A successful campaign by Verizon

Great future lies for Verizon in the tablet industry as the company quite strategically is making its way to dominate the sector. Since past couple of months Verizon has established and maintained a sound strategy when it comes to tablets. A major chunk of their income is generated from those users that are the companies tablet subscribers. This is not just the case for Verizon but many such organizations such as AT&T Mobility, Sprint etc. have all boosted their revenues through tablet subscription.

These tablets are assisting the organizations to prop up the customer addition who use wireless carriers. We all are aware that the sales of Smartphones have slacked tremendously in recent times. The reason is simple, firstly majority of the Americans use a Smartphones and the only competition lies when brands try to steal each other’s users. On the contrary, the tablet industry is that sector that still has ample room for growth.

On the company’s second conference call, the chief executive officer of the company explained that “We see tablet as the highly profitable growth opportunity with significant headroom in terms of further penetration. Our postpaid tablet base is only 5.4 million. So we have a great opportunity with these devices to generate growth in 2014 and beyond.”

Moreover it is expected that the sales of the tablets would accelerate in the fiscal year of 2014. So the question arises what is the real strategy behind Verizon’s tablets?

Many promotional offers are being made to sell tablets. A great discount is offered to those consumers that buy these tablets on contractual basis. According to Avi Greengart, an analyst at Analysis analyst tweeted “Verizon is goosing subscriber growth by practically giving away tablets, then upselling larger data packages. Clever.”

Moreover the company is trying to give tablets a similar image as smartphones by bundling it with them hence making it a must have accessory along with a smartphone. This proved to be fruitful to sabotage T-Mobile and Sprint who really don’t offer shared data. Apart from that Verizon is also investing itself on its tablets.one of the main techniques to promote these tablets is to launch their own network technology that would allow the subscribers to broadcast events. His technology is expected to launch in 2015 changing the paradigms of tablet usage. Many individuals prefer using tablets to watch videos than any other device, thus “As a result of the increase in tablet video viewers, the time U.S. adults spend watching video on tablets is growing faster than on any other medium,” claimed eMarketer.

Hence in a nutshell, the tablets industry offer a standard market where companies such as Verizon are willing to invest.