‘Let’s let customers decide,’ Wind’s Ken Campbell tells critics

Responding to criticism that Wind Mobile launched too fast too soon to go head-to-head with Canada’s wireless incumbents, company CEO Ken Campbell told The Wire Report that he’ll “let customers decide.” “Let’s let customers decide,” Campbell said in an interview at Wind’s Ottawa launch Friday. “We feel we have ambitious goals and we’ve gone much further than any of the other new entrants, having launched in four cities.” The Ottawa launch event marked the fourth city in which Wind’s service is available. The nation’s capital joins Toronto, Calgary and Edmonton on a growing list of Wind cities that will include Vancouver this spring. Earlier this month, Technology consulting company SeaBoard Group published a research note suggesting Wind wasn’t sufficiently prepared for its launch. It has been a bumpy road for the new carrier. It’s been criticized for spotty service and it recently lost Chris Robbins, chief customer officer, and Scott Waller, chief information officer. “When you start a mobile operator, it’s a billion dollar investment and you don’t expect out-of-the gate nirvana,” Campbell said. “The incumbents have been building their networks for over 10 years and I can still drive down Bank Street and get a dropped call.” Alek Krstajic, CEO of Public Mobile Inc., another new wireless entrant, said in an interview with The Wire Report that he has taken some lessons from Wind’s launch. “We’ve learned you can’t try to be everything to everybody,” he said. “Wind is very clearly targeting the exact same customers as Rogers, Bell and Telus. They’re trying to be an incumbent without contracts.” Nizar Assanie, principal analyst at Vancouver’s IE Market Research, said the approach of new entrant Public Mobile—to target lower-income, niche markets in small coverage areas, is a better strategy than Wind’s broader approach. “The problem that Wind is facing is that they are going head-to-head with the incumbents in their markets,” Assanie told The Wire Report. “I think that the smaller players actually have a stronger business strategy than Wind.” Assanie added that Wind has proposed competitive plans, but it lacks the retail and branding presence of the incumbents. Wind has proposed a $150 porting credit for customers who switch providers to join Wind before March 31. Public Mobile has also made competitive offers in advance of its expected service launch in Toronto and Montreal in May. Krstajic said that customers who sign on before May, and stay in good standing with the company, will receive unlimited, Canadian long-distance for life. Public Mobile has received its own share of criticism. It will only offer basic calling service, no smart phones and no roaming outside of Toronto and Montreal. “The customer that we’re going after, what they want from us is predictability,” Krstajic said. “Everything we offer right now is done on a flat rate basis, so it’s very predictable. The vast majority are going to say, ‘Look, I live, work and play in Toronto, and it’s good enough.’” Campbell said Wind’s broader mix of data and voice offerings will deliver customers what they’re looking for. “ coverage is area is obviously a lot smaller, they’re not on LTE, which would provide them with a platform for future growth,” he said. “Frankly, I think Wind has got a much stronger proposition.” Roberta Fox, president of telecommunications analysis firm Fox Group Consulting, said she is surprised that none of the new carriers is making an effort to target the business market. “I haven’t seen anything to say that they’re going to be focused on business,” she said in an interview. “To me, business is a more attractive market because you make more money.” She added that all new entrants in Canada’s wireless market should be upfront with customers so they know exactly what their services offer, including any limitations. Campbell said he hopes to have a 10 per cent to 15 per cent wireless market share in five to seven years. Krstajic said that Public Mobile’s network will reach nine million Canadians from Windsor to Quebec City by the end of the year. jmigneault@thewirereport.ca

‘Let’s let customers decide,’ Wind’s Ken Campbell tells critics

News | March 26, 2010

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