Virgin Mobiles –

Successful in UK but not so successful in Singapore due to diversification.

Improve customer retention by reducing hidden fees.

Potential segment was age 15 to 29.

The monthly bill average is around 52 dollars almost for 417 minutes of use and cost to customer is
30 dollars.

Majority of the people had contractual agreements for a period of 2 years. And charged rates of 40
cents/ minute

Provide handset subsidies.

Identified inflexibility in calling and other plans.

When price 0.6 break even point is very high as 15.

When price is 0.25 break even point is 4

Price