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In a recent interview for the latest Mobile World Live, the CEO of Sprint, Dan Hesse, praised the iPhone’s capabilities of using less data than Android devices, thus making them more profitable.
“iPhone customers have a lower level of churn, and they actually use less data on average than a high-end, 4G Android device,” said the executive. So, from a cost point of view and a customer lifetime value perspective…they’re more profitable than the average smartphone customer.”
Last year Sprint announced that it spent $20 million in order to be able to offer the iPhone to customers and another $30 million went to buying the iPhones. Hesse indicated that it was worth it, because out of every ten iPhone sold, four went to new customers. That means that Sprint is attracting a decent amount of buyers from the competition.
The numbers for 2011, that were reported last month, seemed pretty encouraging as well. Sprint sold 1.8 million iPhones during the holiday quarter and snatched a total of 1.6 million new subscribers. Out of that number, 539,000 subscribers had a contract with Sprint. All in all, Sprint has been chosen by 55 million customers in the United States.
Hesse seems to be mesmerized by his marriage with the iPhone which he hopes will bring the company to new glory. It remains to be seen what will happen to the data usage when the iPhone gains LTE connectivity though.
"The marriage made in heaven is unlimited plus the iPhone. My plan is to continue for as long as we can, hopefully forever."
By Radu
Source: Sprint CEO says iPhone users more loyal, use less data | Electronista
