrier, Cingular Wireless. However, Verizon Wireless is now moving in to muscle up some room at the nation's (and world's) largest retailer by announcing it will be selling its contract plans and phones in Wal-Mart stores where Verizon has licensed coverage available. (Verizon was booted out of Radio Shack last year for Cingular.)
With Wal-Mart being quite an impressive wireless retailer of late (unlike Circuit City, which exited the market recently), this is another example of high-tech being accessible at the store where you buy tires, milk, clothes and home furnishings. Verizon probably hopes to add many Wal-Mart shoppers to its ranks of wireless customers.
But can the overall customer base of Wal-Mart qualify for a postpaid, contract-required wireless plan? The press loves to classify Wal-Mart as servicing more of the lower-income citizens of the U.S., which doesn't exactly fit the profile of a contractual wireless buyer.
Wal-Mart to sell postpaid service and phones from Verizon Wireless
Posted Jun 21st 2006 9:55AM by Brian White
Filed under: Products and services, Launches, Consumer experience, Internet, Competitive strategy, Wal-Mart (WMT)
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Reader Comments (Page 1 of 1)
6-21-2006 @ 11:34AM
david 12 said...
Some of the marketing pundits as other experts are often wrong about their take on views/position. Agreed that Wmart does cater to the lower strata of socio-economic demographics. But I am sure a huge percentage of Wmart shoppers are high end, affluent shoppers who also are looking for value for everyday consummables. I think it's a strong strategy for Wmart to continue to diversify their product mix. Granted non-consummables such as clothing, household, non-food items are no doubt lower quality but the prices reflect it.
David12