After its successful move into the residential broadband market the Post Office is considering launching a Mobile Phone service. The PO has won over 500,000 new customers within a year and claims that with its low pricing model is well placed to benefit from the credit crunch bargain hunting.
The Post Office’s target is to have over a million broadband customers by 2011. It has been particularly successful amongst lower income earners as its customers can pay over the counter rather than having to commit to a direct transfer.
Interestingly, the majority of new sign-ups are new to broadband, with more than 80% using broadband for the very first time.
The Post Office is likely to base its mobile phone service on one of the five existing networks, as they themselves seek to consolidate their own network infrastructure in order to maintain profit margins as price competition sets in.
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