4/15/2009 5:22:00 PM
Orange pushes 24 month contracts in store to reduce churn
Orange has changed its in-store adverts for contracts from 18 month to 24 month deals, in a bid to attract cash-strapped consumers while cutting its churn.
Two year contracts have been controversial, with consumers complaining of handsets either failing to survive the duration of the agreement period, or being outdated before customers can claim an upgrade.
Although Orange will continue to offer shorter contracts, its main ‘headline’ deals will now be for 24 months.
An Orange spokeswoman said: ‘Our customers are looking to reduce their outgoings in the current climate so there is an increased focus on
24 month contracts, as they offer extra value by reducing line rental compared with our 18 month contracts.’
Store staff raised anxieties that the two year terms would be overly prohibitive to a large segment of the market.
Handsets that were top of Mobile’s Tracker two years ago include the LG Shine, the Sony Ericsson W880i, the Nokia N73 and the Samsung D900.