WESTLAKE VILLAGE, Calif.-Although carriers continue to lower the price of new mobile phones in an effort to attract more customers, wireless subscribers are waiting longer to replace their current mobile phones, according to a new study from J.D. Power and Associates.
In the firm’s “U.S. Wireless Mobile Phone Evaluation Study,” current wireless subscribers are waiting 18 months to replace their handsets, compared with 16 months in 2000. At the same time, the average price for a new mobile phone has dropped from $100 in 1999 to $75 in 2002.
“It’s clear that wireless service carriers are using mobile phones as an enticement to increase consumer traffic by applying discounts either through rebates or free limited-time offers,” said Kirk Parsons, senior director of wireless services at J.D. Power and Associates. “The problem with this strategy is that in most cases, the handset being offered for discount are older models, which typically do not have the latest technological advancements or design features.”
The study also found mobile phone maker Sanyo was the top in overall customer satisfaction, followed by Motorola and Samsung in a tie, followed by Kyocera.
