New Danish mobile phone service kicking off price war
With a start-up price of 39 kroner per month for a mobile subscription, Tjeep, the latest company to enter the crowded filed of mobile phone operators, is rattling the competition.
As the four major telecommunications companies have been cutting their less expensive subscriptions, Tjeep’s lowest rate of 39 kroner per month for one hour of talk time and one gigabyte of data is far below the 99 kroner or more charged by the larger companies.
Aggressive business plan
Tjeep’s pricing is more in line with that of other discount outlets like Oister and Call me, which have plans starting at 49 kroner per month
Tjeep has an aggressive agenda to hijack between 80,000 and 100,000 customers within the next year.
“The market for smartphones and mobile telephony has matured significantly,” Tjeep executive director Kim Damkær told TV2 Business.
“Customers demand economical solutions and are indifferent to the telcos’ name or brand.”
How low can they go?
The new telecommunications company, which operates on Telenor’s network, has a vision of lowering prices even more. They are currently working with business models that will eventually make it possible for customers to use their phone at no charge.
One idea being considered is that customers who agree to accept advertising rather than a ringtone will be entitled to a free service. The ad would stop immediately when the recipient answered their phone
Tjeep is opening up with 30 employees and offices in Parken.